tag:blogger.com,1999:blog-6616959642391988608.post9171737793809807782..comments2024-03-28T00:18:25.641-07:00Comments on Calafia Beach Pundit: Quick thoughts on Geithner's planScott Grannishttp://www.blogger.com/profile/14028519647946868684noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-6616959642391988608.post-54295685776934467452009-02-12T10:21:00.000-08:002009-02-12T10:21:00.000-08:00I don't have a good answer, but it seems to me tha...I don't have a good answer, but it seems to me that the lack of recovery in the asset backed markets is intertwined with the fact that money velocity has dropped signficiantly. Total lending is up, but the degree to which that credit circulates and percolates through the economy is down. Banks are the only ones who can create new money. That money can then be lend round and round through Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-11728512935070994832009-02-11T14:16:00.000-08:002009-02-11T14:16:00.000-08:00Love your blog, I look to it for positive news. I...Love your blog, I look to it for positive news. I run a private CRE group with $60MM in assets, but I see no resolution whatsoever to correcting the various Asset Backed markets that my industry needs to continue and I think the bank chart you posted doesn't take into account the fact that lenders have had to step in due to the frozen securitization markets. Any insight would be great.<BR/><BR/Gant3000https://www.blogger.com/profile/10164503426985861198noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-70192388463504603222009-02-11T10:51:00.000-08:002009-02-11T10:51:00.000-08:00Hi Tal! Good to hear from you.Hi Tal! Good to hear from you.Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-59922921972311782132009-02-10T23:39:00.000-08:002009-02-10T23:39:00.000-08:00Makes my day whenever I read you blog Scott. Than...Makes my day whenever I read you blog Scott. Thank you for sharing your clear thinking and great work<BR/><BR/>Ronronraschhttps://www.blogger.com/profile/14708698068353771219noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-27060534380788302032009-02-10T19:46:00.000-08:002009-02-10T19:46:00.000-08:00Scott,Great chart on bank credit. I have always l...Scott,<BR/><BR/>Great chart on bank credit. I have always loved you charts--great context and perspective. Required reading for my staff as we try to be heard in the retail financial advisor space. You simply cannot violate the laws of economics without consequences. From Bush to Obama we are learning that once again. Thanks for the heads up on the Taylor op-ed in the WSJ.<BR/><BR/>Mercado Tal Daleyhttps://www.blogger.com/profile/16072790215270558717noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-82905246817178953322009-02-10T15:27:00.000-08:002009-02-10T15:27:00.000-08:00What plan? So far it looks like a plan to blow bil...What plan? So far it looks like a plan to blow billions (or trillions?) in taxpayer money. Other than that there are few details. The only consolation was that I came across this IMF paper recently called "What Happens During Recessions, Crunches and Busts?" <BR/><BR/>http://www.imf.org/external/pubs/ft<BR/>/wp/2008/wp08274.pdf<BR/><BR/>The bottom line is that, in credit crunches, the economy Mark A. Sadowskihttps://www.blogger.com/profile/13147923641894915172noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-15851944375718695022009-02-10T11:21:00.000-08:002009-02-10T11:21:00.000-08:00The Baltic indices continue to rise. It's quite im...The Baltic indices continue to rise. It's quite impressive. To think that the global economy could recover without the help of Congress!Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-41339611266236177552009-02-10T10:07:00.000-08:002009-02-10T10:07:00.000-08:00Scott-I think you're right but markets were lookin...Scott-<BR/>I think you're right but markets were looking for something actually constructive to shorten the process or lessen the pain. Too much to hope for I guess. Incidentally, there is a report that China booked a capesize bulker to carry iron ore from Brazil for $59,000 per day. This is huge boost from where we were a few days ago, when you noted the optimistic trends in the Baltic Dry.<BRDonny Baseballhttps://www.blogger.com/profile/08040288585224426073noreply@blogger.com