Communism is neat

Lehman Brothers in Sales Talks; B of A Seen As a Potential Suitor:
But potential buyers remain wary about plugging holes in Lehman's balance sheet, and are increasingly looking to the U.S. government to help backstop future losses, according to people familiar with the talks.

A number of these buyers would "come out of the woodwork," if the U.S. were to step in, said one person monitoring the process. It remains unclear whether the U.S. Treasury or Federal Reserve would take such steps, as was done when the government assisted J.P. Morgan Chase & Co. in its Bear Stearns takeover in March.

No shit. Who wouldn't be happy to buy Lehman if the taxpayers eat all the losses and leave only profits for the acquirer? It worked for Bear Stearns, didn't it? Come to think of it, why doesn't the government finance the losses of every company in the S&P 500? That will get the stock market moving again.

No comments:

Quotations from Chairman Varones

There are very few financial problems that can't be solved by a suitable application of asset bubbles.