There it is. With one whole Digg!

Well done, gentlemen!!

Here we go again. Housing Bubble, Part II

Rumors are flying, although I haven't seen much on the net (yet). Apparently, there is going to be ANOTHER housing crash. I'm really not sure why few have picked up on this one yet - ok, ok, the extent of my looking for info was a Digg search. If it is not on Digg, no one knows about it.

There is another questionable mortgage product, like the ARM's that caused the first bubble crash, that is coming due for adjustment in January. I actually do not even know what this product is because the person who told me didn't want to explain it all, (He works for one of the financial institutions that is to blame for much of this, and he feels a certain sense of shame.) but it sounds like maybe the first round of inadvisable 5/1 ARM's are ready to adjust for the first time. The timing makes sense. It was about 5 years ago that the ridiculous run on real estate started, and I know that the 5/1 - the rate is locked for the first 5 years and adjusts annually after that - always looked more attractive to me then the 2/1 or straight ARM. The idea, of course, is that a 5 year fixed period gives one plenty of time to refinance into a 15 or 30 year fixed mortgage. The problem - hindsight being 20/20 - is when the mortgage market tanks and you can't refinance, or you can't afford the fixed rate because you have no job, or you are upside down on the 5/1 so no one will finance enough to cover the balance, you are screwed.

Well, the first round of people who landed in that crappy boat are now facing the adjustment of their rate. And they are still upside down and unemployed. Here we go again.

What's another trillion between bankers. And republicans. Thanks GOP, we really love getting raped by you guys.

Black Friday - Let's show the retailers how Sh$tty the economy really is!!

It is the grand national celebration of capitalism, that leads to the celebration of the birth of Jesus. I won't wax too poetic about absurd this annual ritual truly is, however I will say that it is a great day to show Bush and his genius cronies what a wonderful job they have done with the national pocketbook.

Examples: Lady in line at Best Buy this morning - "I'm not going to buy anything, I'm just here to try and win some of the giveaways." She was there at 3:00AM.

Wired magazine (highly recommended to anyone living in the 21st century) "...in this recession (depression?)..."

But there is a good side to all this. If history is any guide, in 6 to 18 months the economy is going to rebound nicely. Check the history books on all the other recessions and depressions that were handed to the democrats. This one might surprise people. If you've been thinking about starting a business, this is the time to do it. Ask the truly rich. Not that idiot in a McMansion at the end of the block, I'm talking about Buffett and Gates. Do you think they are net sellers right now? Not a chance. Sure, they are liquidating crappy assets, but they are new buyers. You should be too.

More Wired "(this type of economy) is the crucible in which great companies are forged." Anybody got a good idea? Drop me a line. I'm in.

The new pres on 60 Minutes

I like this guy more by the day. College football playoffs, and he is serious about it. Finally, someone who understands how to make America a better place. But seriously, I'm glad that someone is going to take the reigns on that one. And all that other stuff he said was good too.

President-Elect Obama really did have a good outing on 60 Minutes. He sounds like he is going to work with both sides of the aisle, and he seems to have a good grasp of reality ("The American people don't want to hear lots of speeches." So true). And if history is to be our guide the economy should improve rapidly, just because he is a democrat. Yes, all you money-grubbing republicans - the economy has ALWAYS tended to suck when you guys take over. If you don't believe me, check out the interest rates under Reagan. Or which party was in power to usher in the Great Depression - and which party got us out.

Not that the world economy can get much worse. This morning on the news they reported that the price of oil FELL in response to a threat from OPEC to cut production. Ummmm....wonder if the problem is on the demand side? Ya think.

Finally, the best part or the interview, for me, was that we have actually elected someone who is capable of speaking in complete, intelligent sentences - without a teleprompter or notes. Seriously, I had a giant grin on my face for the first ten minutes of the interview, just thinking that we have a president able to communicate...presidentially. It's been a long time since old Bill was out there making Americans look bright and energetic. I'm tired of watching Alfred E. Newman make us look like whatever it is that he makes us look like.

And, on top of all that, college football will soon have a true champion.

Warning! I'm drunk...

Well, maybe not DRUNK, but I've had a couple.

President-elect Obama has a true chance to help fix the problems that have been created by the morons who have been running the show for almost a decade. (Even in the last couple Clinton years, the GOP dominated congress had him so distracted by BJ's, that they began screwing everything up before the Florida Supreme Court appointed Gomer Pyle to the White House)

To all the miserable, toothless, tobacco mouthed rednecks: Don't ya think that the Secret Service can handle a bunch of idiots with white hoods and shotguns? I mean seriously. The KKK? Just watch the movie Deliverance and you'll see what I'm talking about. That is the fine bunch of folks that the KKK is made of today. I think the Federal Government might have a couple guys that can deal with them. (I just wish the reader could hear the sarcasm. It is meant to be quite thick.)

Tine Fey is going to make SNL relevent again on her own

Tina Fey is f*cking hilarious. Seriously. The original SNL crew was great, and the crew from about 1987 until 1997 or so was very funny, but since it has been generally underwhelming. Even those of you who watch religiously got to admit that you'd rather watch Chevy Chase, Gilda Radner, and John Belushi or Mike Myers, Chris Farley, and David Spade then the crew right now. Other than Tina Fey. She is an absolute riot. Her Palin act is going to single-handedly make me watch this weekend. And I don't mean like "if I'm home, I might watch" I mean "I am going to make it a point to be somewhere to watch".

I'm not a TV guy. I don't have TiVO. In fact, the only thing I watch on TV is sports, movies, THC (The History Channel - get your mind out of the gutter), and the comedy channel quasi-news shows (The Daily, Colbert, etc.) I saw Tina Fey with a flute in the Palin get-up, and I decided to make it a point to watch.

Ok, we are governed by total fools....

So, let me get this straight. The United States of America can spend billions on a country full of people who hate us and don't want us there, and yet we cannot spend a couple months of money for Bush's windmill hunt on our own banks in our country? Are the banks at fault? Sure. But forget about who to blame for a couple minutes. Let's save the American economy first. If people broke the law, then prosecute them. Don't make all of us pay for their screw ups. Wait... Let me put it like this - We are ALL going to pay for them, but would you rather pay now, or let the economic system risk collapse to get revenge on a few guys who are rich anyway. Or, put yet another way, is America not worth $700 billion, but Iraq is worth way more?

As usual, the republicans have failed America miserably. Let me quote CNN.com

The measure, which is designed to get battered lending markets working normally again, needed 218 votes for passage. But it came up 13 votes short of that target, with a final vote of 228 to 205 against. Two-thirds of Democrats and one-third of Republicans voted for the measure.

In other words, some democrats failed the country, and most elephants did. Shocking. When, exactly, was the last time the republicans got something right? The Reagan administration? Unless you consider giving the VEEP's former employer multi-billion dollar, no-bid contacts the "right" thing to do. I know that is old news, but having worked in and around government agencies, I am aware of how wrong that is.

Everybody cross your fingers that the Senate version passes through the crew of idiots in the House. If it doesn't, not being able to get a loan may be the least of our concerns.