“Lower rates were supposed to spark a re-financing boom that would free up billions of dollars as monthly mortgage payments dropped, but oops, very few homeowners are creditworthy now that having a pulse and the ability to lie are no longer sufficient to get a mortgage.  The Fed can funnel trillions to banks, but it can’t force them to lend money to uncreditworthy borrowers putting up phantom collateral.  So the Fed is back to the game of goosing phantom assets higher with perception management.”

http://charleshughsmith.blogspot.com/2012/09/the-federal-reserves-cargo-cult-magic.html

Did you like this?
Tip Freedomwat.ch Staff with Bitcoin

Donate via Installed Wallet Copy