Just a short note to everyone regarding the buyout of Bear Stearns by the American government, er, J.P. Morgan.
Yes, I know you heard that J.P. Morgan bought them for approximately $2.00 per share. The stock for this company was trading one year ago today at $159.36 per share.
The stock was trading for $62.00 one week ago today.
The stock opened Monday at $3.20 per share. That is at an upside to the discounted price that J.P. Morgan paid. J.P. Morgan was guaranteed the money to purchase Bear Stearns by the US Fed.
Guaranteed. The. Money. By the US Government.
Corporate welfare is alive and is the driving force of the current Bush administrations policy of "getting the hell out of Dodge without looking like things went belly up on our watch, 'cause we are hoping to blame that on the Clinton and/or Obama administration. Or McSame. Whatever."
It is still all about the LEGACY to Bush and minions.
Let me sum up. The US Government, to keep from being more embarassed in the eyes of the average American citizen, screwed the shareholders of a huge American investment company as well as continuing to screw the US dollar in order to:
a) keep the things looking not as DAMNED bad as they really are, (Bush continues to say that we have some financial issues, but the key financial indicators are still strong) and to
b) make sure the corporations aside from Bear Stearns and LARGE investors lost as little money as possible.
Corporate Republican welfare has just gone a step beyond what anyone sane would have figured even the Bush administration would attempt.
Guess what? They don't damned well care about even trying to cover their tracks anymore. As long as they all die rich, its all good.
Oh, BTW? That healthcare for all that we had been hoping for? Dream on.
Comments
This really steams me.
Excellent post. You nailed it.
But don't worry. The Bush White House is "on top" of it. Which means we're the ones getting screwed.
I've been following this very closely and I had a post up on the
buyout by J.P. Morgan on Sunday (crossposted at Docudharma and EENRblog) before the Cable News websites even had anything about this on their sites or on TV.
It is simply amazing to me how much the corporate news doesn't want to discuss the corporate economic meltdown that is taking place under our very noses.
North Carolina. Turning the South Blue!
North Carolina. Turning the South Blue!
Bloggers = the New 4th Estate!
Corporations (including the old 4th estate) + Republicans + Bush = Failure to Americans but who cares, they're RICH!
What really has me hopping mad is the trailer park republicans here in Moore County that still think the r's are looking out for them. :(
No matter that patriotism is too often the refuge of scoundrels. Dissent, rebellion, and all-around hell-raising remain the true duty of patriots.
Progressive Discussions
I hear you.
What part of the fact that these people are being squeezed to the point of no return by the R's don't they understand? Is it that their permanently Fox News tuned TeeVee's only allow them to utilize one third of their IQ's, or is it more that Guns and War are better than feeding the family and keeping a roof over their heads?
North Carolina. Turning the South Blue!
North Carolina. Turning the South Blue!
The 30 second sound bites on Faux Noise
or maybe it's just the voices in their heads....keep telling them that everything is the fault of Bill Clinton AND the Democrats. Have one here in my office, pretty smart young woman but walks away everytime I try to explain the dem point to her. (fingers in her ears singing la la la la)
No matter that patriotism is too often the refuge of scoundrels. Dissent, rebellion, and all-around hell-raising remain the true duty of patriots.
Progressive Discussions
Not an expert on what authority the Fed Reserve has,...
and I know they can prevent runs on currency and banks by insuring the money will be there, even if they print it the night before. But didn't realize that they were authorized to protect a deal for a corporation to take over another corporation? I remember Congress having to vote on supporting Chrysler years ago, but now they just do what they want? We're really in deep doodoo!
Congress has been letting the financial guys do
whatever they want. Republicans and Blue Dogs have all bent over backwards endorsing the "free market" policy ...meaning no regulation to insure integrity or to protect the consumers. Now that the big banks, financial companies, and mortgage brokers are swimming in their own feces...after they've already banked a fortune and sold their bad paper everywhere...they come running to the taxpayers to bail them out. Not like Congress will bail us out...they've already let these turkeys stick us with any credit card interest rates and penaltiea and fees they like...but they're going to let Wall Street become the new welfare queens.
Stan Bozarth