The Burying of the Financial Crisis Inquiry Report
Umm it would appear that we narrowly missed a complete collapse of the system..
There is a simple reason why this is illegal. These banks need to be closed down, there should be no doubt about it, but the ass in chief will keep them alive and it doesn't matter how many jobs will be lost in doing so.The report points out that, “As of 2007, the five major investment banks—Bear Stearns, Goldman Sachs, Lehman Brothers, Merrill Lynch, and Morgan Stanley had leverage ratios as high as 40 to 1, meaning for every $40 in assets, there was only $1 in capital to cover losses.”
Downgraded, hell man they're worthless....they're less than worthless they are a huge liability.The corporate mechanism that was supposed to stop this speculative cycle, the financial ratings agencies, “abysmally failed.” The report notes that in 2006, Moody’s, the credit rating agency, gave its highest rating to 30 mortgage-related securities every weekday. “The results were disastrous,” concludes the report. “83% of the mortgage securities rated triple-A that year ultimately were downgraded.”