Quotes Entirely Relevant to Investing 02-15-2009
by Mr JugglesThe stock market responded badly to Geithner because it is crying out for someone in authority who can make bold moves and justify them, someone non-mealy-mouthed, someone who has an equal mix of brains, principles and confidence. The market wants Churchill and they keep tossing it Chamberlains.
–Emanuel Derman
Somewhat more accurately, the Street is pissed that Geithner didn’t provide enough information to allow the street to front-run the Treasury’s buy program.
I thought a Grant / McClellan comparison would have been more apt. Geither clearly understands the threat, he just needs more time to prepare the perfect plan.
Anyone with brains, principles, and confidence would wipe out the shareholders and sting the bondholders of the bad banks.
>>>someone non-mealy-mouthed, someone who has an equal mix of brains, principles and confidence
Oh, so they reacted badly because they were expecting our government (which gets bigger as a reward for every collossal screwup) to provide a dynamite market-oriented solution rather than a dud, dissolute government solution. Or perhaps they had hoped George S. Patton’s Zombie Corpse was going to ride into town towing Milton Friedman’s Disembodied Soul and fix things up. So now they’re bummered. Got it.
When the market makers look to our increasingly marxist government to be the solution to their liquidity and bad debt problems, we are definitely kayaking up Shit Creek without a paddle.