Or subtitle: "Friday nights and Mondays always get me down" (from a 70's lyric by Paul Williams and Dada)
This Friday evening was one of those biggies. In order to avoid a panicky sell off on Wall Street, the government waited to release news of their intent to announce today they will oust the top executives of Fannie Mae and Freddie Mac, and place these companies which control $5.3 trillion in mortgage debt in government conservatorship. Investors, who have seen these stocks fall 89.7% and 91.4% respectively in the last 12 months (and were off an additional 20% of their closing prices in post-market trading Friday evening), can expect to lose even more when markets resume trading tomorrow. Foreign market's reactions to this latest financial train wreck should also be interesting.
So what exactly does this mean? Well, tighten your seat belts because what will follow will likely be the government's largest (ah, "government" being "we the people") bailout ever. While the exact cost is not known, estimates are it will cost us in the tens of billions of dollars.
Dada is thankful we live in the richest nation on Earth, able to expand our global empire and ambitions to the tune of several trillions of dollars while simultaneously bailing out endless institutions costing Americans hundreds of billions more.
But I wonder if maybe the recent high price of gasoline isn't the result of increased competition for oil from the U.S. Treasury needing to print greater and greater supplies of money from oil based inks for their presses running 24/7 at its mints?
My only regret is our current wars which I always thought could be carried on endlessly without any sacrifice by those of us on the home front -- save for those who expend vast amounts of energy to honk their car horns in support of peace demonstrators they occasionally pass on the sidewalks of America -- may have been a misconception.
Could it be our global hubris will extract sacrifices from each of us far more costly than the yellow ribbons on the rear ends of SUVs and drive by honkings?
Fasten your seatbelts. This ride is just beginning to get interesting.
And right here, right now? Could it be this is as good as it gets?