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	<title>Comments on: Short View: Only more pain will resolve the Fed&#8217;s little Greek tragedy</title>
	<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/</link>
	<description>FT Alphaville from FT.com</description>
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	<pubDate>Fri, 05 Sep 2008 06:31:20 +0000</pubDate>
	<lastBuildDate>Fri, 05 Sep 2008 06:31:20 +0000</lastBuildDate>
	<ttl>5</ttl>
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		<title>by: Bear Stearns and Bearer markets &#171; de(e)pre(ce)ssion</title>
		<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-15031</link>
		<pubDate>Sat, 15 Mar 2008 08:32:59 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-15031</guid>
					<description><![CDATA[[...] In just two days all the Fed’s effort,  injecting $300 bn in overnight, goes burst; as now, at last, all commentators say:  the underlying problem IS NOT ILLIQUIDITY, BUT INSOLVENCY. [...]]]></description>
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		<title>by: hedgehog</title>
		<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14686</link>
		<pubDate>Wed, 12 Mar 2008 11:38:14 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14686</guid>
					<description><![CDATA[pegnu:

re the Sudden Debt link and the  ' like watching a football game entirely in slow motion '   I remember my very first car accident when my car lost traction in heavy snow and stared spinning slowly towards a wall- the result was inevitable and try as I might once the spin had passed a certain early point there was no way I could regain control - everything did seem to be happening in very slow motion as if the event took minutes rather than seconds.
This all does seem very close to how things were sucked into a vortex in 1929 and for me my car crash analogy sums it up pretty well.

I have since then been on skid pan courses and the key is to catch it before a certain point. 

 I think that applies to the credit/liquidity affair and I believe we are past that point and heading inexorably for the wall its's not yet a crunch but a skid ,the "crunch" is yet to come]]></description>
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		<title>by: pegnu</title>
		<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14660</link>
		<pubDate>Wed, 12 Mar 2008 09:35:07 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14660</guid>
					<description><![CDATA[Sudden Debt's take:

http://suddendebt.blogspot.com/2008/03/history-rhymes-in-slow-motion.html]]></description>
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		<title>by: bsb</title>
		<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14659</link>
		<pubDate>Wed, 12 Mar 2008 09:26:27 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14659</guid>
					<description><![CDATA[no - this is japan v2 - all institutions will be propped up, and market conditions will remain the same or worse for decades]]></description>
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		<title>by: hedgehog</title>
		<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14657</link>
		<pubDate>Wed, 12 Mar 2008 08:36:45 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14657</guid>
					<description><![CDATA[as Lex said  " another chance to sell into the bounce" - last out please remember the lights]]></description>
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		<title>by: Anonymous</title>
		<link>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14656</link>
		<pubDate>Wed, 12 Mar 2008 07:20:24 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/03/12/11511/short-view-only-more-pain-will-resolve-the-feds-little-greek-tragedy/#comment-14656</guid>
					<description><![CDATA[An institution needs to fail.  From our gut, we all know there was too much excess, too much risk and too much complexity ingrained in the system.  Failure (default risk) is being projected onto every entity increasingly (even US Treasuries have widened spreads) as the market prices in the expectation of serious default.  Spreads will not return to "reasonable" or "fundamental based" levels until the failure - which we all know must come - actually happens.

One of the big players needs to bite the bullet, the market will endure the pain, a new entity will be raised from its ashes and economic life will go on.  

Expect spreads to continue to increase - either through the form of credit spreads or inflation fears - and lending to continue to freeze in other markets (agencies???), until the failure occurs.  Once it occurs, after a period of panic and much nail-biting as collateral is seized and sold, we will be free to lend again with confidence...

But first, someone has to go.]]></description>
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