Global systemic crisis in 2007 - Financial sector: « Another bubble » close to bursting

“………..In the United States, a growing number of financial institutions is beginning to announce that the bursting of the real-estate bubble and the increasing amount of default on housing loan repayments has started to impact on banks’ (6) and loaning institutions’ results. For instance, due to the market’s fast degradation, the US government non longer even tries to look into Fanny Mae’s and Freddy Mac’s accounts, the two giant quasi-government financial institutions who together weigh more than half of the US mortgage market (7). Thus Fanny Mae has not presented any quarterly or yearly report since 2004 and must ask for an exemption in order to remain listed on the New York Stock Exchange (8) and continue to increase its market share. Less than a month ago, Kevin M. Warsh, governor of the New York Federal Reserve, warned against risks of systemic crisis for the US loan mortgage market due to Fanny Mae and Freddy Mac accounting practices (9). Those risks are likely to cross US boarders since foreign investors, namely Asian, who walked away from US Treasury Bonds, have started a few months ago to buy Fanny Mae and Freddy Mac stocks………” full article: Leap2020.eu

“…….
They shake your hand and they smile
And they buy you a drink
They say we’ll be your friends
We’ll stick with you till the end
Ah but everybody’s only
Looking out for themselves
And you say well who can you trust
I’ll tell you it’s just
Nobody else’s money–

Money changes everything
Money changes everything
We think we know what we’re doin’
We don’t pull the strings
It’s all in the past now
Money changes everything
……..”