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davidoliver-IntCap

Listed below are comments made by davidoliver-IntCap between Monday, 15th September 2008 and Wednesday, 8th October 2008.

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A very big rescue 07:49am on 08 Oct 2008 A bold move-and i think in time the correct one. If this works along the lines of the Nordic bail out, albeit on a larger scale, then the period of exposure to the risk will be shorter than we may expect and the pay offs for the taxpayer ultimately larger than anyone is predicting.

i for one hope so.
Rescue plan due in hours 9:16pm on 07 Oct 2008 While the reach of the banking crisis defies description and has been the root cause of destruction of wealth on a massive scale affecting every man, woman and child in the UK for years (possibly decades) to come. (Reduced pension funds, inability of ordinary people to raise a mortgage easily, property price crash and so on.....) I for one hope that this expensive but necessary bail out works and it is given time to do so.

In part this situation is due to the crass stupidity and greed of individuals at the very heart of the banking system. In part lax regulation. In part government in the UK overseen by a former "prudent!!!" ha ha Chancellor who presided over the whole sorry mess for ten years, took the credit for rising house prices in the good times and raised taxes and spent all of the surplus revenue on grossly inflating government spending at every level - never mind the pension timebomb that these new civil servants have in store for us when they come to retire. Not their fault but an indication of the mess of the public finances of UK PLC and what lies in store.

Nevertheless, while the prospect of a taxpayer backed bail out sticks in the craw somewhat, I would suggest that if we dont or worse, we do this and it doesnt work-then the ramifications for EVERY sector of UK PLC will be very severe indeed for years to come.

i for one hope that it is enough (is £50bn enough?) and they all start lending to one another and eventually some semblance of the new normality will return. fingers crossed.....
Meltdown Monday 09:16am on 15 Sep 2008 Unfortunately hearing the news of the failure of Lehman was not a surprise and the "rescue" of ML by the Fed might be akin to a drop in the ocean-how many more banks can be rescued?

I only hope that we do not see a domino effect in the coming weeks and months where more banks are forced into the same position and the security of deposits jeapordised.

While it is fashionable in some circles to gloat at the situations the "Fat Cats" now find themselves in, it is worth bearing in mind that the happenings in financial markets ultimately affect us all in one form or another-should that be in lower values for our pension funds or ISAs or in the higher rates we pay for our mortgages.

Irresponsible behaviour and no doubt greed may have got the markets into this situation but only prudence and a perhaps few years of pain may get us out the other side. There may be no option but to sit this one out and this "correction" - albeit very painful-will probably result in a healthier financial market and better practice in the long run.

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