#41
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Re: Countrywide
talent, desert, thanks much, very interesting stuff.
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#42
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Re: Countrywide
[ QUOTE ]
[ QUOTE ] I still don't get why this is a surprise to anyone. I thought everyone saw the lending practices in the bubble and knew what was going on. How could you possibly buy a mortgage bundle from Countrywide and think it was a AAA security?!?!? [/ QUOTE ] Because Moodys, S&P, and other rating agencies were lying. They give AAA ratings on worthless paper. [/ QUOTE ] Lying may be a little strong but mortgage backed securities were certainly over rated. In July, rating changes were made to something more reflective of reality. That triggered a sell off and the ensuing credit crunch. Very good article in WSJ on Aug 15 about the role of Moody's and S&P in all this. To the guy who bought CFC on Thursday: You are very lucky. Take the money and run. If that ARM reset chart is correct a lot more pain is coming. |
#43
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Re: Countrywide
I didn't actually buy it, come on now.
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#44
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Re: Countrywide
Bought $2000 worth of CFC bond yielding 10% is at the market open on Friday. Was quoted on Bloomberg as over 12% but the spread was pretty sick, couldn't get anything over 10. I still like the investment though. Goes until 2011; though I plan on getting rid of it once the yield curve drops
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#45
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Re: Countrywide
[ QUOTE ]
Bought $2000 worth of CFC bond yielding 10% is at the market open on Friday. Was quoted on Bloomberg as over 12% but the spread was pretty sick, couldn't get anything over 10. I still like the investment though. Goes until 2011; though I plan on getting rid of it once the yield curve drops [/ QUOTE ] Where can you buy bonds in that small of quantities? |
#46
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Re: Countrywide
etrade
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#47
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Re: Countrywide
Is it yielding 10% because there is a big risk of default?
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#48
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Re: Countrywide
Yup. I think something like 9.8% is around the cut off for being junk.
I'm hoping more for this thing to start trading much closer to $100 so I can jus get rid of it and take a 20%ish gain |
#49
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Re: Countrywide
[ QUOTE ]
right now. buy it now. [/ QUOTE ] BOA Plans $2B Investment in Countrywide The stock is up ~21% after hours since the news. Nice score for anyone who got in early this week. |
#50
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Re: Countrywide
[ QUOTE ]
I didn't actually buy it, come on now. [/ QUOTE ] bet you wish you had with the after hours news...yum yum 1. buffet buys bank of america 2. bank of america buys cfc 3. #@$*^#*&^@ 4. profit? |
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