Links for October 3 2011

Washington's Blog-Protesters Target Federal Reserve
                              Americans Protesting Over Corruption, Rising Food Prices and Unemployment
                              Wall Street Protests Starting to Look Like Egypt

    FloridaToday.com Grandmother nearly loses condo to foreclosure after $4.70 fee balloons to nearly $3,000

Credit Slips-Bully for B of A
Is JP Morgan Getting a Good Return on $4.6 Million “Gift” to NYC Police? (Like Special Protection from OccupyWallStreet?)

Reviewing Wharton School Article on lessons from the crisis

Knowledge At Warton Business School published this article recently
The Crisis and the CFO


Morgan Stanley's Newly Named CFO Recalls the Unfolding Crisis, and Sees Progress

"Ruth Porat, whose ascent next month to the role of chief financial officer at Morgan Stanley was announced Tuesday, directed the firm's financial-institutions investment-banking business as the financial crisis unfolded in the fall of 2008. At the 10th annual Wharton Finance Conference recently, she said that a key lesson from the meltdown was that liquidity is critical to financial institutions,  and when it leaves the system, it rushes out like air from a balloon." According to The Wall Street Journal, Porat, 52, worked closely with federal officials as they grappled with the panic. A Morgan Stanley team that she helped run advised the Treasury Department last summer on battered mortgage giants Fannie Mae and Freddie Mac."
-What? A lesson that liquidity is critical to financial institutions? The financial institutions still do not have adequate liquidity to manage their loses. The liquidity needed to keep the banks from imploding could not have been provided by anyone unless the rules of accounting for changed or ignored. The capital from the government was not nearly enough to help the extremely over leveraged banks. This is just another statement that shows you corporate execs will say anything to delude the reality.-