"Service industries take another hit; Job cuts also seen on rise in February" by Bloomberg News | March 5, 2009
WASHINGTON - Service industries shrank further in February and companies stepped up staff cuts in the United States, offering no sign the pace of the economy's decline is abating....
Yesterday's figures indicate the economy's contraction this quarter may be at least as big as the 6.2 percent annualized slide in the last three months of 2008. The job data also reinforce forecasts for a Labor Department report in two days to show the highest unemployment rate since 1984.
The economy "deteriorated further" in almost all parts of the country over the last two months as consumer spending and manufacturing declined, the Federal Reserve said yesterday in its regional economic survey. Lending fell across the entire country and credit "remained tight," the report, known as the Beige Book, said....
Honestly, I'm sick of linking and typing how this is ALL ON PURPOSE!!!!!
Btw, what's the "Beige Book."
"Fed report finds N.E. economy taking hit; Beige Book survey shows region's businesses making cuts amid falling revenue" by Robert Gavin, Globe Staff | March 5, 2009
.... The survey, known as the Beige Book, collects anecdotal information.... --more--"
Translation: It's FED BULLS***!!!!!!!!!!
PORTLAND, Ore. - Shoppers looking to warehouse clubs for deals on groceries buoyed food sales at Costco Wholesale Corp. and BJ's Wholesale Club Inc., but both companies said yesterday that sales of other items kept sliding in the downturn.... --more--
Yup, a GROWLING and HUNGRY STOMACH and the requiste shit cuisine is ANECDOTAL!!!!
Oh, and ABOUT THOSE LOANS? Even the RICHERS are bitchin'!
The billions of dollars the US government has pumped into banks and the economy have not found their way to the Boston skyline. Developers report that lenders are still refusing to finance large commercial buildings.
If anything, lending conditions have only gotten worse since the $700 billion federal bank bailout began, some developers said, with construction financing becoming even more expensive and difficult to obtain.
HOW MUCH MORE do you need, readers, honestly?
"It's an outrage. Banks have money, and they're not lending it out," said David Begelfer, chief executive of the Massachusetts chapter of the National Association of Industrial and Office properties....
"I had hoped that with the new [Obama] administration we would see a more positive lending market, but if anything it's gotten even tighter," said Tom Alperin, president of National Development, which is building the Longwood Center biotech lab.....
Are you CONVINCED YET?
Yesterday, the Federal Reserve said that loans of $50 million or more for commercial development in New England remain "virtually nonexistent." Overall, lending for development projects is down 19 percent nationwide since passage of the government bailout in October, according to the US Treasury.
As economic conditions worsen, the Obama administration is preparing additional measures to get banks to resume lending. One initiative calls for the government and private investors to spend up to $1 trillion to buy so-called toxic assets from banks to improve their balance sheets.
Leaving YOU holding the BAG, taxpayers!
A separate program would spend another $1 trillion of government money to provide funds for investors to buy loans and related securities, thus providing new capital for additional lending.
See: Taxpayer Bailouts Never End
WHOSE taking the LOSS on that one, taxpayers?
That's ANOTHER $2 TRILLION he is going to commit, America? Tell me WHERE is that MONEY going to COME FROM, huh?
In the meantime, the largest lenders for commercial real estate in New England - Bank of America Corp., Wells Fargo & Co., Anglo Irish Bank Corp., and others - remain largely on the sidelines when it comes to financing skyscrapers and other large mixed-use projects, according to developers and commercial bankers....
***************************
Now comes the EXCUSE-MAKING for the BANKS by the PRO-BANKER, AGENDA-PUSHING PAPERS!!!
There are several explanations for the retrenchment. One is that banks, which used to team up to provide loans of $100 million or more, are now reluctant to do so because of uncertainly about one another's solvency.
Moreover, banks are dealing with their own individual financial problems, making it difficult to negotiate uniform terms for a syndicate of lenders. While one bank might be willing to put up $50 million for a project, others might want lesser amounts and more stringent lending terms.
Another problem is the lack of a secondary market where banks can sell the deals they make with developers. In 2006, the securitized lending market accounted for more than $230 billion worth of deals. But it nearly vanished after huge losses related to subprime mortgages and other bad loans scared off investors. Last year, securitized lending dropped to $20 billion nationwide, and many bankers believe the market will not reemerge 2009.
That's where the banks BUNDLED CRAP MORTGAGES TOGETHER and then called it GOLD to SELL to SOME SUCKER!!! It was a DEBT PONZI SCHEME run by BANKS and the FINANCIAL WIZARDS of WALL STREET, folks!
You know, the ones "HELPING" YOU NOW!!!!!
"The entire business model of making commercial loans and selling them has failed miserably," said George Fantini, a principal in the mortgage banking firm Fantini & Gorga. Typically, banks rely on their ability to repackage and sell loans to investors to replenish their capital and lend out more money.
Have you had enough of the MSM shit shovel today, readers? Can I shut it down?
On the streets of Boston, the credit crisis is making life uncomfortably quiet....
Yeah, UNLESS you LIVE NEXT TO a CONSTRUCTION SITE!!
Then the SILENCE is MUSIC to the EARS!!!!!!
At the state level, the slowdown is threatening to undermine Governor Deval Patrick's plan to use federal stimulus money to trigger a slew of private building construction.
Translation: this "stimulus" is going to be WASTED and YOU AIN' GONNA SEE NONE OF IT, citizens of America!! It's gonna be the SAME OLD CORPORATE GIVEAWAYS I've been BLOGGING ABOUT for MONTHS, and I'M TIRED OFF IT!!!!!!!!!!!!
The governor wants to use some of the expected $5 billion to $6 billion for bridges, roads, and other construction near private development.....
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You know, like NEAR HOLLYWOOD EAST and shit!
Screw the ROADS and BRIDGES you and I use; the GUV is gonna SET UP BIDNESS that ALREADY GETS TAXPAYER DOUGHS!!!!!!!!!!!!!!!
Remember these?
The State Budget Swindle
Pigs at the State Trough
