Category Credit crisis

Homeowners whose homes are losing value as their mortgage resets to much higher levels increasingly feel no need to tough it out. Instead, they just mail the keys back and walk away. This happens enough that it’s called ‘jingle mail.’…

This was the worst drop since records began in 1963. Also, the median price of a home dropped 10% from Dec 2007 vs. Dec. 2006.

With a focus on Cleveland, where that city is suing 21 large banks and financial institutions for dumping subprime mortgages on the market they knew could never be repaid. Key quote from the mayor of Clevland. “To me, this is…

French president Nicolas Sarkozy on the recent financial crisis, including the SocGen rogue trader. “We must stop with this system that has gone haywire and that has lost track of its aim.” It appears to be time to… inject a…

What a week. A French bank discovers $7bn in losses due to a rogue trader and starts to unwind the trades. This tanks the European markets. The Fed, not knowing what happened, panics and does an emergency three quarter point…