Thursday, October 09, 2008

The Heart Attack

Here’s an excerpt of an email from a keen observer of the financial markets:

Case in point, today's market collapse. It had everything to do with credit markets, and little to do with anything stocks. It was the market wondering what's worth anything if companies like IBM can only get credit at usurious terms. What companies will fail that shouldn't? (Many.) How can the U.S. backstop all of commercial credit? (It can't.)

Today was very, very close to the heart attack we've been expecting