It’s the Economy Again, Stupid.

Are you rubbing your hands together planning on how to patriotically help the US economy with the awesomely generous stimulus check that’s supposed to be coming your way?

Wasn’t it nice of President Bush to think about the average Joe for once?

What a sweetheart, especially if you are a multi billion dollar investment company that his father has got a bundle tied up in that just went tits up.

Because if you are invested in Bear Sterns, you just got your ass handed to you.

Not to worry!

To keep the stock market from falling off a cliff because some rich guy was too busy playing golf and Bridge to ACTUALLY MANAGE THE MONEY HE WAS HIRED TO DO,

The Federal government has , in it’s infinite largess to Corporate America, decided to let JP Morgan buy Bear Stearns at NO FINANCIAL RISK WHATSOEVER, for pennies on the dollar.

Thats right, JP Morgan is guaranteed not to lose one thin dime in the buyout.

The Federal government is going to use public money to back that guarantee.

OUR money.

Believe that shit? Read this fucking article and think about all the people in this country who are losing their houses in foreclosure because of the horrible lending practices of rip off mortgage lenders, that Bear Sterns bought wholesale and then got fucked on, and realize that our own government is bailing out these fucking criminals to save their buddies asses with our fucking money. But you get a check for six hundred bucks, WHOO HOO!

The headline at the NEW YORK TIMES reads‘

JPMorgan To Buy Bear For $2 A Share

By JOE BEL BRUNO and MADLEN READ

The Associated Press
Sunday, March 16, 2008; 7:58 PM

NEW YORK — JPMorgan Chase said Sunday it will acquire rival Bear Stearns in a deal valued at $236.2 million _ or $2 a share _ a stunning collapse for one of the world’s largest and most venerable investment banks.

The last-minute buyout was aimed at averting a Bear Stearns bankruptcy and a spreading crisis of confidence in the global financial system.

The Federal Reserve and the U.S. government swiftly approved the all-stock deal, showing the urgency of completing the deal before world markets opened.

Bear Stearns shares close Friday at $30 a share. At their peak, the shares traded at $159.36.

snip.

The Fed will provide special financing to JPMorgan Chase for the deal, JPMorgan Chase said. The central bank has agreed to fund up to $30 billion of Bear Stearns’ less liquid assets.

snip

A collapse of Bear Stearns could have created a further crisis of confidence in world financial markets amid a deepening credit crunch. JPMorgan’s acquisition of Bear Stearns represents roughly 1 percent of what the investment bank was worth just 16 days ago.

The deal marked a 93.3 percent discount to Bear Stearns’ market capitalization as of Friday, and roughly a 98.8 percent discount to its book value as of Feb. 29.

“The past week has been an incredibly difficult time for Bear Stearns,” said Bear Stearns Chief Executive Alan Schwartz in a statement. “This represents the best outcome for all of our constituencies based upon the current circumstances.”

Wall Street analysts say the bid to rescue Bear Stearns was more than just saving one of the world’s largest investments bank _ it was a prop for the U.S. economy and the global financial system. An outright collapse could cause huge losses for banks, hedge funds and other investors to which Bear Stearns is connected.

snip, my bold.

The Federal government had to bail these motherfuckers out to keep the economy from crashing completely and starting a chain reaction that would have caused a world wide Depression.

After days of denials that it had liquidity problems, Bear was forced into a JPMorgan-led, government-backed bailout on Friday. The arrangement, the first of its kind since the 1930s, resulted in Bear getting a 28-day loan from JPMorgan with the government’s guarantee that JPMorgan would not suffer any losses on the deal.

The funds’ collapse and subsequent problems in the credit markets called into question Bear Stearns’ ability to manage its own risk and the leadership ability of then-Chief Executive James Cayne. Critics of the company said Cayne spent too much time away from the office last year playing golf and bridge as the problems unfolded.

And you thought I was kidding.

One fucking guy.

One rich, arrogant motherfucker let the whole house of cards come crashing down and now we are having to guarantee that JPMorgan isn’t going to lose any money for helping out Bush and his rich buddies as they acquire a company for pennies on the fucking dollar.

I hope everyone really enjoys their stimulus check.

Update;

This is just the tip of the iceberg for the Feds giving away our money to these cocksuckers, go read the article by Greg Palast and I fucking guarantee you will see why Bush is so determined to keep his spying immunity.