We’ve talked about this before. I’m not going to sugar coat it. I’m not going to beat it to death analyzing it. The housing “bubble” was how we climbed out of the crash of the dot coms in the BUSH recession of 2001.
Now that bubble is collapsing, and while the financial press has been pretending that the Bear Sterns meltdown was an isolated incident, well, it wasn’t. Note that the bank was seized after the markets had closed on Friday, just to hopefully, give the markets the weekend to freak out, and not end the week with a humongous panic. It’s bad. I’ve told you it was bad, and it’s probably worse than I thought. Continue reading