See Saw

I can not figure out all the politics of the rescue bill voting. So many fingers are pointed. It's like a hot potato that no one wants to risk re-election on or even reputations for that matter. The Dems control both houses. They could walk this through and onto Bush's desk in a few days.

Maybe taking time to do this thing correctly is important. The Jewish holiday provided time for deep breaths. Time to rest and read/listen from constituents. Time for new and better ideas.

Meanwhile, this binds up the economy too. No bank is out there lending $ and taking on more risk because they are waiting for $ that may come their way relieving them of their trash mortgages.

Mortgage companies are holding off as well. We hear that money is not available but possibly money is being withheld awaiting resolution of this bill.

The market marches on. Time may allow weak banks to offer themselves up to bigger richer banks. Our own bank, new to us since the first of the year, is on the short list of banks on shaky ground. If the bill is not resolved soon, maybe larger wealthier institutions will go shopping for bargains.

Of course, that would be open market moves. That would be the market left to its own cleaning. If that would work and the government stopped the forced mortgages, maybe the bail out amount would be less. It's a thought.

The neighbor across the street told us over the weekend that to get his mortgage 4 years ago, he filled out one page and was not asked for W2 income proof. They had some money out of the sale of their condo but not near 20% down. It was a "traditional" application process.

'til later