SMF Pro Traders Financial Update
SMF Pro Power Investors Program we will be training everyone as we always do and not only that we are going to keep you updated so you understand the world you live in as all of you understand how right the SMF Economic Experts have been telling the story to all people who need the truth.
Despite Economic Downturn, Top 20 Banks Receiving Government Funds Continued Lending Activities; Survey Reflects Administration's Commitment to Greater Transparency, Communication Around Financial Stability Programs
WASHINGTON-- The U.S. Department of the Treasury released today its first monthly bank lending survey designed to provide new, more frequent and more accessible information on banks' lending activities to help taxpayers easily assess the lending and other activities of banks receiving government investments.
Despite the negative effects of the economic downturn and unprecedented financial markets crisis, the first survey of the top 20 recipients of government investment through the Capital Purchase Program (CPP) found that banks continued to originate, refinance and renew loans from the beginning of the program in October through December 2008. In the face of severe economic deterioration during this period--unemployment rose from 6.5 to 7.2 percent and more than 1.5 million jobs were lost as real GDP decreased by 3.8 percent--lending levels largely held steady and would have likely been lower absent capital provided to banks through CPP.
The CPP directly infuses capital into viable banks, stabilizing the financial system and enabling banks to continue to play their vital roles as providers of credit to businesses and consumers.
Some 400 banks in 47 states have participated since the program began. As part of its commitment to greater transparency, Treasury will release a monthly survey summarizing the lending and other activities of the top 20 CPP recipients and post the findings on its web site.
Today's survey tracks lending activity through the first three months of the CPP program, and subsequent reports will reflect data from the previous month.
Overall, loan origination and underwriting activities were weak from October to November 2008 but picked up from November through December, fueled by falling mortgage interest rates and the Federal Deposit Insurance Corporation's Temporary Liquidity Guarantee Program.
Over the period, the median change in residential mortgage loan balances was a decrease of 1 percent, while the median change in corporate loan balances was a decrease of 1 percent. Meanwhile, the median percent change in loan balances for U.S. credit cards was an increase of 2 percent, reflecting greater reliance on existing credit lines by consumers.
In commercial real estate, renewals of existing accounts increased significantly, while new commitments decreased. The median percent change in renewals of existing accounts was an increase of 55 percent, and the median percent change in new commitments was a decrease of 19 percent. In sum, loan activity was resilient in the face of the worst economic downturn in decades.
Treasury launched the monthly bank lending survey as part of its commitment to Congress and the public to greater communication and transparency about its programs to stabilize the financial system.
The Financial Stability Plan announced by Secretary Tim Geithner last week will further enhance the public's understanding of banks' lending, requiring companies receiving future government funds to report to Treasury how the money they receive preserves or generates new lending and to explain how they intend to use government assistance to strengthen their lending
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Stocks selloff hard as whatever rally that was building sold off extremely hard as markets look for a "real plan". Tim Geitner did not offer much financial transparency regarding helping shoring up bad bank assets.
The new "Financial Stability Plan" was not welcomed well by Wall Street as there was a large breath of selling and the prior leadership became today's biggest losers.
They say "the devil is in the details" and Wall Street clearly did not see the details it was looking for as they "buy on the rumor and sell on the news" StockMarketFunding.com called for an rally in Febuary with the understanding the government would "play ball" with Wall Street and that we would have a bill passed that would be beneficial to both people an Wall Street.
As concerns mount regarding the bad bank balance sheets, we are constantly montioring the markets reaction to the policy makers and the impact of their poor choice of words.
We have been educating our traders at our SMF Pro Trader School to be fully aware of how markets really work and how they have a funny way of smelling out bad policy.
Tomorrow we will look to see if the markets break and we go back down to the November lows. Today was the worst performance in the Dow Jones Industrial Average in 2009. While there was a large amount of call buying, the jury is still out as the markets broke many key support levels.
SMF PRO TRADERS UPDATE 2-9-2008
SMF update is there going to put off the announcement that started the short covering rally on Friday. Our SMF Pro Traders Index Ratio Indicator is showing we may have a pull back on the opening bell with profit taking.
As we continue to talk about the massive stimulus bill that there debating on right now as many investors and traders are not really happy with the bill.
SMF will be updating our traders on how to take advantage of the moves as we move forward.
Treasury Secretary
Timothy Geithner postponed his unveiling of the administration’s plan to shore up the financial industry as officials focus on getting approval for their separate economic stimulus plan in the Senate. SMF had clearly stated on Friday something would stop this announcement as the public is not happy with the current attempts of the biggest spending bell every in U.S. history.
“The Senate votes on Monday, and economic officials administration-wide will be working and consulting with senators throughout the day,” the Treasury said in an e-mailed statement in Washington today. “Secretary Geithner will postpone the release of the administration’s Financial Stability and Recovery Plan until Tuesday to allow for that to happen.” www.StockMarketFunding.com has clearly called this one right again long before the action heated up we clearly stated it was tainted to start with we encourage investor and traders to attend our SMF Pro Trader School in order to deal with these markets.
President Barack Obama has said the stimulus is needed to avert a deeper recession, and he wants a bill on his desk by Feb. 16. A key procedural vote on the Senate’s $780 billion measure is scheduled for tomorrow, with a final vote to take place the next day. The Senate measure must then be reconciled with an $819 billion plan the House approved last month. www.StockMarketFunding.com has the magic formulas for new traders and investors worldwide to attend our special seminars so they can learn how to adjust to all this news going forward and what it will bring in years to come and how it will affect our economy.
“There’s a desire to keep the focus right now on the economic recovery program, which is so very, very important,” Lawrence Summers, director of the National Economic Council, said on ABC’s “This Week” program today. “If there was ever a moment to transcend politics, this is that moment,” he said. www.StockMarketFunding.com has all the answers you need in order to make huge profits from these markets based on some of the biggest events coming forward, let SMF show you how to profit from all the news. You can make millions as long as you understand how to invest correctly.
Competing House and Senate versions of the measure are more than “90 percent” in agreement, Summers said separately on the “Fox News Sunday” program. “We’ve got to work through the differences, find the best bill we possibly can, and get it in place as quickly as possible to contain what is a very damaging and potentially deflationary spiral,” he said. SMF has clearly herd the same stories going back to the Tarp bill don’t be fooled by what you think might be good learn from www.StockMarketFunding.com what is good.
Increasing Credit
Summers said Geithner’s proposal will stabilize the banking system and increase the flow of credit.
“The focus is going to be on increasing the flow of credit and doing it with transparency, with accountability for those who receive support, and with a kind of consistency that, frankly, we haven’t seen so far,” he said. “There will be support for banks so that they remain stable, and are in a position to lend.” www.StockMarketFunding.com has a clear story for people around this matter sign up now and find out the details why you can.
He also told Fox that private investors may be asked to play a role in reviving ailing banks.
“With the right strategic approaches, Secretary Geithner believes that we can bring in substantial private capital, and that’s something we all ought to be able to agree on, that where we can catalyze private capital, that’s a better route to solving this problem than government resources.”
Summers didn’t rule out the administration coming back to ask for more Troubled Asset Relief Program money, saying “we’ll see what happens.”
“We’ll do what’s necessary,” he said. www.StockMarketFunding.com has herd it all sound familiar to you???
Private Capital
The first part of the TARP has so far provided almost $400 billion to more than 360 banks, including Citigroup Inc., Bank of America Corp. and Goldman Sachs Group Inc. www.StockMarketFunding.com had told everyone what a sham this was and how our tax payer dollars would be spent look at the bonuses that went out.
The stimulus package before Congress is just a part of what it will take to pull the economy out of the 14-month-old recession. The stimulus will be effective only if credit markets, currently frozen by illiquid assets clogging banks’ balance sheets, begin to function again.
A report last week showed the unemployment rate jumped to 7.6 percent in January, the highest since 1992. Companies including Macy’s Inc., Boeing Co. and PNC Financial Services Group Inc. have announced thousands of job cuts in the last couple of weeks.
Economic Contraction
The world’s largest economy entered a recession in December 2007, according to the National Bureau of Economic Research in Cambridge, Massachusetts. Gross domestic product contracted at a 3.8 percent annual rate in the fourth quarter, the most since 1982. www.StockMarketFunding.com estimates the number more around 5.1 percent as the numbers have not been worked correctly.
“The economy lost 600,000 jobs just in January, lost 3 million jobs last year,” Summers said on Fox. “We’ve got to give this economy some help.”
Senator Chuck Schumer, a Democrat from New York, today predicted lawmakers will meet Obama’s Feb. 16 deadline.
“We will have a bill by the end of this week,” he said on CNN’s “State of the Union” program. Schumer, the No. 3 Democrat in the Senate, also said he anticipates the final cost of the bill will be about $820 billion.
www.StockMarketFunding.com has said before it started look into who is really writing the bill and are we just going to get stuck down the road again and what about the supper high way to inflation 2 year down the road.
The Senate agreement pared $20 billion for school construction, $2 billion to expand broadband access in rural areas, $3.5 billion to make federal buildings more energy efficient and $200 million for NASA. It also reduced a proposed subsidy that would allow the jobless to buy health insurance through their former employers.
No Earmarks www.StockMarketFunding.com has a much clearly picture for all people to understand. Do you understand it???
Transportation Secretary Ray LaHood, one of three Republicans Obama has selected for his Cabinet, said the stimulus package won’t include any “earmarks,” or money required to be spent on specified congressional pet projects.
“There aren’t going to be any earmarks and there aren’t going to be any boondoggles,” LaHood said on CNN.
LaHood so far has failed in his efforts to help persuade his former Republican colleagues to support the measure. House Republicans voted unanimously against the plan, and Senate Republicans are also balking at the size the bill.
“The bottom line is this bill, nearly $1 trillion before it’s over with, is not going to turn around our economy,” Republican Senator Richard Shelby of Alabama said on the CNN show. www.StockMarketFunding.com is telling investors and traders it could be up to 4 trillion before it is all over one day.
Obama and his staff are vying to win support from at least three Senate Republicans -- Susan Collins and Olympia Snowe of Maine and Arlen Specter of Pennsylvania. Spending and not using the right tools will not dig us out of this hole StockMarketFunding.com is clearly telling investors and traders.
Lets not forget what got the world into the mess we are in right now, we need clear transparency so all people can understand the world they are living in. Join www.StockMarketFunding.com right now and stay on top so you can plan your life correctly.
“That’s not bipartisanship,” Republican Senator John McCain of Arizona said on CBS’s “Meet the Press” today. “That’s just picking off a couple of Republican Senators.”
The head of Obama’s White House Council of Economic Advisers, Christina Romer, said the president’s highest priority was to have a plan enacted quickly. www.StockMarketFunding.com has said why not use the worst job reports in recent history to get it passed, what a deal for the world.
“The American economy is sick and by all indications getting sicker,” she said on NBC’s “Meet the Press.”
Contact www.StockMarketFunding.com now to learn more about the true story going forward and how it will affect your live for years to come you must be guided correctly, we are here for those who choose to learn and educate themselves using our SMF Pro Trader School, act now!