Tuesday, May 1, 2007

Subprime Mortgage Securities Experience Pain

"Pricing of collateralized debt obligation bonds laden with subprime mortgage securities is getting more perilous amid deep uncertainties over when ratings on the assets will be downgraded, money managers and Wall Street analysts said." From http://www.reuters.com/article/bondsNews/idUSN3045916020070501. It sounds boring, I know, but it's a big deal. How this all shakes out will determine how likely the subprime market is to make a revival or a second appearance. Of course, history repeats itself, so it's only a matter of time before we see a subprime boom. In my opinion, it's just a matter of forgetting the pain from this current fiasco.

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