Steve Waldman at http://www.interfluidity.com/ has made much of the details of the Fed's various bad paper purchases. I ignore the details, the only thing that matters is: the Fed will bail out the banks by buying whatever it has to and will worry about the details and the legalities later. If at all. "What me worry", says Helicopter Ben, our Alfred E. Neuman of central bankers. Why should he? Hank Paulson's got his back as "The Bloodless Coup Continues", which I last wrote of on 4 December 2007.
"Hard-to-trade" securities? At what price? It's a bird. It's a plane. No it's super psuedo regulator, Mark Olson (MO) of the PCAOB. I understand that the Fed has not disclosed the entities which are using it's facilities. Well MO, do you think that's important? Do you and Chris Cox think that using those facilities is at least as important as any other 8-K disclosable event? What do you think anyway? What does Walter Riccardi think? Mike Garcia, do you think an entity which fails to disclose its use of the Fed's new facility should be indicted for securities fraud? No, you're too busy with Eliot Spitzer.