Tuesday, February 10, 2009

Wall Street drops 400 points when they realize Obama isn't providing an easy out

Paul Krugman gives some possible insight into the new bailout plan announced by Treasury Secretary Tim Geithner:
"So what is the plan? I really don’t know, at least based on what we’ve seen today. But maybe, maybe, it’s a Trojan horse that smuggles the right policy into place."
Obama adds a little more clarity and context, as usual (this is an excerpt from ABC Nightline to air tonight):
TERRY MORAN: So, Treasury Secretary Geithner today has laid out the plan for the banks, and judging by the reaction in the markets Wall Street really doesn't like it.

PRESIDENT OBAMA: [LAUGHS] Well, you know, Wall Street I think is hoping for an easy out on this thing and there is no easy out. Essentially what you've got are a set a banks that have not been as transparent as we need to be in terms of what their books look like.
It's obvious Geithner lacks the charisma of Obama, so the roll out today was awkward. In the coming days it will be clearer. In the meanwhile we just need to have a little faith in the administration. We have to unlearn what we were taught for 8 years.

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