"We believe that in 2009 we will need to see Canadian banks stem loan and asset growth, to control their balance sheets better." [1] If I recall correctly, a Fleet Street publisher was once asked to describe the most boring imaginable newspaper story. He replied it would be coverage of The Bank Act, or anything about Canada. Well, we’re combining both this morning. Not long ago our Finance Minster was positively gloating [2] about the dullness of our financial services industry. However behind closed doors the grownups were quietly freaking, even while Canadians continued to live in a Fool’s Paradise.[3]…
Read more…

Here’s one homeowner that should have sent a thank you card to the lender that foreclosed: [Thanks "Vegas RE" and Rob for the links!] AVONDALE, Ariz. — The little blue house rests on a few pieces of wood and concrete block. The exterior walls, ravaged by dry rot, bend to the touch. At some point, someone jabbed a kitchen knife into the siding. The condemnation notice stapled to the wall says: "Unfit for human occupancy." The story of the two-bedroom, one-bath shack on West Hopi Street, is the story of this year’s financial panic, told in 576 square feet. It…
Read more…

  On Friday, Bloomberg news said that they believed that in 2009 the economy would be slightly better: