More housing related pain …
No, I’m not talking about RECORD falls in house prices … 
Yesterday, S&P downgraded a huge bunch of so called Alt-A MORTGAGE- backed securities …
NEW YORK (Standard & Poor’s) May 28, 2008–Standard & Poor’s Ratings Services today lowered its ratings on 1,326 classes of U.S. residential mortgage-backed securities (RMBS) certificates issued in the first half of 2007 backed by Alternative-A (Alt-A) mortgage collateral.
A week ago UBS looked like it was being very conservative in selling its Alt-A for 68 cents on the dollar. Now it’s looking like it called the market at just the right moment. (comment from FT)
So … again … I calculate … 32% loss on Alt-A … hmmm … leveraged this is a CLEAN WIPE OUT …
For all the bulls on the planet … THIS IS ONLY THE START , not the end of the crisis …
And I tell you a secret … as I got mails, naming me a BEAR … just a negative kind of guy …
I would LOVE to be bullish … as I am positive thinking man … and I love BULL MARKETS …
My nickname on the floor was Oli NORTH … as I was a raging BULL 
Take care …
Tags: Alt-A, financials, housing, UBS
