Couple of interesting articles showing the state of the credit market. It is well beyond the mortgage blame game.
http://online.wsj.com/article/SB120222620470044309.html?mod=hpp_us_whats_news
http://online.wsj.com/article/SB120226656685046671.html?mod=hpp_us_whats_news
The CDO market has been the major income component for many i-banks due to growth and the never ending returns because of low default rates. Now they have to worry about a few more assetclasses than just the mortgage backed securities.
http://online.wsj.com/article/SB120222620470044309.html?mod=hpp_us_whats_news
http://online.wsj.com/article/SB120226656685046671.html?mod=hpp_us_whats_news
The CDO market has been the major income component for many i-banks due to growth and the never ending returns because of low default rates. Now they have to worry about a few more assetclasses than just the mortgage backed securities.