(Bloomberg) -- On Wall Street, where the $800
billion market for mortgage securities backed by subprime loans
is coming unhinged, traders are belatedly acknowledging what
they see isn't what they get.
As delinquencies on home loans to people with poor or
meager credit surged to a 10-year high this year, no one buying,
selling or rating the bonds collateralized by these bad debts
bothered to quantify the losses. Now the bubble is bursting and
there is no agreement on how much money has vanished: $52
billion, according to an estimate from Zurich-based Credit
Suisse Group earlier this week that followed a $90 billion
assessment from Frankfurt-based Deutsche Bank AG.
Read more at Bloomberg Bonds News
billion market for mortgage securities backed by subprime loans
is coming unhinged, traders are belatedly acknowledging what
they see isn't what they get.
As delinquencies on home loans to people with poor or
meager credit surged to a 10-year high this year, no one buying,
selling or rating the bonds collateralized by these bad debts
bothered to quantify the losses. Now the bubble is bursting and
there is no agreement on how much money has vanished: $52
billion, according to an estimate from Zurich-based Credit
Suisse Group earlier this week that followed a $90 billion
assessment from Frankfurt-based Deutsche Bank AG.
Read more at Bloomberg Bonds News
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