Where We're At.

Courtesy Mish:

• Housing is imploding.
  
• There are $500 Trillion in derivatives that no one can possibly understand the financial risks on.
  
• A huge portion of those derivatives are with JP Morgan (JPM).
  
• Bear Stearns stock went from $170 to $10 in a year in Shotgun Wedding between Bear Stearns and JP Morgan arranged by the Fed
  
• Questions Linger Over Lehman's Balance Sheet as Lehman Brothers (LEH) is leveraged 31.7 times.
  
• Citigroup (C) had to be bailed out by Abu Dhabi Deal Raises Questions About Citigroup's Health
  
• Merrill Lynch needed $6.6 Billion Bailout From Kuwait, Mizuho.
  
• Cost of Capital "Ratchets Up" at Citigroup and Merrill
  
• Morgan Stanley (MS) sold 9.9% of the firm to China after handing out huge bonuses.
  
• People are walking away from homes
  
• Businesses Are Advised To Walk Away from agreed upon deals.
  
• There is an open public debate on Moral Obligations Of Walking Away
  
• 1 in 10 of the entire state of Ohio is on food stamps.
  
• Florida, Ohio, and Michigan are in an economic depression.
  
• There is No market for Asset Backed Commercial Paper (ABCP)
  
• German Banks Fears Global Meltdown caused by US subprime debt
  
• There is a $1.1 Trillion HELOC Problem
  
• Unemployment is poised to soar.
  
• Commercial real estate is massively overbuilt and poised to plunge.
  
• Goldman Sachs (GS) is calling for another $460 billion in writedowns.
  
• The SEC Openly Invites Corporations To Lie.