I'd worried about insurance companies ponying up to Treasury's TARP window. Bloomberg indicated The Federal Reserve Bank may ask taxpayers to make it whole. The Fed took a $9.6 billion hit on prime assets it took from AIG and Bear Streans.Does anyone else recall Ben Bernanke bragging about the Fed's quality collateral? He'll take a 13% hit on those primo holdings. What's left to fall? Bloomberg said:
The central bank lent $2 trillion to financial institutions and hasn’t disclosed information about most of the collateral backing those loans.
Will Ben ask Treasury to make up other declines in a rescuer to rescuer capital call?
