•  Treasury prices advanced today, pushing yields near the lowest this month, after the Federal Reserve purchased more U.S. debt this week, continuing its campaign to lower borrowing costs for corporate and individual borrowers.

So far the privately owned Fed has bought $36.5 billion in U.S. debt.

•  My family and I watched the movie I.O.U.S.A.: The Movie last evening.  It was the most deeply disturbing documentary I have seen and scarier than any horror movie.  In our discussion afterward we all wanted to know whom to blame.  And now the afterthought is that we are all responsible for getting it fixed.

The new appraisal process, named the Home Valuation Conduct Code (HVCC) works in the favor of the banks and against the interests of borrowers.  Let me explain.

For any conventional loan originated after May 1, the lender will order the appraisal.  It becomes the property of the lender.  Prior to this, we as mortgage brokers ordered the appraisal and it was completed in our name.  We could take it to the lender whose programs and/or pricing best suited our borrower's needs.

Now, if it serves the benefit of the borrower to switch to a different lender for whatever reason, a new appraisal will have to be performed at additional cost.

The bankers own the earth. Take it away from them, but leave them the power to create money, and with the flick of the pen they will create enough money to buy it back again...

But if you want to continue to be slaves of the banks and pay the cost of your own slavery, then let bankers continue to create money and control credit.

                                    ~ Sir Josiah Stamp

                                        Former Director of the Bank of England

"In hindsight we overpaid for an acquisition and based on lower forecast earnings from this business in the future, we need to write down most of the purchase price."

Oh, those banks.

Bank of America reported earnings today.  Reportedly, they made more profit in this first quarter than in all of 2008.  Yet before the open, their stock was down 8%.

How does a company making better money than last year earn investor's wrath?

All the profit was derived from their capital markets group.  Their profits were from trading bonds, stock and commodities.  Very little if any was made in their core lending business presumably because they weren't lending.

Paulson hands them a TARPful of money and the banks go play at the biggest casino available.

No lending.  Bankers gamble.  Taxpayers foot the bill.

Same as it always was, same as it always was...