Is the U.S.heading for a meltdown?

[uls]

Meron na signs of slowdown.

Hindi na basta basta nagpapautang ang mga banks nila.

the banks wont even lend money to each other coz they dont know if they will be paid back. And the banks are hoarding cash coz they have done some very stupid things like buying mortgage-backed securities which are now totally worthless. They are taking billions in losses.

If banks wont lend to each other, lalo na they wont lend to consumers.

Now the US Central Bank has stepped in making money available for banks to borrow.

The Fed is flooding the financial system with cash.

No wonder the USD keeps on losing value. They is way too much USD in the world and the FED is pumping out more.

China already has 1.3 TRILLION USD in their banks. What the hell are the Chinese gonna do with 1.3T USD?!

Kung natatakot ako bumaba ang value ng $20 sa wallet ko, pano pa ang China? hehe
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Americans have been living beyond their means for a long time. And it is catching up to them.

They have borrowed money using their homes as collateral to finance their lifestyles. They cant do that anymore coz the banks wont lend them money na.

Many have bought homes thinking they can resell them later for profit. They are simultaneously paying multiple mortgages. Now the value of homes have dropped. They are stuck. They are so screwed.

Mortgage defaults, credit card defaults. Rising food prices, fuel prices...

Expect the first few months of 2008 to be bad for the States.