The shitpile grows more unstable. WSJ (12.26.07), via Eschaton:
"Fitch Ratings has put the ratings of residential mortgage backed securities insured by several of the largest U.S. bond insurers on watch for possible downgrades. Affected are the ratings of 87 RMBS insured by MBIA Inc., 64 by Ambac Financial Group Inc., 35 by Financial Insurance Guaranty Co. and 19 by Security Capital Assurance Ltd. Fitch Puts RMBS Ratings on Watch"Last week, Fitch put the AAA ratings of Ambac, the second-largest U.S. bond insurer, and its larger competitor MBIA on watch for a one-notch downgrade to AA+ if each cannot find about $1 billion in additional capital or reinsurance in the next four to six weeks." A good word to remember as we start the New Year is tenuous, as in lacking a sound basis. Such as an asset of dubious value.