Why Does Merrill Hate America?

They're just pissed because of all the money they lost. The Telegraph (01.08.08):

"Merrill, itself one of Wall Street's biggest casualties of the sub-prime crisis, is the first major bank to declare that a recession in the world's biggest economy is now underway.

David Rosenberg, the bank's chief North American economist, argues that a weakening employment picture and declining retail sales signal the economy has tipped into its first month of recession."

US recession is already here, warns Merrill

"Mr. Rosenberg, who is well-respected on Wall Street, argues: 'According to our analysis, this [recession] isn't even a forecast any more but is a present day reality.'"

We're already hosed, sez Jim (not this Jim) Bloomberg (01.07.08):

"The U.S. economy is heading for a recession that will be the worst 'in a while' and investors should sell the dollar as global currencies weaken, investor Jim Rogers said."

Rogers Says U.S. to Have Worst Recession `in a While'

Even George is getting nervous. "'Recent economic indications have become increasingly mixed,'" sez the Prez.

Meanwhile, back at the ranch. Bloomberg (01.08.08):

"Credit-default swaps, used to help protect against the risk a company won't pay its debt, may be the 'most egregious' instruments created by the banking system and could cause losses of $250 billion, Pacific Investment Management Co.'s Bill Gross said."

Credit-Default Swaps May Lose $250 Billion, Pimco's Gross Says U.S.

Bill Gross was named as Morningstar's fixed-income manager of the year for 2007, so why listen to him?