8:30 AM This is a time sensitive post; I'm sure the links here will look differently in a few hours.
But right now we've got a spectacular example of how the Mainstream Media is indeed in cahoots with the "financial sector"- they're not just reporting the news- they do tweak it, a bit.
Right now their action is perhaps admirable- so they think, anyway. They are trying to fight off a real full-blown PANIC in the stock markets.
It's all about how the two huge quasi-governmental mortgage corporations, known as Freddie Mac and Fannie Mae; crashed so hard on the stock market yesterday that the US federal government was hours away from "nationalizing" them- (though we don't call it that here, of course). And trumpeting how this disaster was avoided. (Teresa, you'll find more than you want to know about Fannie and Freddie there.)
Do you see, anywhere, any mention of another huge mortgage company; Indy Mac?
Shortly after the stock markets closed on Friday - it WAS "seized" by the government, as being completely insolvent and dysfunctional-
According to Reuters, "The bank is the largest regulated thrift to fail and the second largest financial institution to close in U.S. history, regulators said."
Golly, that sounds like a headline to me. But it's totally buried under the constant reassurances that "all is well! don't panic! NO REALLY!! DON'T PANIC!!"
Golly, that sounds like a headline to me. But it's totally buried under the constant reassurances that "all is well! don't panic! NO REALLY!! DON'T PANIC!!"
Maybe we should panic?
But you can't find a trace of this story on the front pages of the major US newspapers- yet. Though it happened last night.
(And, sure enough; shortly after I posted this; if you really dig, you now CAN find the story on the front page of the NYT - in the tiniest font they use, a link elsewhere, not a story.)
(ah, and now, 15 minutes later, the Washington Post; likewise, tiny font link on front page; to a nice reassuring story: "But John M. Reich, director of the Office of Thrift Supervision, said IndyMac's failure was a 'unique' incident that 'does not signal a direction for the industry as a whole.' ")
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1:30PM (CDT) - the BBC has finally put the story up as an "Other Top Stories"; in middle font; still following "Pope to apologize for sex scandal", though.
The whole story has now disappeared from the NYT front page- it's not only inobvious, but if you search for "indy" the result is - 0; it's not there at all. It's barely visible in Business; tiniest font, very obscure, as "mortgage lender seized"; which is also the language of The Washington Post.
The Google News compiler has been varying all day- right this second- the story is NOT findable; but it was a half hour ago.
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2PM - FINALLY! CNN- headlines it in the Business section, though still not screaming on the main front page- "may be the most expensive bank failure ever..." nah, what story?
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4PM - Story is now gone from BBC front page, though the Pope is still apologizing for Australian pedophile priests in exactly the same place; the collapse of Indymac is now only to be found on the Business page; replaced in "Other Top Stories" by: "France Rejects Veiled Muslim Wife". Cute eyes.
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Next day- CNN wins the spin prize! NOW, it's the top front page feature; big photgraph- "Back in Business: IndyMac Reopens Monday!" No, it's not back in business, it's still in collapse. Yes, the doors will reopen, but it's mostly going to be for the Federal Deposit Insurance Corporation to start paying newly printed money to depositors- since IndyMac was broke. The FDIC wants to find a buyer for IndyMac within 90 days- but at the moment, no one is offering a dime for it.
BBC now has "Key US mortgage lender collapses" as a subheading under Business.
NYT - no mention at all on front page; no mention at all on Business, to my astonishment; but if you go to the "whole paper" Most Popular page; under Most Blogged - it's #1 - and I don't think that's my fault. :-)
