Massive Job Cuts Coming

6/28 - "CNN Money is reporting State, city layoffs: 45,000 and counting...The effect of those layoffs will far outweigh any benefit of the economic stimulus package, much of which was already spent. We must use the word benefit loosely because government giving away money it does not have never produces any economic benefit...Bloomberg is reporting Financial Firms May Make Deeper Cuts, Eliminate 175,000 Jobs."

"This is the backside of Peak Credit.

None of the financial engineering jobs that fueled this credit boom will ever be needed again. SIVs, Conduits, Toggle Bonds, Covenant Lite loans are all dead for years, more likely decades to come. Add to that liar loans, Pay Option Arms, insane leverage, and numerous other ridiculous lending arrangements. And if those things are not coming back, we do not need Wall Street shills to securitize that garbage and pitch it to unsuspecting suckers."

"Unemployment is poised to soar. Few are prepared for it."