Question: What is the latest on the toxic assets?

[JDPriestly]

I understand that some of the banks are paying back the amounts loaned to them by the taxpayers.

If I understood correctly, the U.S. government (the U.S. taxpayers) were somehow given what were called "toxic assets" at some point around when the bail-out took place. Does anyone know what happened to the toxic assets?

Since the bail-outs, I have read quite a bit on derivatives. If the toxic assets are not so much the mortgages in foreclosure including the sub-prime mortgages but rather the derivatives, they are worthless and always were. Who owns those toxic assets now? What has happened to them? Did they disappear? Do the banks get them back when they pay back the taxpayer loans? Anyone out there have an answer?

[LuvNewcastle]

1. This article says that the Fed

is unlikely to be able to unload the toxic assets.

http://www.pr-inside.com/international-markets-zen-international-toxic-r1634786.htm

[JDPriestly]

2. When Obama and the Fed claim the economy is improving, we need

to keep in mind that this huge tiger is hiding under our national bed. What a scam the Fed and Obama and Bush pulled on this one. It is the biggest scandal the nation has ever seen. This is far bigger than the Teapot Dome Scandal. And it is yet to break.

[Nikki Stone1]

3. Great point.

K & R