S&P Sees End to Subprime Mortgage Writedowns!

S&P moves from pumping CDOs to Stock Market?  Or are they trying to be funny?  April Fools is still 2 weeks away.

"The positive news is that, in our opinion, the global financial sector appears to have already disclosed the majority of valuation write-downs of subprime asset-backed securities," S&P credit analyst Scott Bugie said in a report.

More write-downs could be in store outside the subprime sector, however, S&P cautioned.

I guess this means we are moving to Alt-A and prime write-offs.  Other than that, I am not sure what kool-aid these people are drinking.  And stocks pared loses on these remarks?  

But then again what do you expect from an agency that has AAA on Ambac which is paying 14% interest rate!

"What was surprising to me in the report was that S&P said that we may be near the end for write-downs on subprime mortgages," said Mike Kagawa, portfolio manager at Payden & Rygel in Los Angeles. "They must be seeing something I'm not. I just don't see it."  

Same here.  I don't see what S&P is looking at.  I guess we can now officially call them Standard & Pumpers!

http://www.cnbc.com/id/23611885