Ali – Frasier, Red Sox – Yankees, Herb's leather jacket and the Fashion Police. Those are just skirmishes. This is a street fight!
Herb Greenberg said the market right now wants to go down. It wants to drop on the slightest bit of bad news.
Dylan Ratigan said you think that's in part because you think there's a real credit problem?
Greenberg quickly said "Yes!" There's not only a sub-prime issue. But the mid-prime issue. And mid-prime is Mr. and Mrs. America. (Herb thinks the same kind of problem with home owners defaulting on their mortgages is creeping into more mainstream types of loans.)
Bolling shot back, you think this is a sub-prime problem creeping into mid-prime??!! It's not! Even Ben Bernanke said it's not!
Herb said let me tell you something. Bernanke is looking in the rearview mirror and not toward the future.
Tim Strazzini said that although Herb made his point in an irritating fashion he was onto something. These mortgages are the next tier up from sub-prime. It's not always called mid-prime, but it's a substantially larger percentage of the population. It's substantially larger than sub-prime.
Jeff Macke said to hold the phone. You're arguing against the only guy in the world who can prevent this from happening. Bernanke can lower interset rates.
Strazzini and Greenberg wouldn't hear it.
Dylan Ratigan said we agree to disagree, and added the Strazzini /Greenberg combination was too strange for words.
On MAR 1, 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders.
Bolling: Gold, Silver, Soybeans, Short Corn,, (NYX), (ICE)