The operating losess are due to the real estate losess, and the collateral is mortgages. The losess caused the banks to be unable to meet their short term obligations. But yes, it's not like the Fed went out and started buying real estate.The Fed must have some forecasts of how deep it is going to go, but there is a lot of unknowns because there is no way to really know when we will reach time bottom nationwide. Rate this comment: 0 0