Rupert Murdoch: "I Think There's More (Bad News) To Come"



(image via reporter.blogs)

Media tycoon Rupert Murdoch, attending Herb Allen & Co's annual confab ruminated on the state of the economy. From Southernledger:

"Rupert Murdoch expects the capital markets to lurch through the next 12 months as Wall Street banks sift through mountains of bad debt related to the mortgage crisis, the News Corp. chairman said Wednesday.

"'I'm a bit of a bear,' Murdoch told The Associated Press at the annual Allen & Co. media conference at the resort in Sun Valley. 'I think there's more (bad news) to come and it'll take a year to shake out.'

"He said Wall Street banks will have to continue to sell assets to raise money after making wrong-way bets on securities backed by souring home loans. Investment firms and big banks have written off more than $250 billion since the credit crisis started last year, and more write-downs are expected."

Perhaps this is why Murdoch is saying Obama will win the Presidency in 2008? More here.