Also, the mortgage banks are collecting fully on the bad mortgages they lent out, because of lots of insurance on the mortgages from Fannie and Freddie ; so the stock market is getting that in addition to the federal bailout money. The Stock Market made money coming and going on the Housing Bubble. Plus, they can lend freely because if they fail they know they will get bailed; they are to big to fail. The doctrine of moral hazard is dead for the biggest banks and financial institutions because they don't have to take risks in lending money, especially the more they lend, the more likely they get bailed if they fail . So, the Stock Market now reflects that new Big Creditors' reality. We're Too-Big-To-Fail.