Skip to content

Monthly Archives: February 2009

The unfreeze…

The corporate credit markets are open… and firms able to borrow are taking advantage of low interests rates… and this shows that global money center banks like Citigroup are not necessary for credit to flow to corporate firms… from the article… ~~~~ ” …Losses at the biggest banks and securities firms are leading smaller firms [...]

Low-life grave dancer

Here is a story about one of the “private market participants” that is anxious to have the US Treasury shovel some toxic assets of the failing banks out the door… he stands to make “a tremendous fortune”… while the taxpayers foot the bill… this is not the change we were hoping for… ~~~~ “Feb. 19 (Bloomberg) [...]

CDS regs move along…

From K&L Gates… ~~~~ Opening Salvo Fired in Financial Market Reform Effort, But Many Battles Lie Ahead By voice vote on February 12, 2009, the House Committee on Agriculture approved H.R. 977, the “Derivatives Markets Transparency and Accountability Act of 2009.”  Because of various provisions in this bill, portions of it will be referred to [...]

Toxic transparency

Paul Wilkenson writes, in a letter to the WSJ, about tagging mortgage securities with XBRL to make reporting and trading easier and more accurate… ~~~~ “Let’s Use Technology to Help Value Toxic Assets Perhaps the market would have preferred Treasury Secretary Timothy Geithner’s plan announced Feb. 10 if it incorporated insight from Gordon Crovitz’s “Time to Reinvent [...]

Wall Street meltdown

PBS broadcasted a Frontline special called “Inside the Meltdown” that retells the story behind the current credit meltdown we are experiencing. As with many Frontline pieces, this is well done. Here is the video (60 minutes long):

Bank leverage

via the Libertarian Democrat… via Paul Kedrosky… via Option Armageddon

Banking comments

Christopher Mutascio, banks analyst at Stifel Nicolaus, discusses the US banking sector… he says… “we need deleveraging to occur faster not slower”… “unclear what the (sic Treasury Secretary Geithner’s) ‘stress test’ represents”… “best strategy is to combine weak and strong banks and provide an insurance wrap on the poor assets”… “banking sector pretty much ‘uninvestable’ [...]

Bailed-Out Banks Charge Highest Fees in FDIC Sales

Oh to be an investment bank bailed out by the American taxpayers… just keep on your merry way… Citi and Bank of  America earned $6 million to underwrite bonds that are insured by the FDIC… it’s a little hard to understand why this happens… This story is an prime example of why we don’t trust [...]

having known Tim from the New York Fed

 John Mack of Morgan Stanley had a brief interview with Bloomberg following the House Financial Services Committee hearing last week… this short video highlights the extremely deep connection between Wall Street and Treasury Secretary Geithner… it’s  important that we question whether the shared Wall Street/Treasury/Federal Reserve nexus truly serves our nation… at a minimum more [...]

Consumerism deflates

The Wall Street Journal interviews Anna Wintour, the editor of Vogue and asks about consumption… ~~~~ “…During the boom, were people buying too much stuff? I think it was excessive, and there’s a very correct correction going on. When do you think the consumer will be confident enough to shop like she used to? I [...]