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Category Archives: Trading

Populism V

From Finextra: ~~~ A group of 48 non-profits are tapping YouTube, Twitter and facebook for a UK campaign to introduce a “Robin Hood tax” on banks that they argue could raise hundreds of billions of pounds a year to fight poverty and climate change. The coalition of charities, aid agencies, green groups and unions is calling […]

Drive the algos overseas…

The Chicago Fed has published a short paper on high frequency trading… makes you wonder how much economic activity this trading represents for the Chicago area… The fundamental issues around high frequency trading are systemic risk and investor fairness. Unfortunately this paper doesn’t address either one of those issues… From the conclusion of the paper “Controlling risk […]

Political economy collides with capitalism…

Professor Joseph Stiglitz and Spanish Ambassador to the UK Carles Casajuana argue with a Hugh Hendry (of Electica Asset Management) who is betting on the Euro currency falling and failing.  Recorded from Newsnight, 09 February 2010. (HT 0/Hedge) From Project Syndicate: ~~~ “… We have compared the performance of the best-performing and worst-performing euro-zone countries between […]

Barney Frank, Zhu Min and global hot money flows…

Interesting undercurrents at The Next Global Crisis panel at the World Economic Forum at Davos… Check out the video at 1 hour 10 minutes. You can see the comments of Zhu Min, the deputy governor of the People’s Bank of China (the Federal Reserve of China), as he gives some insight from his part of […]

Fails to deliver

Bloomberg’s Brian Luke reports on the outlook for the U.S. mortgage-bond market. (running time = 1:40 minutes) Fails to deliver are a problem that the Fed have not addressed since the giant daisy chain fails problem after 9/11… Primary dealers…  financial market utilities…

Derisking the banking system

Senate hearing on prop trading – Feb 2, 2010 Source: PROHIBITING CERTAIN HIGH-RISK INVESTMENT ACTIVITIES BY BANKS AND BANK HOLDING COMPANIES Senate Banking Committee Hearing: Tuesday, February 2, 2010 , 02:30 PM 538 Dirksen Senate Office Building The witness will be: The Honorable Paul Volcker, Chairman of the President’s Economic Recovery Advisory Board. Honorable Neal […]

Multiple years of deleveraging from here…

In the bond markets Cantor has always been known as the “outer boro guys”…. never a fancy shop like Goldman or Morgan Stanley… but they were a dominant broker before 9/11 wiped out the majority of their employees… it’s good to see them hunting around for new products to make markets and service customers… In […]

The Euro “big boy” view of the Obama plan

From Bloomberg… “Florian Esterer, a fund manager at Swisscanto Asset Management, and Dirk Becker, an analyst at Kepler Capital Markets, talk about President Barack Obama’s plan to curb U.S. banks. They also speak with Bloomberg’s Rishaad Salamat about today’s meeting of Group of Seven finance ministers in London. ” Here is the press release from […]

“Building up another bubble on the bond markets”

“Moral hazard doesn’t exist anymore…”… so sayeth the Euro crowd… President Obama… you’re smart enough to understand “banker code”… call up Adair Turner if you need a decoding kit… This video from Bloomberg shows Karsten Schroeder, chief executive officer of Amplitude Capital LLP, talking about risk-taking by banks and the condition of credit markets.¶ ¶ Central bankers will […]

Regulations should be organized on the premise that credit should be allocated to productive activities

Tax the speculators and create a public bank from therealnews.com Several mintues into the interview Robert Pollin, Professor of Economics and founding Co-Director of the Political Economy Research Institute (PERI) at the University of Massachusetts, Amherst says the following … ~~~ “… POLLIN: Well, I think the simplest idea, the simplest principle, is the financial system […]