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Tag Archives: Federal Reserve

Senator Dodd’s excellent proposal

From Jesse’s Cafe…
~~~~ ” Senator Chris Dodd made an interesting proposal this afternoon, and on thinking further it seems to be one of the most reasonable and practical suggestions that we’ve heard during this crisis.
The Senator proposed that whatever givebacks, restrictions, haircuts, penalties, oversight, pay cuts and equity arrangements that are written into the bridge [...]

Ready comparisons

  
I attended the Securities and Exchange Commission (SEC) open meeting for adoption  of the Final Rules for credit rating agencies in Washington yesterday … these are the rules which regulate Standard & Poors (MHP) , Moody’s (MCO) and Fitch.
I’ve been writing comments to the SEC on this issue since 2003 and it’s amazing to see how [...]

arrow in the Federal Reserve’s quiver

There is no better commenter in the blogsphere than Don-the-Libertarian Democrat… I’ve copied his post reviewing Federal Reserve Chairman Bernanke’s speech in Austin….
~~~~  Ben Bernanke gave a speech yesterday:
“As you know, this extraordinary period of financial turbulence is now well into its second year. Triggered by the contraction of the U.S. housing market that began [...]

Leveraged fixed income arbitrage 1999

~~~~ ” Leveraged fixed-income arbitrage trading strategies have not been a popular topic in the past several months. However, following the dislocations that occurred to world financial markets in the second half of 1998, many good opportunities for fixed-income arbitrage trading continue to exist for those firms that survived the peril of the previous year.
Indeed, [...]

A variety of limits…

The collapse of the interrelations between units of the global financial system has created chaos… many voices are trying to reestablish the threads that weave the various levels of the system back together… limits… everyone is calling for limits… 
But are limits really a sound framework for controlling the world’s financial system?
Who defines, controls and enforces [...]

Eased in Japan

~~~~ ” … While officials yesterday contested claims that the Fed is undertaking quantitative easing, they acknowledged that the central bank’s new actions will result in another injection of funds into the system. Officials said their objective is to affect credit markets rather than to target money supply.
The Bank of Japan is the only major [...]

Marshall Plan + Louisiana Purchase + Korean War + Vietnam War + Moon Landing

President Elect Obama and Treasury Secretary Designee Geithner are making an enormous bet with the nations patrimony…  ”the single most expensive expenditure in American history”… gentlemen… history is watching and will be measuring the outcome…
))))  )  ))))  )  ))))
~~~~ “ The government’s financial bailout will be the most expensive single expenditure in American history, potentially costing [...]

Cathedral derivatives

The derivatives news is flowing out… everyone is focused on the problem and pushing solutions… excellent… this monster will likely not be slayed but will suffer severe damage… keep beating friends…

“Creditex and Markit today announced the compression of $1.036 trillion in notional value of credit default swap (CDS) transactions since the successful launch of a [...]

Kitchen sink

From Econompic Data…
If nothing else you have to credit the creativity of the Fed/Res…
Imagine the “whiteboarding” of potential solutions…
Take a holiday guys…

Time to update the Bishop…

The Episcopal Bishop of New York was shocked recently when I told him that the US government had committed $2 trillion to financial firms… I can imagine the look on his face when I tell him that it is now over $ 7  trillion… from Bloomberg…
 
~~~~ “The U.S. government is prepared to lend more than [...]