Posts Tagged ‘ Assets ’

Has Derivatives Deleveraging Fueled the Stock Rally?

By
February 7, 2012

A mad scramble to avoid insolvency as Greek default becomes likely may be driving the rally in equities.  Deleveraging typically means selling assets to raise cash to meet margin calls or pay debts coming due. But there may be another twist to ...
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Our Counterfeit Economy

By
February 1, 2012
Our Counterfeit Economy

The U.S. economy is in effect a counterfeit economy, living on money created from thin air that is unbacked by an equivalent productive expansion of surplus value. Yesterday we looked at counterfeiting and money printing and discovered they are on...
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Investors Pay to Lend to Germany, Want More From France

January 9, 2012 Investors Pay to Lend to Germany, Want More From France By REUTERS BERLIN (Reuters) - Investors paid to lend Germany a combined 3.9 billion euros (3.2 billion pounds) for six months on Monday, accepting a loss in a renewed flight to ...
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A Brave New (Broken) World

By
December 28, 2011
A Brave New (Broken) World

I've said it before, and I'll say it again.

The markets are broken.

It's not that they're not functioning on a daily basis, pricing risk and assets and performing their price discovery duties. They are doing that - or at least trying to.

Those are the little, daily...
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For Central Bank Balance Sheet Wonks- Assets Must Equal Liabilities + Capital

By
December 16, 2011

The judgment that such and such a policy was the right choice in current exceptional circumstances should not make us complacent about possible medium-term risks arising from such a significant shift in the size and composition of central bank balanc...
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Part 2: Hyper-Hypothecation Madness

Wednesday, December 14, 2011 Part 2: Hyper-Hypothecation Madness "A prime broker need not even require that an investor sign all agreements with a European subsidiary to take advantage of the re-hypothecation loophole. As a result of these peripheral...
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Journalists Jumping To Conclusions Can Get Contusions

By
December 7, 2011

Pedro da Costa, maybe the smartest and best reporter covering the Fed, and who seems like a good guy, has a blog post out today suggesting that the $50 billion ECB dollar lending operation today will cause the Fed’s balance sheet to expand. He’s piggy backing on Mike Derby’s column in the Wall Street...
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Portugal raids public pension fund, joining Ireland & Hungary..

UK Telegraph Excerpt: The cabinet agreed to transfer the assets from four of Portugal’s biggest banks to the state balance sheet. The assets will be used to bridge a gap needed to meet the fiscal deficit target of 5.9pc of GDP set by the terms of...
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I know Krugman is wrong…but why is he?

While watching some Steve Keen interviews, I was struck by something. I have known for a long time that mainstream economists pay no attention what so ever to private sector debt levels. I never really dug into why. But Keen specifically touched on ...
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A Brave New (Broken) World

By
November 9, 2011
A Brave New (Broken) World

I said it the other day, and I'll say it again.

The markets are broken.

It's not that they're not functioning on a daily basis, pricing risk and assets and performing their price discovery duties. They are doing that - or at least trying to.

Those are the little,...
Read More »

The Greatest Short – why all correlations are moving to 1

I was quite surprised to find this on 0hedge with no reference to iTulip. I have not noticed him posting anywhere else previously, at least not as "Finster". He does of course keep his Finster Financial Forecast, but no blog or discussion there. The G...
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ECRI Leading Index: Yes, It’s Still Falling.

ECRI Leading Index: Yes, It’s Still Falling.

October 21, 2011, 11:19 AM ET. ECRI Leading Index: Yes, It’s Still Falling. By Mark Gongloff ECRI ECRI weekly leading index rolling growth rate. Click for big image.You wouldn’t know it from the rally in risk assets today — even copper is jum...
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BAC offloading derivatives to FDIC per counterparty instructions

At the request of counterparties, BAC is moving derivatives to its FDIC insured subs. Naked capitalism claims that the 2005 bankruptcy laws give derivatives counterparties first claim against assets. How this transfer is not a crime, I cannot imagine....
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Corruption through Lobbying is Extremely Profitable

MUCH as some businesses whine about government intrusion, others do pretty well out of it. An index based on the amount of lobbying that American firms do has outperformed the broader market since its creation in 2008; data going back to 1998 show t...
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Bank Failure #72: Bank of the Commonwealth, Norfolk, VA

Friday, September 23, 2011 Bank Failure #72: Bank of the Commonwealth, Norfolk, VA by CalculatedRisk on 9/23/2011 06:25:00 PM Common bank guidelines Common sense says follow them Commonwealth should of. by Soylent Green is People From the FDIC: So...
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The Endgame: Europe Is Finished

The Endgame: Europe Is Finished

Wow, amazing how ugly things look when the banksters don't have the government in their back pocket to issue a $1 trillion TARP bailout. The article below portrays JPM and BAC as smelling like roses compared to European banks. That's quite a trick. ...
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ES 1150.00 -7.50 futures leaking

ES 1150.00 -7.50 futures softening ever sinceEuropean markets opened. Euro markets opened up put have been selling down since then. China put out some statements that they are interested in Europe, but dont' say anything about Italian bonds. Italian...
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The Price of Bank Immortality?

By
September 6, 2011

ZURICH, Sept 6 (Reuters) - Switzerland is set to partially meet a U.S. ultimatum and deliver an estimate of the amount of assets held by U.S. residents in secret accounts at Swiss banks, possibly up to $30 billion, a newspaper reported on Tuesday. Citi...
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The Price of Bank Immortality?

ZURICH, Sept 6 (Reuters) - Switzerland is set to partially meet a U.S. ultimatum and deliver an estimate of the amount of assets held by U.S. residents in secret accounts at Swiss banks, possibly up to $30 billion, a newspaper reported on Tuesday. Citi...
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Collapse of the Commodities Bubble…Ready for Deflation?

Here are the opening and closing paragraphs of this piece from The Automatic Earth blog... The first paragraph: Our most consistent theme here at The Automatic Earth has been the developing deflationary environment and the knock-on effects that wil...
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Corporate profit outlooks will worsen: survey

Aug. 16, 2011, 12:06 p.m. EDT Corporate profit outlooks will worsen: survey But 42% of investors think global recession won’t happen this year By Dawn Lim, MarketWatch NEW YORK (MarketWatch) –– Investor sentiment has taken a sharp turn in the ...
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Professionals shifting to ETFs from mutual funds.

June 6, 2011, 6:00 PM Professionals shifting to ETFs from mutual funds. Exchange traded funds (ETFs) have made a big impact on the investment arena in the past few years, pulling assets from mutual funds and other investment vehicles too. Regular i...
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David Stockman quote

link Before the crisis hit in 2007, “the top four banks in this country had $5 trillion of assets combined. After the whole crisis of too-big-to-fail and all of the bailouts, today the top four banks have $7 trillion of asset footings.” Simultaneo...
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Priced in Gold, Is Housing a Buy?

In terms of the median price, it took almost 600 ounces of gold to buy the median priced house in 2005. Then housing collapsed, and gold rocketed from $500/oz to $1,500/oz. As a result of housing declining by 40% and gold tripling, the ratio has pl...
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U.S. should sell assets like gold to get out of debt, conservative economists say

washington Post article: "U.S. should sell assets like gold to get out of debt, conservative economists say." Wash. Post Article Proving that conservative economists are as dumb as liberal economists.
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Look Alikes, Dominos and Slippery Slides

Look Alikes, Dominos and Slippery Slides

May 14, 2011 Analysis from Chris Kimble Here's a weekend update from technical analyst Chris Kimble with several charts that inspired his arresting title. Click for a larger image Click for a larger image Chris comments: Multip...
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Aussie could hit US1.70 by 2014

Global currency expert Savvas Savouri, of the British-based Toscafund hedge fund, went a step further, predicting the greenback would be relegated to a "museum", as China reluctantly moved to upwardly revalue its own currency, the yuan. Combined with ...
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A Replay of The Great Escape?

A Replay of The Great Escape?

May 5, 2011 Analysis from Chris Kimble Chris Kimble has an interesting post on blog this morning with a troubling question as the title: Is A Great Escape Taking Placeabout To Take Place In A Wide Variety Of Assets? Here are the two chart four-pac...
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US Treasury to sell toxic assets?

By
March 21, 2011

Who is gonna buy it? Wouldnt that undercut QEII?
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The Coming Rout

By
March 11, 2011

Let's just say it won't be pretty. Everything would tank. Stocks, bonds, and commodities. All of the risk assets that have been unnaturally supported by a flood of liquidity, too-low interest rates, and thin-air base money would give up those il...
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