Category: Credit Crisis 2009
The analysis published under this category are as follows.
Friday, May 22, 2009
Bail Out Your Self!, Time for a Tax and Mortgage Strike / Politics / Credit Crisis 2009
By: Submissions
Ted Rall writes: The calamari salad was world-class. Still, my friend the CPA's face screwed up. "You know what still has me pissed off? The bailouts. All wasted on CEO bonuses. But nobody cares!"
I told him I thought people cared, but they didn't know what they could do about it.
Thursday, May 21, 2009
Delusions of Endless Credit Something Very Bad is Going to Happen / Interest-Rates / Credit Crisis 2009
By: LewRockwell
Richard Daughty writes: James Howard Kunstler, famous author and speaker, opines, “For now, the ‘bottom’ is in” which took me completely by surprise! I mean, how could anybody in their Right Freaking Mind (RFM) think that “the bottom is in” as far as the economy is concerned?
Wednesday, May 20, 2009
Are We ‘Back from the Fiscal Abyss’ as Dallas Fed Claims? / Interest-Rates / Credit Crisis 2009
By: Lorimer_Wilson
Richard W. Fisher, president and CEO of the Federal Reserve Bank of Dallas, was once one of the most expressive economist imaginable often using graphic and sensationalist words and expressions to get our attention when describing the ‘nightmarish predicament’ and ‘monstrous challenge’ that has finally engulfed us. It was only a year ago that he warned that a ‘frightful storm is brewing’ – ‘the mother of all financial storms’ – that could well plunge the U.S. government deeper into a ‘fiscal abyss’ causing the country to become submerged in a ‘vast fiscal chasm’. Fisher has not always been so dramatic in spite of saying recently ‘I am a Texan and Texans speak plainly and directly’ and he is not being very direct these days either.
Tuesday, May 19, 2009
Credit Crisis Freeze Thawing Following Massive Reflation Efforts / Interest-Rates / Credit Crisis 2009
By: Prieur_du_Plessis
Are the various central bank liquidity facilities and capital injections having the desired effect of unclogging credit markets and restoring confidence in the world’s financial system? This is precisely what the “Credit Crisis Watch” is all about - a review of a number of measures in order to ascertain to what extent the thawing of credit markets is taking place.
First up is the LIBOR rate. This is the interest rate banks charge each other for one-month, three-month, six-month and one-year loans. LIBOR is an acronym for “London InterBank Offered Rate” and is the rate charged by London banks. This rate is then published and used as the benchmark for bank rates around the world.
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Tuesday, May 19, 2009
Wave of Small Bank Failures Following Commercial Real Estate Losses / Companies / Credit Crisis 2009
By: Mike_Shedlock
Wall Street Journal Study of 940 Lenders Shows Potential for Deep Hit on Commercial Real Estate. Please consider Local Banks Face Big Losses.Read full article... Read full article...
Saturday, May 16, 2009
First the Mortgage Defaults Crisis Now the Credit Card Crash / Companies / Credit Crisis 2009
By: Mike_Shedlock
Credit card defaults are soaring, with double digit rates at Citigroup, Wells Fargo, and American Express.
Wednesday, May 13, 2009
Breaking News: Imminent Big Bank Failure on Overnight Bank Loan Failure / Stock-Markets / Credit Crisis 2009
By: Nadeem_Walayat
Jim Willie of the Hat trick Newsletter has just sent an urgent message of a potential imminent big bank failure that would be expected to hit the financial markets hard - message as follows -
Wednesday, May 13, 2009
Credit Card Crisis as Huge Losses Cause Lending to Stop / Interest-Rates / Credit Crisis 2009
By: Mike_Shedlock
The credit card industry is in huge stress and things are about to get worse. Please consider Advanta Halts Credit-Card Lending Amid Surging Losses.
Tuesday, May 12, 2009
Money Markets Mayhem Continues! / Stock-Markets / Credit Crisis 2009
By: Money_and_Markets
Nilus Mattive writes: Although Wall Street has been partying like it’s 1999 or 2007 or some other happy time, I recently saw yet another stark reminder that our recent financial crisis did in fact just happen … and that the dangers were real and long-lasting and still far from over.
Monday, May 11, 2009
Is the Financial Crisis Really Over? / Stock-Markets / Credit Crisis 2009
By: John_Mauldin
It has long been my contention that we are entering an extraordinary period of time in which using historical analogies to plot market behavior is going to become increasingly problematical. In short, the analogies, the past performance if you will, all break down because the underlying economic backdrop is unlike anything we have ever seen. It makes managing money and portfolio planning particularly challenging. Traditional asset management techniques just simply may not work. Buy and hope strategies may be particularly difficult to navigate.
Sunday, May 10, 2009
Financial Crisis Questions and Answers / Personal_Finance / Credit Crisis 2009
By: Money_and_Markets
Martin Weiss writes: I sincerely hope you’ve been following the lively conversation on my personal blog lately.
It’s a must, especially if you’re looking for ideas on how to turn lemons into lemonade in these bewildering markets!
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Sunday, May 10, 2009
Vanishing Credit Lines for Consumers and Small Businesses / InvestorEducation / Credit Crisis 2009
By: Mike_Shedlock
In Credit Card Lending Goes Full Cycle I posted an Email from Scott who was denied a credit card by Capital One on the basis of where he lived. Capital One did not even bother with a credit check that would have sown that Scott had a FICO score of 800.
Sunday, May 10, 2009
Banking System Report from Iron Mountain / Politics / Credit Crisis 2009
By: Richard_C_Cook
What impresses me in the current financial crisis is the near-total failure of so-called progressives to appreciate the magnitude of what is going on or the level of intelligence behind it. How many will say, for instance, that the crash was deliberately engineered by the creation, then destruction, of the investment bubbles of the last decade?
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Wednesday, May 06, 2009
Market-Based Bank Stress Test May Relieve Anxiety / Stock-Markets / Credit Crisis 2009
By: Axel_Merk
The stress test may be causing more harm than good. Why? Regulators should always have a good assessment of the health of financial institutions. If there are deficiencies in the process applied to regulate banks, then the process for the system as a whole should be reviewed.
Wednesday, May 06, 2009
Bernanke Warns of Danger of Credit Crisis Relapse / Interest-Rates / Credit Crisis 2009
By: Mike_Shedlock
While Fed Chairman Ben Bernanke Warns of a Credit Market 'Relapse', Congress is increasingly willing to stand up to the Fed Chairman.Read full article... Read full article...
Friday, May 01, 2009
Economy in Meltdown due to Imploding Derivatives Monster and Toxic Debt / Economics / Credit Crisis 2009
By: Sharon_Kayser
The Swimming Naked Prophecy - It's only when the tide goes out that you learn who's been swimming naked - Warren Buffet (2007). It surely kind of prophetic to hear a market guru, like Buffett, embracing such a philosophical approach two years ago as the Berkshire profits plunged 96% in early March amid the dysfunctional world economy. It is even more baffling to hear him blame the derivatives after admitting that the firm' s equity holdings had lost 44% because of them. One has to wonder exactly which game is he playing. In 2003, he was among the very first experts to warn about CDOs callin derivatives *financial weapons of mass destruction* and *time bombs*.
Friday, May 01, 2009
Gold on the Launch Pad / Commodities / Credit Crisis 2009
By: Guy_Lerner
I love to chronicle my follies with gold. Gold seems so easy. The Federal Reserve runs the printing presses, and everyone in the world knows this is inflationary, and just like that, gold should be off and running. But it isn't.
Thursday, April 30, 2009
The Three Strongest "Bank Stress Test" Banks / Companies / Credit Crisis 2009
By: Money_Morning
Martin Hutchinson writes: wait for the U.S. Treasury Department’s bank stress test when Money Morning can highlight the four secrets that will let you separate the winners from the losers in the U.S. banking system?
Call it the “Money Morning Bank Stress Test.”
Read full article... Read full article...
Thursday, April 30, 2009
Bank Stress Tests are Not Stressful Enough / Politics / Credit Crisis 2009
By: John_Browne
Last week, when the U.S. Treasury unveiled the basics of their lender "stress tests", the Fed concluded that "most U.S. banking organizations currently have capital levels well in excess of the amounts required to be well capitalized." Simultaneously, they also claimed that the banks needed more capital. Apparently the Fed has little understanding of irony.
Wednesday, April 29, 2009
How Banks Create Money Out of Nothing / InvestorEducation / Credit Crisis 2009
By: Submissions
The following is from mainstream economics textbook Success in Economics by Derek Lobley B.A. (London: John Murray Publishers Ltd, 1978 edition), which was part of the "Success Studybooks" series. It was intended to be "appropriate to the Economics syllabuses of many of the professional bodies such as ... the Institute of Bankers". It is published verbatim (but with emphases added) from ch.17, pp. 205-206.