Category: Credit Crisis 2011
The analysis published under this category are as follows.
Wednesday, November 02, 2011
MF Global Bankruptcy Exposes Vulnerability of U.S. Banks to Eurozone Debt Crisis / Companies / Credit Crisis 2011
By: Money_Morning
David Zeiler writes:
The bankruptcy of MF Global Holdings (NYSE: MF) was a distressing signal to investors that it is possible for U.S. financial institutions to fall victim to the Eurozone debt crisis.
MF Global filed for Chapter 11 bankruptcy Monday after credit downgrades led to margin calls on some of the $6.3 billion in Eurozone sovereign debt the bank held. The position was five-times MF Global's equity.
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Tuesday, October 25, 2011
The E.U. is Over Banked, Chaos in the Land of Oz (Part 2) / Stock-Markets / Credit Crisis 2011
By: PhilStockWorld
Elliott: In Part 1 of our interview, we agreed that by not allowing the too-big-to-fail (TBTF) banks to fail, the federal government is continuing its environment of corruption and moral hazard. Case in point - the scheme to force taxpayers to insure Bank of America’s worthless debt via the FDIC.
So, Russ, it will get worse, until TBTF banks get decapitalized?
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Monday, October 24, 2011
Assessing the Damage of the European Banking Crisis / Interest-Rates / Credit Crisis 2011
By: STRATFOR
Europe faces a banking crisis it has not wanted to admit even exists.
The formal authority on financial stability, International Monetary Fund (IMF) chief Christine Lagarde, made her institution’s opinion on European banking known back in August when she prompted the European Union to engage in an immediate 200 billion-euro bank recapitalization effort. The response was broad-based derision from Europeans at the local, national and EU bureaucratic levels. The vehemence directed at Lagarde was particularly notable as Lagarde is certainly in a position to know what she was talking about: Until July 5, her title was not IMF chief, but French finance minister. She has seen the books, and the books are bad. Due to European inaction, the IMF on Oct. 18 raised its estimate for recapitalization needs from 200 billion euros to 300 billion euros ($274 billion to $410 billion).
Sunday, October 23, 2011
Savers Protect Your Deposits From Bankrupting Banks and Quantitative Inflation / Stock-Markets / Credit Crisis 2011
By: Nadeem_Walayat
The Euro-zone continues to teeter over the edge of the financial abyss as bankrupting countries that cannot print Euro's threaten the collapse of its banking system that would would soon collapse the whole global banking system in a matter of hours as electronic bank runs sweep across the worlds financial system resulting in trillions of dollars worth of deposits being withdrawn in a matter of hours and thereby collapsing first the Euro-zone and then within 24 hours the UK, USA and Asia along with it. My recent article (Euro-Zone Prepares to Print Trillions in Advance of Greece Debt Default) covered the potential consequences for the world in the event of financial armageddon, this article continues on from the last article that covered the inflationary depression consequences of money printing that the likes of Britain and the United States are engaged in and that the Euro-zone WILL eventually replicate (Bank of England's Quantitative Inflation Bankster's Paradise Inflationary Depression Economy ).
Sunday, October 23, 2011
Is Bank of America Headed for the Glue Factory? / Companies / Credit Crisis 2011
By: Mike_Whitney
Why is Bank of America moving derivatives from Merrill Lynch to an insured subsidiary? Is it because the derivatives could blow up at any time leaving Merrill with gigantic, unsustainable losses? If that’s the case, then it would make perfect sense to shift them into a depository institution that’s covered by the FDIC. That way, the taxpayers would wind up paying for the damage and no one would be the wiser. It’s like a stealth bailout, right? The only problem is that Bloomberg let the cat out of the bag, so now everyone knows what’s going on. And that’s going to be a very big problem for B Of A. Here’s a clip from the Bloomberg article:
Monday, October 17, 2011
Europe's Banks Are Still About to Go Bust / Companies / Credit Crisis 2011
By: Money_Morning
Keith Fitz-Gerald writes:
The latest plan to preserve the European Union (EU) and save the global banking sector is to force European banks to increase their equity capital.
The goal, of course, is to restore confidence and stability. But if that's the case, then why are so many analysts and savvy investors still nervous?
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Friday, October 14, 2011
These Three Men Represent Everything That's Wrong with Wall Street / Politics / Credit Crisis 2011
By: Money_Morning
Shah Gilani writes:
I've already expressed my desire to embrace the Occupy Wall Street movement. I said last week that I would join in whole-heartedly if I knew exactly what the protesters were trying to achieve.
But I don't know - and I'm not convinced they do, either.
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Friday, October 14, 2011
Italian Bond Yield Surges to 5.82%, Government Loses Routine Budget Vote / Interest-Rates / Credit Crisis 2011
By: Mike_Shedlock
After losing a routine parliamentary vote on the budget, Silvio Berlusconi, the very annoyed prime minister of Italy called for a vote of confidence. The vote is expected on Friday.
I believe Berlusconi may lose a close vote. If not, he will be discarded by March.
Tuesday, October 04, 2011
Occupy Wall Street Has Been Battling The Cops, the Counterrevolution Builds / Politics / Credit Crisis 2011
By: Danny_Schechter
By it actions, Occupy Wall Street is puncturing myths like these:
l. The Myth that direct action against the center of financial power can’t be sustained’
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Monday, October 03, 2011
If They Have a Gun To Their Heads, Do the Banks Lend? / Interest-Rates / Credit Crisis 2011
By: Submissions
Sam Houston writes: Here we are three years after the financial crisis of 2008. The banks got bailed out. Their junk mortgages now sit on the balance sheet of the Federal Reserve. In exchange the Fed gave them face value in cash for their junk. Where did they get the cash? They created it out of thin air of course.
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Thursday, September 29, 2011
Forecasting the Current Financial Crisis and How to Profit From It / Stock-Markets / Credit Crisis 2011
By: Casey_Research
Best Doug Casey interview ever? You decide.
Tuesday, September 27, 2011
Top 10 Most Extreme Monetary Policy Moves of 2011 / Interest-Rates / Credit Crisis 2011
By: CentralBankNews
Here's a listing of the top ten most extreme monetary policy moves in the year to date of 2011 (as judged by Central Bank News). To be sure, there's still another quarter of the year to go, and with heightened concerns about global growth and the ongoing European debt crisis the list could yet be expanded. But for now, let's look over some of the most extreme moves in the year so far in monetary policy:
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Tuesday, September 27, 2011
Governor Raskin's Remarks Contain Noteworthy Observations about Credit Markets / Interest-Rates / Credit Crisis 2011
By: Asha_Bangalore
Fed Governor Raskin’s comments today were largely devoted to soft and worrisome labor market conditions and a justification of the Fed’s unconventional policy actions. She also presented her views about credit availability pertaining to households and small businesses.
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Tuesday, September 27, 2011
Germany's Inner Struggle Stifles EU Debt Crisis Action / Politics / Credit Crisis 2011
By: John_Browne
The leaders of Europe have been criticized for their inability to deal expeditiously with the Eurozone debt crisis. Many view the paralysis through the prism of self interest: taxpayers of the EU's creditor nations are simply unwilling to finance spending of the bloc's debtors. But the hesitancy can also be ascribed to the growing voter dissatisfaction with the entire structure of the Eurozone, and in particular a chasm between German voters and German leaders.
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Monday, September 26, 2011
Euro Crisis, Too Big To Bail? / Stock-Markets / Credit Crisis 2011
By: Bob_Kirtley
During the first financial crisis whereby the like of Lehman Brothers failed we heard the war cry ‘Too Big To Fail’ trotted out by our political masters. As the next financial crisis approaches we might hear a new mantra; ‘Too Big To Bail’ as one or more of the larger banking institutions enters into bankruptcy.
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Saturday, September 24, 2011
Credit Crisis 2011 Clintonomics Redux / Politics / Credit Crisis 2011
By: Barry_Elias
Recently, the Chief Executive Officer and President of Newsmax, Christopher Ruddy, interviewed President Clinton while attending the Clinton Global Initiative (CGI) forum in New York City.
CGI is a non- profit entity founded in 2005 by President Clinton and the William J. Clinton Foundation. Through public and private collaboration amongst leaders in business, government, and non-governmental organizations (NGO), CGI facilitates actionable solutions to global issues.
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Thursday, September 22, 2011
Monetary System In Ruin, Signals Of Systemic Collapse / Stock-Markets / Credit Crisis 2011
By: Jim_Willie_CB
Wow!! The billboard signals of extreme crisis are overwhelming. Three years of near 0% with no recovery. A full year of ample USTreasury and mortgage bond monetization with no recovery. Tons of cash aid deliveries to the big US banks with no recovery. Some key corporate nationalizations with no recovery. Oodles of errant stimulus programs with no recovery. Some important misdirection in home loan aid initiatives with no recovery. The US Federal Reserve admits it can do nothing more as a recovery remains elusive. The USGovt is paralyzed by disguised fascist warmongers opposed by disguised marxist collectivists, but intent on maintaining the status quo among bank fraud. An approved accounting fraud directive is kept in place to present a picture of bank solvency. Intermediate credit markets have come to a standstill.
Wednesday, September 21, 2011
Financial Capital Burning Sensation Like Peeling Onions / Stock-Markets / Credit Crisis 2011
By: Doug_Wakefield
Have you ever peeled some onions for a dish you were making? Did you have a burning sensation, which brought tears from your eyes? Like peeling onions, we are watching events today that have, and will set up millions for that “burning sensation” with their financial capital, and why there is a desire to avoid peeling back any more layers of the onion.
Wednesday, September 21, 2011
Liquidity Crisis? A Currency Perspective / Currencies / Credit Crisis 2011
By: Axel_Merk
In 2008, the global financial system faced a potential meltdown when funding seized up for investment banks, ultimately leading to the failure of Lehmann Brothers. Three years on, we have got plenty of problems, but – as we shall argue - investors may want to differentiate between a financial meltdown and insolvency. While complaining about policy makers and bankers may generate animated water cooler discussions, let’s take their human (and fallible) nature as a given, and discuss implications for investors. In this context, we assess the U.S. dollar, currencies and equities.
Wednesday, September 21, 2011
Europe's Botox Bailouts on a Corpse / Interest-Rates / Credit Crisis 2011
By: Gary_North
"It's a bit like botox. It looks good for a while but will eventually start to sag again." ~ Katherine Garrett-Cox
Mrs. Cox is the chief executive of England's Alliance Trust investment fund. She has dismissed Europe's attempts to solve its debt crisis as "economic cosmetic surgery", warning there is "more pain" to come over the next few months. So we read in the London Telegraph.
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