Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.
Thursday, November 29, 2012
Back to Basics: A Planned Financial Crisis? / Stock-Markets / Credit Crisis 2012
By: DeviantInvestor
Franklin D. Roosevelt, the 32nd president of the United States said, “In politics, nothing happens by accident. If it happens, you can bet it was planned that way.”
Monday, November 26, 2012
Shadow Banking: The Next Financial Crisis Landmine / Stock-Markets / Credit Crisis 2012
By: Alasdair_Macleod
The Federal Reserve Board originally led us to believe that it was necessary to expand money supply through quantitative easing to offset the contraction of bank credit. Bank credit is no longer contracting, and indeed was already expanding when QE3 was introduced. This objective is now being satisfied as illustrated in the chart below:
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Tuesday, November 20, 2012
The Bankers Lost - 2012 Debt Tipping Point Results / Stock-Markets / Credit Crisis 2012
By: Darryl_R_Schoon
The bankers’ bet that sufficient credit can reverse an economic contraction is no longer on the table. This does not mean central bank credit will tighten. Just the opposite will happen. Monetary easing will continue until the very end. Central bankers are trapped. The end game is now underway.
It is highly unlikely the Mayan predictions of the end of the world referred to the bankers’ world of credit and debt. Nonetheless, with only one month remaining until December 21, 2012—the end date of the Mayan 5,125 year Mesoamerican calendar—the concomitant end of the bankers’ 300 year ponzi-scheme of credit and debt should not be dismissed as mere coincidence.
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Friday, November 16, 2012
THE Biggest Story in Finance That No One Is Talking About / Stock-Markets / Credit Crisis 2012
By: Graham_Summers
Modern financial theory dictates that sovereign bonds are the most “risk free” assets in the financial system (equity, municipal bond, corporate bonds, and the like are all below sovereign bonds in terms of risk profile). The reason for this is because it is far more likely for a company to go belly up than a country.
Friday, November 16, 2012
What Really Happened When Lehman Failed… And Why Spain Will Be Much Worse / Stock-Markets / Credit Crisis 2012
By: Graham_Summers
Countless pages have been written about why Lehman caused the system to almost implode. However, the reality is that Lehman nearly took down the entire financial system for two reasons:
1) Lehman’s $155 billion worth of bonds were used as collateral in hundreds of billions of Dollars’ worth of trades.
2) Lehman’s 8,000 clients who were all using Lehman to make trades saw the collateral that they had placed with the firm (to backstop their portfolios) frozen.
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Monday, November 12, 2012
The Fiscal Cliff is a Mole Hill Compared TAG Program Expiry / Stock-Markets / Credit Crisis 2012
By: Money_Morning
Shah Gilani writes:
Everyone is afraid of falling off the "fiscal cliff." But there's another dangerous countdown clock about hit to zero.
And no one is talking about it, even though it will spell even more financial problems for us all.
At midnight on December 31, 2012, the Transaction Account Guarantee (TAG) program will expire.
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Tuesday, October 23, 2012
The World’s Largest, Most Toxic Banking System… / Stock-Markets / Credit Crisis 2012
By: Graham_Summers
As noted earlier in yesterday’s article, the entire European banking and corporate system is over-burdened with debt.
Germany sports a real Debt to GDP of over 200% (this from the former head of the Bundesbank), and the rest of Europe is in even worse shape.
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Thursday, October 18, 2012
QE Infinity Won't Work, What the Banks Are Really Afraid Of ... / Stock-Markets / Credit Crisis 2012
By: Money_Morning
Keith Fitz-Gerald writes: Dallas Federal Reserve President Richard Fisher recently offered a stunning assessment about our policymaking central bankers down in Washington.
They're winging it.
In a talk before a Harvard Club audience, Fisher presented a candid assessment about all the levers the Fed has been pulling in the aftermath of the 2008 financial crisis. And that includes the recently announced QE3.
Wednesday, September 26, 2012
The Fed Is Trapped, Gold Is The Exit / Stock-Markets / Credit Crisis 2012
By: Darryl_R_Schoon
47% of US investors dependent on the Fed believe they are victimized by government, who believe they are entitled to enough liquidity to profit when risk is laid-off onto others, to society, to you-name-it…
On September 13th, the Fed announced QE3, a policy of open-ended bond purchases which would add $1 trillion annually to the Fed’s balance sheet. The Fed’s decision to provide liquidity ad infinitum, i.e. QE etc, was framed in reasonable and carefully chosen language:
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Monday, September 24, 2012
Asian Financial Crisis Lessons, Can Malaysia’s Capital Controls be Copied? / Stock-Markets / Credit Crisis 2012
By: Sam_Chee_Kong
The Asian Financial Crisis in 1997 came as a surprise and caught most people by surprise not only by the speed but also the severity of the crisis. At that time the Asian Economic Miracle was the buzzword then and the Asian Tiger economies are at their peak not only in the performance of their export oriented economies but also the stocks and properties market. To accommodate the shortage of funds needed to boost their economies, their governments embark on a ‘loose money’ monetary policies regime.
Thursday, August 30, 2012
Currency Twisters and Firestorms on Central Banks Obvious Failure / Stock-Markets / Credit Crisis 2012
By: Jim_Willie_CB
Begin with a preface to a meaningful event that could change the entire US landscape, a redux of what happened four years ago. Consider the next Wall Street financial firm failure. It is in progress. It is not avoidable. It will have numerous ramifications. It will open the door to account thefts, the burial of documents, the ransack of undesired leveraged positions, the concealment of wrecked derivatives, and a path toward the merger of surviving (selected core) firms. It will urge an extreme defensive posture. Back in 2008, both Bear Stearns and Lehman Brothers fell. The former because they had too much gold exposure with anti-US$ hedges. The latter because they led in mortgage exposure. Both failures were greatly exploited. My favorite item was the reload given to JPMorgan on a quiet Saturday morning (convened at 6am no less) at the Bankruptcy court of Manhattan. The shadowy syndicate titan was handed $138 billion to handle the private accounts from the fallen banks. Instead, the funds represented a reload for JPMorgan to continue their gold suppression game. Of course, they have been defending American freedom with vigor, preserving the integrity of the US banking system, and assuring the way of life in the nation, while leeching $billions from the public trough. Since their grant, the unassailable JPM has seen fit to gobble private accounts at both MFGlobal and PFG-Best, with regulatory blessing as the courts sprinkled fascist holy water.
Friday, August 17, 2012
Cash Is King? Swiss Bankers' New Safe Haven: Safe Deposit Boxes Full Of Banknotes / Stock-Markets / Credit Crisis 2012
By: DK_Matai
Swiss banks have been doing an extremely brisk yet totally discreet trade with their "New Safe Haven" solution ever since the Eurozone crisis went into full swing and new bilateral tax-treaties were inked with major countries to prevent secret bank accounts in Switzerland being used for evading taxes. Those two drivers together may have inadvertently contributed to a powerful "New Safe Haven" solution.
Saturday, August 11, 2012
China Ponzi Banks Duping Depositors Into Financing Busted Real Estate Projects / Stock-Markets / Credit Crisis 2012
By: Mike_Shedlock
Top Chinese banks are involved in Ponzi financing of investment deals, offering interest rates over 7% to depositors, to finance real estate projects gone bust and other projects whose assets are not even disclosed.
Banks label these schemes "Wealth Management Products" (WMPs) but any individuls foolish enough to invest in them are going to lose money, perhaps all of it.
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Tuesday, June 19, 2012
Ending of Extend and Pretend Means Capital Flight, Capital Controls and Capital Fear / Stock-Markets / Credit Crisis 2012
By: Nicole_Foss
The ending of extend-and-pretend is ushering in a new era of fear and uncertainty which is rapidly evolving into the next phase of the on-going credit crunch.
It is becoming clearer to many that the problems run much deeper than they had perceived, and more people all the time are realizing the systemic nature of the risks we are facing. Fear leads to knee-jerk reactions. In financial markets, it leads to volatility and self-fulfilling prophecies to the downside. It leads to capital flight, and then to capital controls.
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Wednesday, May 30, 2012
Are Capital Controls Coming to America? / Stock-Markets / Credit Crisis 2012
By: Gary_North
Are capital controls coming to the United States? They may be for Switzerland, The Swiss National Bank has announced that it is considering the imposition of controls. But these will be controls on euro accounts being shifted into Swiss francs.
Why would a central bank impose controls on money flowing in? Because this will raise the market price of francs in relation to euros. The central bank is dominated by mercantilist thinking. A rising currency is seen as a liability. Why? Because exporters are hit by the falling value of the foreign currency. Foreigners must pay more to buy francs to buy Swiss goods.
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Thursday, May 17, 2012
Get Ready for Another 2008-Style Financial Crisis / Stock-Markets / Credit Crisis 2012
By: Dr_Martenson
Well, my hat is off to the global central planners for averting the next stage of the unfolding financial crisis for as long as they have. I guess there’s some solace in having had a nice break between the events of 2008/09 and today, which afforded us all the opportunity to attend to our various preparations and enjoy our lives.
Alas, all good things come to an end, and a crisis rooted in ‘too much debt’ with a nice undercurrent of ‘persistently high and rising energy costs’ was never going to be solved by providing cheap liquidity to the largest and most reckless financial institutions. And it has not.
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Wednesday, May 16, 2012
Financial Crisis 2012, No, None of This Makes Any Sense / Stock-Markets / Credit Crisis 2012
By: Fred_Sheehan
After the financial crisis in 2008, "Too-Big-To-Fail" banks had to go. In 2006, the four largest banks - J.P. Morgan Chase, Bank of America, Citigroup, and Wells Fargo - held 33% of U.S. bank assets. Now, they hold 41% of U.S. bank assets and grow by the minute.
The Federal Reserve is, at least on paper, the country's leading bank regulator. Instead, it behaves like the TBTF banks' turbocharger. Federal Reserve Chairman Ben S. Bernanke is full of talk, and nothing else:
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Saturday, May 05, 2012
Paralyzed Fed, Economic Recovery Reality, The Emperor is Naked / Stock-Markets / Credit Crisis 2012
By: The_Gold_Report
A "paralyzed" Federal Reserve Bank, in its "final days," held hostage by Wall Street "robots" trading in markets that are "artificially medicated" are just a few of the bleak observations shared by David Stockman, former Republican U.S. Congressman and director of the Office of Management and Budget. He is also a founding partner of Heartland Industrial Partners and the author of The Triumph of Politics: Why Reagan's Revolution Failed and the soon-to-be released The Great Deformation: How Crony Capitalism Corrupts Free Markets and Democracy. The Gold Report caught up with Stockman for this exclusive interview at the recent Recovery Reality Check conference.
Friday, May 04, 2012
The Fed and ECB’s Hands Are Politically Tied… Bye Bye to Market Props / Stock-Markets / Credit Crisis 2012
By: Graham_Summers
As many of you know, my primary forecast regarding Europe is that the EU will be broken up and/or collapse within the coming months.
The reasons for this are political, financial, and monetary in nature. In bullet form they are:
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Friday, May 04, 2012
Financial Crisis Next Major Trigger Will be ETFs and Derivatives / Stock-Markets / Credit Crisis 2012
By: Jesse
ETFs and derivatives may be fine for a trade or a hedge to a trade, but by no means are most of them that I have looked at worthy of a long term hold. I distinguish them by their opacity, leverage, and lack of transparent audits from legitimate physical trusts.
And some of the ETFs, especially in commodities and on the short equity side, appear to be almost fraudulent both in construction and representation, and are often more instruments of manipulation and raw speculation for extracting wealth from the less sophisticated than investment vehicles.