FDIC's Bair: Banking Crisis Not Over
Submitted by
CalculatedRisk on Fri, 06/12/2009 - 2:35pm (165 comments)
in
Shopping at Amazon?
Wait! If you click on the Amazon banner link at the top of the page first, HCN will get a percentage of anything you purchase for 24 hours!
Open predictions
Our local book authors
User login
Who's online
There are currently 3 members and 145 guests online.
Currently online
Recent Recommendations
Where is Nemo these days?
Pretty much what she has been saying for a while, maybe seeking the middle safe ground. But at least someone is being honest on their hedging.
I'm here!!
When's the last time Jas has been heard from, fellow dopes?
I will never, ever forget the WM confiscation and utter disregard for Property Rights as I currently understand them. Didn't undersatand it then, and certainly do not understand it now with the way the greedy bondholders are getting handled.
So the FED dropped the ball on setting up lending standards...........what a surprise!
Sheila, get your underlings to work, stat! We want banks taken down, and taken down now
kahne - Nemo these days?
Nemo was here. :-{
Lawyerliz,
It is nice that you are here, but I miss Nemo's pet monkey. It added a certain stability to an otherwise uncertain world.
whose rights were abrogated?
Kauai_Kahuna,
Did something happen to Nemo that I missed?
"[The Fed] had authority to prescribe across-the-board lending standards for mortgages, and a lot of people said they should do that and they just didn't," Bair says as an example of where too many roles led to lapses. "Where does the consumer role go on your priority list? At some point it just doesn't get done. It just doesn't get the focus it should."
This doesn't get talked about ernough. Why give the Fed more authority if they aren't going to use it properly. The Fed does what is best for the banks. Not what is best for the consumers and this country. People need to understand that. The Fed will always do what is best for the banks.
In honor of BFF:
Failed Banks Dot Georgia's Vista - WSJ.com
Scroll down and check out the map of Georgia at the bottom of the page.
And federal borrowing is 'Crowding out" other borrowing.
Remember crowding out?
It is good to read remarks that don't sound so obviously spun and dishonest. Get rid of Geithner and put her in charge of Treasury.
Ok, which is the next big bank to go?
Bronte Capital: Why Sheila Bair must resign
-Bronte Capital
sorry bout that edit....was just reminding gary that the Sheila Bair story is not very nice on the other side of that "Confiscation".
There was a big battle over whether mortgage brokers would get regulated. The compromise was that they would be regulated by the bank-friendly Federal Reserve. After ten years of inaction the the Federal Reserve proposed rules for mortgage brokers last year.
Finally managed to buffer the:
The Day of the Dollar (Roel van Broekhoven, Backlight 2005)
YouTube - The Day of the Dollar (Roel van Broekhoven, Backlight 2005)
Posted earlier, got to watch it if only to realize the only German I remember is "Ing beer", with my thumb.
So far very good, thanks for the link.
And being where I am, I think I am in a worser area, and therefore that must
be taken into account.
Sorry, Liz but...
You have to outsource your secretary to "compete".
kahne - Did something happen to Nemo that I missed?
No, not that I know of, I mean really he was here earlier. Don't panic, he will return.
bANK fAILURE -certainly do not understand it now with the way the greedy bondholders are getting handled.
Unless your bonds are for a da.. dirty stinking polluting company like, auto makers, coal companies., etc. Then your last in line.
And the number don't even match campaign contributions from what I can see, of course, the map is not the terrain and who knows what reality is anymore.
broward -
Sorry, Liz but...
You have to outsource your secretary to "compete". Smile
Hello, my name is "SUUUe", how may I help you this wonderful day.
I miss Nemo's pet monkey. It added a certain stability to an otherwise uncertain world.- k
Me too. Also Conjure. I'm still mulling over mp's remark about Conjure thinking we might be seeing a 'nascent recovery.' It was like something out of Twin Peaks.
Is there anyone out there? ... Or have I managed to make everyone's ignore list?
""[The Fed] had authority to prescribe across-the-board lending standards for mortgages, and a lot of people said they should do that and they just didn't,""
Not set lending standards? They encourage irresponsible behavior.
"Greenspan says ARMs might be better deal"
USATODAY.com - Greenspan says ARMs might be better deal
i cant believe that one of north ga's banks hasnt
nemo's pet monkey is doing a "deep capture karate judo chop on bonds"....I admit to following the story at self-evident.org
he enjoyed the Amherst smackdown too..
Go Horns !! More Cowbell !!!
I'm here, but I'm leaving for Merritt Island in a minute or three.
My secy cannot be outsourced. I would be too lonely to work without her.
My closing for Monday, appears to be still on.
There are several north Georgia banks with outstanding consent orders. I think they are holding off closing them until find some private equity idiots to invest in them.
My secy cannot be outsourced. I would be too lonely to work without her.
We serve your friendship needs.
The Market demands a sacrifice, Liz.
It's either her.... or YOU!
it really is five o'clock somewhere
Sheila really did mess up with the WM and WB issues. WFC really did her a favor by bailing out WB - can you imagine C and WB combined now? Just the thought that would work is stupid.
Though overall I kinda like her. At least compared to Geithner. I truly believe he is evil.
I can't decide if Bair is one of the good guys or one of the bad guys.
Info lock out in Iran after the current prez is declared the lock in winner.
Same old...
until find some private equity idiots to invest in them.
Supply and demand.
The supply of idiots has dried up but demand has skyrocketed.
What will happen?
Will new entrants flood the market place?!
Tune in next week when Sacramento files for bankruptcy!
Even the front page of Yahoo posts some insightful stories sometimes.
things-youre-paying-more-money-for: Personal Finance News from Yahoo! Finance
broward
The supply of idiots has dried up but demand has skyrocketed.
Will new entrants flood the market place?!
Just as it's 5 Oclock somewhere.
There is always the greater fool. Until there's not.
Between bites of a sandwich that she never quite finished, she worried aloud about the current trend toward making the Federal Reserve banking's regulator-in-chief.
She's a wastenik.
From prior thread, a wise poster opined:
Many people on this board talk about the power of the FED and the power of the printing press as if it is a free lunch.
I remember having an exchange with Sebastian way back in 2007 about this. He claimed that it was stupid to "fight the Fed" when they began monetary easing, as there was a strong correlation between easing and rising stock prices. I tweaked him by pointing out one of the exceptions - back in 2001 the Fed began easing and stocks fell for another 2 years.
I have to admit I am puzzled to at the degree to which normally skeptical bloggers posit some mystical powers to the Fed. If the Fed were omnipotent, why did they allow last September's LEH failure and subsequent stock waterfall to happen? And what about obvious policy errors, like cutting rates too soon in August 2007, which led directly to the commodities bubble that contributed to the recession?
scrutinizer;
"If the Fed were omnipotent, why did they allow last September's LEH failure and subsequent stock waterfall to happen? And what about obvious policy errors, like cutting rates too soon in August 2007, which led directly to the commodities bubble that contributed to the recession?"
Not sure I follow you. It seems to me that the Fed eased in August 2007 because things were already headed downhill, and they were trying to get in front of it. Commodities were already running up before they did that - Gold bottomed in 2000 or so. Why was it the Fed's problem to bail out Lehman? It seem to me that Lehman's failure made an important point, so it might have been for the best, even if the Fed had considered bailing them out.
Betting against the Fed is generally a losing battle, and it's the exceptions that prove the rule.
I have to admit I am puzzled to at the degree to which normally skeptical bloggers posit some mystical powers to the Fed
Ah feel yore pain.
I'm often puzzled by the mystical powers attributed to the free market.
"Bair said, knocking on a wooden conference room table,"
DAMN! If she "Knocked On Wood", everything is going to be all better 'cause she MEANS it and it's the TRUTH - everyone knows "knocking on wood" means "the total truth and nothing but" kinda stuff. I feel MUCH better.
What she really means is that the "FDIC has taken a lengthy rest and will be getting back to work doing our job of closing down more banks before you can shake a stick and yell 'life is like a box of chocolates' 5-times real fast!"
"[M]many more bank failures" ahead.
Surprised not get any feedback on my post on last thread considering its BFF. It's also on topic with this thread so thought I'd give it another shot and repost.
Has anyone downloaded the FDIC's Institution Directory full database? In includes all 6,800 plus banks and must have 40 to 50 columns of data. Here is the link.
FDIC: Institution Directory
I've played around and sorted the data with Excel (I hid about half the columns because they were just noise). I was hoping to find a loan-to-deposit ratio column (or something similar) but there isn't one. The only column anything near a good indicator of a bank's health is the ROE column. The NET INCOME column is interesting but the banks at the top, errr bottom, of that list are the TBTFs or banks that took TARP funds (e.g., Webster Bank in my native state of CT looks like they're hurting based on NET INCOME column but they took TARP $$ so I doubt they will fail).
Kind of fun playing around with the data. Curious to hear what others have to say.
sm_landlord (profile) wrote (in reply to...) on Fri, 6/12/2009 - 4:13 pm
Why was it the Fed's problem to bail out Lehman?
THE question for the ages. Why? More exactly, why did the Fed so much as entertain the idea that they we empowered to intervene. When the military intervenes we call it a coup. when the Fed intervenes we do nothing. I am not exaggerating when I say firing squads are appropriate after a suitable trial.
I don't really care about the results of any trials. I just want the transcripts detailing what was said and done behind closed doors.
Maybe I'm jumping the gun, but I've given up and uncorked a bottle of red wine in Sheila's honor. Wherever FFDIC is, he's probably shuddering at the thought.
@ BSR (Knock on Wood)
from wiki:
Knocking on wood, and the spoken expression "knock on wood" or "touch wood" are used to express a desire to avoid "tempting fate" after making some boast or speaking of one's own death.
Note: If you go to the link scroll all the way to the bottom and click "Download the list of all institutions" and you get the whole kit and kaboodle.
Or maybe this link might be easier: http://www2.fdic.gov/idasp/Institutions2.zip.
central_scrutinizer (profile) wrote on Fri, 6/12/2009 - 6:07 pm
I have to admit I am puzzled to at the degree to which normally skeptical bloggers posit some mystical powers to the Fed. If the Fed were omnipotent, why did they allow last September's LEH failure and subsequent stock waterfall to happen? And what about obvious policy errors, like cutting rates too soon in August 2007, which led directly to the commodities bubble that contributed to the recession?
Babylonian astronomers utilized their knowledge of the calendar and eclipse cycles to "control" their populace with well-timed events, too. Just don't ask the kingpriest to grant requests and expect that they will be honored except by accident. The Fed is far from omnipotent, even moreso considering the foreign debt holdings, and tends to slightly lag the bond market, confirming rates rather than setting them. If they fail to do so, bond investors/traders will deliver a powerful correction, so at best it gets a short-term flare before the market gets hammered up or down.
Yes I just checked on my 7:22 post and the second link is simpler than the first. Here it is again:
http://www2.fdic.gov/idasp/Institutions2.zip.
Slick Dog -
For me that needs to wait for a day off, but I put it on my dream list.
Odds are I'll find the same as you, but I just want to show that it's not a case of nobody is listening, it's just no one here has an answer.
more on the toppic of the thread 2 pigs ago, but some of you may find this of interest:
Still Leveraging Up
I just want the transcripts detailing what was said and done behind closed doors.
Rob Dawg - Yet Another Internet Conspiracy Theorist (YAICT)
@Slick Dog,
I figured I'd wait until the list is down to 4000 banks before I started analysing it. That way there aren't so many entries that need to be ignored.
Well it cannot be proven, but I suspect that if the Fed had NOT cut the discount rate in August 2007, and held off on easing until 2008, the following sequence of events would have occurred:
Don't forget that a lot of damage was done by all the loose underwriting that continued even into mid-2008. Had the bubble been allowed to deflate earlier, we'd be in better shape.
Again, it is merely a thought experiment, but the Fed is made up of humans, and humans are fallible ...
Slick Dog -
http://www2.fdic.gov/idasp/Institutions2.zip.
Even better, thank you. I'll forward that to my better selves to deal with another day, or just play kick the can.
My question is still, Could someone let me know when I can trust the data?
OT, here is the best barometer for stocks.
The shipping index shows most stocks are heading down By Associate Editor David Stevenson Jun 12, 2009
Have you been watching the Baltic Dry Index lately?
It may sound a bit dull. But it's a key barometer of global freight activity – in other words, it measures the cost of ferrying raw materials around the planet.
The message it's starting to send is very clear: shipping rates and commodity prices are set to tumble. And that means the share prices of many cyclical stocks – which have led the recent rally - will be heading south, too…
After taking off earlier this year, it has now run aground
That's got the economic optimists cheering from the top of the mast that global trade, and thus economic growth, was staging a major comeback. Supposedly the end of the recession was in sight. But on the 3 June, the BDI ran aground. It has since lost 20% in a week.
So what's gone wrong?
All that buying from China may have got the shipbrokers excited, but the Chinese were being very smart. They were cashing in on massive drops in the prices of many commodities over the previous year or so, and have stockpiled the stuff. For example, they picked up record amounts of iron ore – which had halved in price - between February and April, loading up 50m tonnes in the latter month alone.
They've also snapped up loads of aluminium, copper, nickel, tin, zinc… and lashings of crude oil too. And there's no doubt these stockpiles will prove very handy one day.
But not yet. Indeed right now, the Chinese have binge bought so much, they've almost bitten off more than they can chew. They're running out of room to store their swag. "At least 90 large freighters full of iron ore are idling off Chinese ports, where they face waits of up to two weeks to unload because port storage operations are overflowing", says Keith Bradshaw in the New York Times. Here's the key bit. "Yet actual steel production from that iron ore is recovering much more slowly in China, and Chinese steel exports remain weak".
In a nutshell, that economic recovery the bulls think they can see just isn't happening at the moment. And as the Chinese stop stockpiling, commodity prices will drop again and demand for ships will sink. That's what the BDI is now telling us.
The shipping index shows most stocks are heading down
- MoneyWeek
China caused the commodity bubble by stockpiling commodities before the Olympics. You can see that the peak price occured three weeks prior to the Olympics beginning in all commodity markets. The Fed is innocent of this one charge.
Great. Our leaders have now resorted to knocking-on-wood as the best hope for our economy.
Why does she talk about how the Fed HAD failed to regulate mortgages (using the past tense)? They are STILL failing to regulate mortgages.
But on the 3 June, the BDI ran aground. It has since lost 20% in a week.
Come on everyone, let's say it all together now
HOOCOODANODE?!
hahaha
"Under a strict directive from Beijing to avoid any shortage of fuel during the Olympics, China’s state-controlled refiners, PetroChina and China Petroleum and Chemical Corp., boosted their refined oil imports, which topped 960,000 tons in June. The import frenzy was one of a number of developments that drove global oil prices sky-high,"
HOOCOODANODE?!
Too hard to type, can we come up with at . HcOk? or something? I just know I'll miss spell it somewhere.
scrutinizer;
"Well it cannot be proven, but I suspect that if the Fed had NOT cut the discount rate in August 2007, and held off on easing until 2008, the following sequence of events would have occurred:"
As you say, it's can't be proven, but I think we can see that they system was already extremely fragile. So I consider your projected outcome unlikely. A short but sharp recession would have had to have somehow avoided exposing the Madoff scheme and a lot of other unpleasantness that came to light when the stress was applied.
Also, I'm not convinced that we have seen a commodities bubble. Other than the last part of the 2008 oil spike, everything we have seen could just as easily be the result of the dollar weakening rather than a sign of a bubble. You have to be careful about viewing things through the lens of the dollar in a world where the dollar has been headed down for years. For example, look at a chart of Gold denominated in Euros for the last several years.
More exactly, why did the Fed so much as entertain the idea that they we empowered to intervene.
When you've got the world's biggest hammer, it's got to be tempting to see nails wherever you look.
Too hard to type
Have Ken make a macro.
Classic dead-cat bounce on the BDI.
I suppose the current "green shoot" recovery might be the same medicine.
it's the exceptions that prove the rule.
Not that I disagree with you, but I hate this moronic expression.
Prove it. You can't. This expression is stupid, dishonest and meaningless - it is almost always the last resort of somebody who has just had his "rule" disproved.
We need a HOOCOODANODE?! icon. So we can short cut it.
Rajesh,
LOL. It is a lot of data!! I forgot to mention that you can filter what you download so it only includes active banks. First time I downloaded it it included all US banks that ever existed.
I wish I could just attach the spreadsheet that I've put in a format that is readable. Care to host my clean and legible vesion from your website? I could email it to you. Any other takers?
but the Fed is made up of humans,
Some days I wonder.
MLM - the world's biggest hammer,
But that's all I know and I have no place else to go!!...
Even the hammer suffers between the mountain and the valley when they meet. (don't know if anyone said that, I'm sure someone has).
wow, still logged in...
here's a fun little exercise:
go here: https://self-evident.org/?p=246
(this is one of nemos great ideas from September 2008)
then select the link to commercial paper.... its an interesting excercise.
Fed is made up of humans
I thought it was made up of a roulette wheel and headless chickens. No wait - that's the Treasury.
Kauai--
Okay, thanks for the reply. As I mentioned in my reply to Rajesh I've formatted very clean version which is a piece of cake to sort the data by whichever column you want in Excel. But I can't attach that file to a post here but I see you have a website as well so if you want I could email it to you and link to it from there.
"General Motors has told NASCAR teams it is cutting back on its support in all of the sanctioning body’s professional series.
Among the teams already notified that they will lose funding are JR Motorsports, owned by Sprint Cup star Dale Earnhardt Jr., and Kevin Harvick Inc., co-owned by Cup star Harvick and his wife, DeLana. JRM races in the second-tier Nationwide Series, while KHI has entries in Nationwide and the third-tier Camping World Truck Series.
Cuts are also expected in the top-tier Sprint Cup series.
Chevrolet spokesman Terry Rhadigan said Friday that GM, reorganizing through Chapter 11 bankruptcy, said cuts would be made soon.
“Our discussions are indeed NASCAR-wide,” he said."
Speaking of chickens, one of the chicks we bought this spring turned out to be a rooster; I've been advised to execute it ASAP as trying to catch it once it's spurs grow in could be painful. Going hatchet shopping this weekend.
Duplicate.
Slick Dog -
I would rather run through the data myself to prove it's "bogus" status.
It's kind of like the SP500 earnings, yea you got the data set but does it have meaning and match with something called reality.
In nine money months, the expansion and value assigned to this is astounding, but hey...Im just a nut (duplicate) nutjob that thought WM bonds had value.
MBS corner by the Fed is running on how QueEasing creates hot money...
...freshly popped popcorn is one of my comfort scents..
bANK fAILURE - ...freshly popped popcorn is one of my comfort scents..
I'm addicted to perfectly aged beer, but the mash is a fantastic second.
General Motors has told NASCAR teams it is cutting back on its support
NOOOOO! The inhumanity!!!!
Mark Hass Beaverton Oregon, with a change of vote Passed the "Top Line" tax measure in Oregon.....
kids, get ready for the velvet fist of money confiscation by uncle Sugar.
anybody heard from neil 'the original "pass the popcorn' kid?"
@ Kahuna
Going "All Grain", eh?
I've homebrewed for 10 years now.
Closing in on one thousand gallons of GnomeBrew!
Imperial Stout for .50-$1 a bottle while others pay $5 a bottle at the store.
G
Kauai,
Okee, dokee. Note there are two documents in the zip file. One is the actual bank data and the other contains definitions for the codes used in the column headers. IMHO I think there is simply data that is not included such outstanding loans so you can't compare loans to deposits. There is a column for total deposits however
bANK fAILURE:
"anybody heard from neil 'the original "pass the popcorn' kid?" "
I thought I saw a post from him recently on another blog.
Got a good link to the current status in Oregon? All I can easily find is a speech from Larry George:
The Oregon Catalyst
Going back to the:
The Day of the Dollar (Roel van Broekhoven, Backlight 2005)
"The path we are on is unsustainable". Why is the fringe always the fringe?
The Green Party has been saying this since I think was born just outside a hippy commune. Even though they are right, (Early), the can get's kicked.
I know this is deja vu, I have seen this before, and hell I was force feed in college. You know after awhile it get's so old.
Now I owe my former mentors some beers. I hate being in debt.
After watching "Backlight" it seems to me the only thing holding the dollar together is International cooperation. We are all in the same boat regarding US Debt; be it China, Europe etc. These countries easily have the muscle to support any currency even the dollar.
Is it too tin foil hat to suggest that maybe the crisis of the last 18 months was precipitated to force out the neocons who may have been viewed as unpredictable??
The US may be filled will spoiled, over-consuming, under producing, children but that doesn't mean they(we) will get our just desserts, maybe just more dessert?
Its just radio announcement right now, the vote was supposed to be yesterday, but a caucus had tabled the vote......went live today.
Imagine,
A top line Corporate tax....EBITDA is for Enron.
The only thing holding the dollar together is greed. Once we get rid of that we can all live in peace and prosperity together.
"A top line Corporate tax"
Oh, brother... Well, Ahnold should be pleased that there is one less state that can steal business from Cali...
Aesop's Fable:
The Bear and the Three Bulls
Three Bulls pastured for a long time together. A Bear lay in hiding, hoping to make them his prey, but he was afraid to attack them while they were with each other.
One by one, he lured them away from each other with whispered words.
"Better grass over here."
"More shade."
"Fewer flies."
Having separated them with his sneaky speeches, he then attacked them without fear as they fed alone, then feasted on them one by one at his leisure.
Without separating the three bulls; China, Europe and the US, the Bears on the market will never feed.</b
Aesop's Fable:
The Bear and the Three Bulls
Three Bulls pastured for a long time together. A Bear lay in hiding, hoping to make them his prey, but he was afraid to attack them while they were with each other.
One by one, he lured them away from each other with whispered words.
"Better grass over here."
"More shade."
"Fewer flies."
Having separated them with his sneaky speeches, he then attacked them without fear as they fed alone, then feasted on them one by one at his leisure.
Without separating the three bulls; China, Europe and the US, the Bears on the market will never feed.</b
oops, forgot my beer
HomeGnome --
Going "All Grain", eh?
I've homebrewed for 10 years now.
Closing in on one thousand gallons of GnomeBrew!
Imperial Stout for .50-$1 a bottle while others pay $5 a bottle at the store.
OT:
Oh thank you God for a real person that I can relate to!
I have homebrewed for a LONG time, but went AG a few years ago, Inflation and more control. On tap right now is an APA, Hefe, Mead, Porter, pipeline is almost full, got another long weekend to fill it.
I think right now it is something I can do, enjoy, and makes a calculated sense.
Speaking of which, sample a lot and it's time to get some rest.
@ Kahuna
Made some Mead with Orange Blossom Honey a few years ago.
Good after 6 months of bulk aging.
Terrific after 18 months in the bottle.
Now I've got to go dig in the storeroom...
Without separating the three bulls; China, Europe and the US, the Bears on the market will never feed.
I think the only bull is China. Europe is more of a chicken and the U.S. is a badger.
its 420 somehere
:bong:
:hoocoodanode:
Duplicate.
:cough:
:cough:
bANK fAILURE -
its 420 somewhere:
Dealing with Zulu time, Asia time, Ass..... East coast time, even worst Di....... time, I am very happy when it's beer time. Glasses beer
Let's see how that comes out.
I have an old colleague who specializes in FDIC work (mostly bank seizures) as a consultant. He said his assignments dried up in the last few months and he doesn't know why. He thought he'd be busy working on them for years. I couldn't guess either.
I have an old colleague who specializes in FDIC work (mostly bank seizures) as a consultant. He said his assignments dried up in the last few months and he doesn't know why. He thought he'd be busy working on them for years. I couldn't guess either.
Yu shtay jinking cuz?
-millilani_oahu thats for fer Yu.
lama;
"He said his assignments dried up in the last few months and he doesn't know why. "
WAG: Maybe the FDIC "snapped up" a bunch of unemployed brokers, agents, appraisers, etc. and is training for bank seizures?
That would explain the dry couple of BFFs we have had recently.
HomeGnome -
OT again.
I have been being schooled on making mead for over 10 years, but somehow all of my bottles >1 year old disappear when my brother comes to visit.
Talk about a almost none drinker mead crack head, He does the whole apology thing around two years later when he tells me how great it was.
Made up around 20 gallons and changed the locks.
The FDIC is hiring in FL and GA. All you gotta do is hit some major news sites and scroll til you see the jobs advertisements. They're right in there mixed with all the other ones for other jobs. I'd try and show one but they do scroll themselves and I'm not sure I can put up a screenshot here even if I were lucky enough to see one right now. I've seen them a couple of times during the day, though.
I hate to sound like a broken record, but just the fact that there is no new news about the $134B US BOND seized in Italy, make me wonder even more.
Either Italy solved their budget problems, or its a fraud.
I just know someone needs to say something before the Italians spend it all on new shoes.
lama - I have an old colleague who specializes in FDIC work (mostly bank seizures) as a consultant
Some other whoring company got the prime contract through their college "best buddy".
-Note to self, be nice -
Maybe they're bringing the labor in-house because they know it's a long-term trend? Why pay $200/hr if you can do some training and get it done for $40/hr?
Credit-Default Swaps Misprice Mexico, Rodriguez Says (Update3)
Share | Email | Print | A A A
By Valerie Rota
JPMorgan Chase & Co.’s EMBI+, an emerging-market debt index that shows investors demand lower yields to buy Mexican bonds than Brazilian securities, provides a more accurate reading of the countries’ creditworthiness, Rodriguez said. The swaps market is no longer a reliable gauge because trading dried up as the global credit crisis deepened late last year, he said.
FXM....chart is go signal.
linky blinky......just shouting sorry.
@ Danny (profile) wrote on Fri, 6/12/2009 - 4:30 pm
Great. Our leaders have now resorted to knocking-on-wood as the best hope for our economy.
Yup I suppose that NET NET of the REAL change that we're supposed to believe in
PATHETIC !
lama -
BTW, I am a blood sucking, red headed step child, etc, contractor,
HomeGnome -
On a side note I have again proven that mead is even more dangerous than a high ABV cider on tap. Numbers prove everything on my taps are deadly, therefore all participants require a DD, or they bring a sleeping bag.
First: Who Counterfeits $500 million dollar bills, which is what these are? I thought the trick was to counterfeit twenties because no looks twice when they see them.
Second: Who would buy counterfeit $500 million dollar bills. No one is buying these without checking; they check my $100 at the supermarket.
Me thinks these are real or a huge practical joke.
If real then who would want to unload these without notifying the general market place? The Chinese.
Is this a black swan? Could some small town bureaucrat/policeman have tripped the dollar bomb.
Not to one-up you, but I'm a blood sucker currently working on a bankruptcy. Now that's a blood sucker!
@ Kahuna
Oh yeah, I vaguely remember my first high ABV cider...
:-S 
My brother likes Dubbels and Triples.
a few 8%-9% beers and "somebody has turned up the gravity"
"Is this a black swan? Could some small town bureaucrat/policeman have tripped the dollar bomb. "
that would make quite a movie.....if the dollar crashes this weekend
TB Apple -who counterfeits $500 million dollar bills,
Printed in 1932 in the Kennedy style.
The silence is not a WTF, but I think trying to explain who people can be soooo stupid.
Don't get me wrong, this is a huge issue, but no one is talking about it, so who cares right?
Posted by someone else earlier today -
Scams Involving the Federal Reserve Name - Federal Reserve Bank of New York
"The Federal Reserve is aware of several scams involving high denomination Federal Reserve notes and bonds, often in denominations of 100 million or 500 million dollars, dating back to the 1930s, usually 1934. "
OT - Do you recognize what this is?
http://www.realmeme.com/roller/images/misc/solderedQuarter.jpg
Came in some change last week, I haven't seen this since around 1980.
There was a wire soldered to the quarter.
It's for gaming coin slots.
think about it for 2 seconds...
the worker remmitance has slowed to a trickle form the USoA to Mexico while the oil and gas hot money flows north... the conclusion of the peasants is to hoard Pesos and invest the loonie. How do the Oligararchs make the transition of the Ex-pats run to old mexico or canada......rally the peso and rally the loonie and you capture the low hanging USdollar.
this is the easiest way to think about your currency if yer Amurikan.
No BFF, all hands on deck preparing for Corus next week.
Were these bonds the Japanese had the ones that Hans Gruber was trying to get at Nakatomi Plaza?
I'm guessing that the Japs were fronting for the North Koreans and the bonds are counterfeit. They used to launder counterfeit USD via the route of China>HK>Tuvalu, but the US cracked down on that ages ago.
Added: It goes hand in glove with the sabre rattling; NK is broke and going to the well with their old tricks.
Ok, got pizza, wez da BFF? Just little ones to show the G8 that the system is working? Show Steinbruck that the US is "heterogenous" too?
C
lama - blood sucker!
Not if you earn your pay, and right now I think if you show up, you have survived the gauntlet and have earned it, now all you have to do if FIX IT!
Stop messing around and get back to work, and good luck.
OT:
HomeGnome -8%-9%
Lowest on tap, 7% - highest 12%. Anything over 12.000000 has to go into bottles, I just need enough to store 5 more gallons of "Thor's Hammer" so I get my keg back. test. :mug:
Do all the standard emotion cons work?
Yep, higher ABV's in bottles the rest into 5 gallon kegs.
try colon beer colon
broward -
Posted by someone else earlier today -
Scams Involving the Federal Reserve Name - Federal Reserve Bank of New York
"The Federal Reserve is aware of several scams involving high denomination Federal Reserve notes and bonds, often in denominations of 100 million or 500 million dollars, dating back to the 1930s, usually 1934. "
But nothing pushed out. Nothing confirm or denied.
And wait, hey I know that guy!
wurst BFF ever.
its 7 o'clock somewhere.
What is the FED going to say?
"Yep, those are real bonds. Looks like the Japanese are dumping!"
Let sleeping dogs lie.
Counterpointer -
wez da BFF? Just little ones to show the G8 that the system is working? Show Steinbruck that the US is "heterogenous" too?
I'm thinking its a dud. all exceptions and then....
The scam memo at the Federal Reserve is from April, I checked the google cache and it's dated June 5th.
The odds are very high that it was a counterfeit operation.
It's not up to the Fed to say whether they are real or not.
No one loses $134 billion without one of the following occurring:
a) "My bad, those are mine" or
b) "I see dead people"
If no one claims these, expect the two "Japanese" nationals to commit Seppuku.
You have to remember that NK as a governmental entity has legitimate access to the finest swiss money pressing equipment; it's just that they use it to make our money(or in this case, bearer bonds) Even if you had 500 euro notes, you couldn't hide much more than a couple million even if your car was stuffed with notes, let alone a couple hundred billion in your suitcase.
and just how many counterfeits are running loose around the world?
Pre-emptive strike to deny validity of other holdings?
Damn, I just tore my tin foil hat!
So, I'm sitting here, reading this and eating frozen chocolate covered cream puffs. One after the other. I know this is all meaningless.
I have a Woody Allen retrospective on in the other room. The Nazi is watching. I'm reminded once again that artists should art, not talk. It's a bonus if they're pretty. I like it but can't stay with it.
You people need to surrender your greedy, deluded selves to the one truth. Get some chocolate covered cream puff balls. Life will make sense once again as if for the the first time.
Comrade Alexei Mikhailovich -
You have to remember that NK as a governmental entity .
My only counterpoint is that their sense of reality may not be what your think it is.
Ye gawds, do we really have to spend endless posts debating the poor misguided Japanese yoyos with their pathetic fake bonds.
Geez, like all the 1933 double eagles out there.
Sheesh.
At least the folks going berserk about failure to deliver have some meat on the bones.
Or all the oil sitting in tankers in storage. Oh wait, that isn't really a conspiracy. Just business as usual.
Someday this war's gonna end...
@ Volker.
BEWARE THE MUNCHIES!
@Citizen
When do I get my cheap gasoline again?
TB Apple-
If no one claims these, expect the two "Japanese" nationals to commit Seppuku.
You mean they are still alive? My how times have changed.
Instead of leaving no trace it is now, leave deaf and dumb bread crumbs (Gumbies) to waste more time. Did we not learn anything from Gitmo.
"Stop messing around and get back to work,"
Funny that you say that. I told them they'd better look at their sales force's expense reports more closely.
So far we have charges for:
1. strip club
2. large order of home furniture
3. tattoo (I didn't know those were so expensive)
I'm not on the clock right now, BTW.
NK did perfect counterfeit $100 USD notes through money launderers as a way to "raise" hard currency to feed the nation during Bush the Elder's term, the Clinton Admin turned a blind eye to it in the 1st term, shut it down hard after NK hosed them on the nukes.
The tin foil colanders will need a 220 supply if I told the whole story that was told to me.
Anybody got plans for a tin foil body condom with a 220?
Hit me with the juice, Alexei.
Hi Volker;
volker the viking -I have a Woody
Having a Beavus moment here.
Citizen AllenM-
Ye gawds, do we really have to spend endless posts debating - Sheesh
I'm sorry that this bugs you, but I don't want to have cover these bad checks, and until a statement comes out, this is my future earnings we are talking about. Or have we all just become numb?
The tin foil colanders will need a 220 supply if I told the whole story that was told to me.
Bring it on Comrade. We're all sitting here with warm beer and it semms like no BFF today.
Eureka !
You guys are right...North Korea is just the right kind of stupid to counterfeit $134 billion.
Anyone making ATTRACTIVE wearable faraday cages yet? without swooshes?
HomeGnome -
Anybody got plans for a tin foil body condom with a 220?
And I'm only using SPF 50, I am sooo behind in everything.
TB Apple -
North Korea is just the right kind of stupid to counterfeit $134 billion.
No, but I think they are the only idiots out there that would think they could get a way with it and not be noticed.
soooo ronery
You are not on my ignore list yet.
But as of now, I don't have an ignore list.
Thanks for reminding me.
Tom Stone -
Anyone making ATTRACTIVE wearable faraday cages yet? without swooshes?
Give it up,
nano-tech fed into the basic grains we eat, it absorbs the info, you shit it out and it relays the info after 24 hours.
Just when you think your smart, the rats get more intelligent.
Oh wait, "The more oppressive I get, the peasants get more crafty"
BTW, what game are we playing, the rules keep changing.
It's just an Non BFF day.
Time to call it a good night.
150th comment ignores zero...
havent seen that in some time, and I actually manage my ignore list.
-edit that was 15duece.
rich-
You are not on my ignore list yet.
Thanks, it just reminds me to work harder at being me.
Personally I do not use the ignore, it forces me to pay attention to avoid the pain of reading what idiots write.
So called N. Korean countefeits -- supernotes -- are excellent copies, if they're copies. Gov't has difficulties and can only speculate, based on rumour, that they are counterfeit. The speculation may be based on the fact that N. Korea has purchased technology that would enable the production of US notes, which, of course, doesn't mean that they are producing US notes.
and 5 to one
users to visitors.....that tells me the commentariat enjoys the comment system as much as I do.
I'm a little amazed at the naivete here about the power of the Fed.
Let me try to put it into perspective for you.
The world's economies and financial markets are like Mt. Everest.
And the Fed is like...the world's most awesome team of sherpas.
When the weather is good, the sherpas can help you get up and down in one piece, if you have the skill and training.
But when the weather's bad, the sherpas aren't much help, other than to tell you to hunker down in your tent.
The weather's not getting any better.
reptillian -
So called N. Korean countefeits -- supernotes -- are excellent copies, if they're copies. Gov't has difficulties and can only speculate, based on rumour, that they are counterfeit.
Ohhh no, I think all the lawyers here are asleep but, I know I have been very careful to state it as "if it is a fraud, only NK would be stupid enough".
I admit I'm not making friends, but I'm also not saying they did it.
I mean who really knows.
When the counterfeits are worth more than the real thing ....
What a howl- your earnings?
The dollar will work until it doesn't. Until then we all just floating along.
But quit pretending that money you pay in taxes is yours. We could just nationalize food instead, and you would then work for kibble.
Kinda like North Korea.
So, instead you get that wonderful thing known as capitalism. At least here I can get a mojito.
which I am doing.
Someday this war's gonna end...
Allegedly, as told to me,
A friend was recruited by a Texas businessman (whose son was a schoolmate) with ties to the TX GOP machine(Baker Botts, et al) to be a mule carrying these notes. He would fly from the States to HK, travel into China, then fly from HK to Tuvalu to deposit the physical cash, where it would be laundered and be used by NK to by physical goods and commodities. Allegedly this was done with the approval of TPTB (but on the QT)as a carrot for N KOR to keep them semi-stable. The op continued without sanction after NK restarted nuke program, my friend got pinched in Tuvalu as his travel patterns raised eyebrows, even though he had the same travel patterns for ages(I saw his passport.) This is what my friend alleged.
The following I know as fact:
He was charged in 1998, went away in 1999 for money laundering, wire fraud and conspiracy, sentenced to serve 8 years at Nellis, wasn't eligible for parole until 2004(I had to call the BoP to find this out, his case file at the federal courthouse was empty, with some special code in the header.)
He was released in February 2001, 3 years before he was eligible for parole. I literally ran into him in a boozer in Austin during SXSW; when I asked him how he got out so early he replied, "The right guy got elected President; for me, anyway."
rich -
OK, we come from different worlds, but if I were to hunker down, it would not be on Mt. Everest.
I get a little buggy if I see my own breath, and I think a lot of people are going to be in world of hurt and they most likely will take it out on their neighbours, family, etc. Everyone else is hiding behind an impressive/or not security force.
Korea, North — GDP: 25.96 Billion
130 billion buys a lot of porn.
To add, this should be taken with a pile of kosher salt, as my friend is quite the bullshitter(but I know when he was bullshitting, which was all the time.) However, when he got pinched I had never seen a guy so freaked, as he said they were threatening treason charges if he didn't give up what he knew. He allegedly gave up the MO, but not his domestic handlers. Considering how he got out so early, how little he told me up front except the N KOR aspect and how he told me everything afterwards, for once allowed me to give him the benefit of the doubt and call his story plausible.
The Regulators are the symptom. The problem is theCongress. The Congress, The Regulators and The Bankers all have the same DNA-Power ,Greed and Self interest.
Here is the example of The Office of Thrift Supervision and the Congress regarding a Federally chartered bank that has been unethical in their mortgage lending operations for years.
AmTrust Bank f/k/a Ohio Savings Bank in 1985 Cleveland Ohio Common Pleas Court is sued by Mr. Hamilton for the manipulation in calculating mortgage interest. This lawsuit becomes a class action suit which is settled September 2007 by the bank for a cash payment of $14 million dollars which was distributed in 2008. 27,000 borrowers were involved.
AmTrust Bank violates federal regulations regarding appraisals,Regulation B and C and Fair Credit reportings Act. In my case the Office of Thrift Supervision states that there is nothing they will do since there are No Federal Banking Regulations.
My home of seven years is sold at foreclosure auction in 2008 by an unethical foreclosure complaint by the AmTrust Bank.
I plead for help withOhio Senators Voinovich and Brown-no response. Senators Barney Frank and Chris Dodd no response.
The inspector general of the US Treasury says they agree with the OTS and closes my file. The FDIC and the FED state
hey, don't contact us ,we do not regulate banks.
November 2008, the Office of Thrift Supervision issues the AmTrust Bank a cease and desist order for unsafe and unsound
banking practices.
The Wall Street Journal April 25 2009 states AmTrust bank still operating since Ohio Senator Voinovich and Ohio Rep
LaTourette told the Office of Thrift Supervision "Hands Off" so to speak.
Obama gives billions and billions to save the banks who already have billions and billions of dollars. The Congress
pass government programs worth billions under the guise to help the homeowner but in fact are a financial pass through for the wealthy and powerful banks.
For sure the banking crises is not over, as I read they have 8.3 millions more foreclosures due by 2011.
It boils down to the fact that is almost impossible to fight a lie- but it is impossible to hide the truth.
Ms Bair has the intellect,courage and the strength to stand up to the banks.But Congress will never permit her to do what is right since it would will limit those political perks-money -power - control.
The bottom line- nothing will change.