Tue 2009-10-06 21:12 EDT

The demise of the dollar

Robert Fisk

In the most profound financial change in recent Middle East history, Gulf Arabs are planning -- along with China, Russia, Japan and France -- to end dollar dealings for oil, moving instead to a basket of currencies including the Japanese yen and Chinese yuan, the euro, gold and a new, unified currency planned for nations in the Gulf Co-operation Council, including Saudi Arabia, Abu Dhabi, Kuwait and Qatar...Sun Bigan, China's former special envoy to the Middle East, has warned there is a risk of deepening divisions between China and the US over influence and oil in the Middle East. "Bilateral quarrels and clashes are unavoidable," he told the Asia and Africa Review. "We cannot lower vigilance against hostility in the Middle East over energy interests and security."...

demise; Dollar.

Jesse's Café Américain Fri 2009-09-04 19:42 EDT

"Let's Just Whack the Oil"

Jesse

``The markets used to be about capital formation,'' said Mr. Quast, the consultant. ``Now 80 percent of trading is driven by some form of statistical arbitrage. We are buying into a statistical house of cards that could unravel very quickly.'' ...this manipulation is getting so blatant and widespread and regular that it is crippling daily market operation, not to mention robbing the general public of millions of dollars every day in their 401K's, pensions, and investment accounts. It has more of the appearance of organized crime than it does of a financial system.

Jesse's Café Américain; Let's Just Whack; Oil.

zero hedge Thu 2009-09-03 09:59 EDT

Deep Thoughts From Leucadia

With Leucadia coming boldly from behind the shadows, where Ian Cumming and Joe Steinberg have always enjoyed operating, and joining Buffett in a deal over Capmark's loan-servicing and mortgage business, it makes sense to introduce readers with some of the very original thinking of the Leucadia founders (and very close friends of the mellifluously named Dick Handler). We present their most recent annual investor letter, which frequently is cited as among the best hedge fund (even though they don't like to be seen as one) strategy reading material. downloaded pdf.

Deep Thought; Leucadia; Zero Hedge.

zero hedge Thu 2009-09-03 09:59 EDT

Deep Thoughts From Leucadia

With Leucadia coming boldly from behind the shadows, where Ian Cumming and Joe Steinberg have always enjoyed operating, and joining Buffett in a deal over Capmark's loan-servicing and mortgage business, it makes sense to introduce readers with some of the very original thinking of the Leucadia founders (and very close friends of the mellifluously named Dick Handler). We present their most recent annual investor letter, which frequently is cited as among the best hedge fund (even though they don't like to be seen as one) strategy reading material. downloaded pdf.

Deep Thought; Leucadia; Zero Hedge.

Mish's Global Economic Trend Analysis Wed 2009-08-26 16:00 EDT

Critically Under-Capitalized Banks Direct Result Of "Wonderful Chain of Stupidity"

Michael Shedlock

Last week the Wall Street Journal ran an article about how trust securities sank Guaranty Financial Group and six family-controlled Illinois banks in early July. Please consider In New Phase of Crisis, Securities Sink Banks. Federal officials on Thursday were poised to seize Guaranty Financial Group Inc., in what would be the 10th-largest bank failure in U.S. history. Guaranty's woes were caused by its investment portfolio, stuffed with deteriorating securities created from pools of mortgages originated by some of the nation's worst lenders. Delinquency rates on the holdings have soared as high as 40%, forcing write-downs last month that consumed all of the bank's capital. Guaranty is one of thousands of banks that invested in such securities, which were often highly rated but ultimately hinged on the health of... Security losses are a non-operating item and are listed after pre-tax operating income on the call report. This is very unusual and possibly reveals another cancer hiding on many banks balance sheets. those garbage trust-preferred securities problems are on top of the widely expected fallout from commercial real estate problems affecting small to medium-sized regional banks. Thus, banking woes are much deeper in many areas than either the FDIC or Fed is admitting.

Capitalized Banks Direct Result; Criticizes; Mish's Global Economic Trend Analysis; Stupid; Wonderful Chain.

Wed 2009-04-01 00:00 EDT

Mish's Global Economic Trend Analysis: Bernanke Angry AIG Operated Like A Hedge Fund

Bernanke Angry AIG Operated; Hedge funds; Mish's Global Economic Trend Analysis.

Fri 2009-01-16 00:00 EST

Asia Times Online :: China News, China Business News, Taiwan and Hong Kong

China's inflation-free route from crisis, by Henry C. K. Liu; ``China produces from plants financed by foreign investment that operate with low domestic wages for foreign markets that pay with dollars that cannot be used in the domestic economy...China must finance plants with sovereign credit to produce for the domestic market where consumer purchasing power will come from high wages, with sovereign credit repaid from increased tax revenue from a vibrant domestic economy.''

Asia Times Online; China Business News; China News; Hong Kong; TAIWAN.

Sun 2008-11-23 00:00 EST

naked capitalism: Senator Grassley Targets Goldman-Treasury Conflicts, Net Operating Loss Gimmie

naked capitalism; Net Operating Loss Gimmie; Senator Grassley Targets Goldman-Treasury Conflicts.

Mon 2008-10-27 00:00 EDT

Mish's Global Economic Trend Analysis: GE Needs Fed Bailout To Finance Operations; Dividend At Risk

Dividend; finance operates; GE Needs Fed Bailout; Mish's Global Economic Trend Analysis; Risk.

Tue 2008-10-07 00:00 EDT

Winter (Economic & Market) Watch >> Tar Pit Operation at Work

Winter (Economic & Market) Watch >> Tar Pit Operation at Work

economic; Market; Tar Pit Operation; watch; winter; working.

Tue 2008-09-23 00:00 EDT

naked capitalism: Banks Can Now Use Deposits to Fund Investment Banking Operations?

bank; Fund Investment Banking Operations; naked capitalism; Use Deposits.

Tue 2008-09-23 00:00 EDT

naked capitalism: A Former Regulator on the Fed Allowing Deposits to Fund Investment Banking Operations

Fed Allowing Deposits; Fund Investment Banking Operations; naked capitalism; Regulators.

Mon 2008-07-14 00:00 EDT

Mish's Global Economic Trend Analysis: Operation "Rescue Fannie" Underway - Paulson a Blatant Liar

"likely the start of a U.S. Taxpayer Bailout of China. Disgustingly it is a U.S. Taxpayer bailout of PIMCO as well." "It is a moral hazard to the highest degree, for bondholders to be made whole in this mess."

Blatant Liar; Mish's Global Economic Trend Analysis; operations; Paulson; Rescuing Fannie; underway.

Mon 2008-07-14 00:00 EDT

naked capitalism: The Real Test of the Not-Yet-A-Plan Fannie & Freddie Operation

naked capitalism: The Real Test of the Not-Yet-A-Plan Fannie & Freddie Operation

Freddie operation; naked capitalism; Plan Fannie; real test.

Sun 2008-05-04 00:00 EDT

naked capitalism: More Experts Disapprove of the Fed's Salvage Operations

Experts Disapprove; Fed's Salvage Operations; naked capitalism.

Tue 2008-03-18 00:00 EDT

Winter (Economic & Market) Watch >> Sharks in Suits Black Box Crony Capitalism

Winter (Economic & Market) Watch >> Sharks in Suits Black Box Crony Capitalism; Bear Stearns death watch; "These are not bail outs...These are systematic looting operations."

economic; Market; Sharks; Suits Black Box Crony Capitalism; watch; winter.