“I’ve been talking to lawyers and rival CEOs just trying to ballpark it at this point…there is no number, but people are ball parking, and these are CEOs and lawyers, between $1 and $5 Billion.
I still do not get it!!.
What is meant by a Synthetic CDO short position?
(1)- Selling the security of the CDO.
(2)- selling insurance on the referenced Synthetic CDO mortgages?
In Other words,
How did IKB ( the German bank) lose that One Billion$ in the Abacus deal?! Did they sell insurance to Paluson?
The financial crisis that grips our nation's states and cities has a malicious source, and Governor Tim Pawlenty recently named that source: public school teachers.
"It used to be that public employees were underpaid and over-benefited. Now they are over-benefited and overpaid compared to their private-sector counterparts."
The school teacher, the policeman, the firefighter - these are now the faces of what is wrong with America today. It doesn't matter that studies by the Bureau of Labor Statistics say otherwise, America can no longer afford their overpaid, middle-class salaries.
At least that is what the right-wing media is telling us. Tea party members also want to see a drastic pay cut for the same people who teach their children. A familiar comment on the internet is, "I took a pay cut last year. Why shouldn't they?"
The employment index is below 50, at 49.5% and decreased from last month. New orders also slowed. While still above 50, new orders decreased from last month, by -4.1%, although business activity barely budged, up 0.3%. Below is the graph, normalized to zero to show contraction, on employment from the survey, followed by a graph of new orders.
What a surprise. A non-bank coalition is trying to gut derivatives reform. Hold onto your iPhone, that's right, Apple is among them. Seems they don't want to put up real money to cover their bets. There is some speculation that this end users coalition has actually been orchestrated by the dealers, the mega banks themselves.
Here is what the Huffington Post says is the meat of the lobbying gut efforts. Unfortunately the actual letter is not available.
Deleting provisions in the current Senate bill, authored by Banking Committee Chairman Christopher Dodd (D-Conn.) and Agriculture Committee Chairman Blanche Lincoln (D-Ark.), that call for swaps dealers, like JPMorgan Chase, Goldman Sachs, Bank of America, Citigroup, Morgan Stanley and Wells Fargo, to hold higher amounts of capital to support their derivatives bets;
Deleting a term defining major derivatives users, which calls for higher capital requirements and mandates that they clear their derivatives deals through transparent venues that require parties to post margin. By deleting this provision, the coalition wants to exempt an entire class of derivatives users from having to post cash upfront to support their bets.
Normally people post either news articles or rants here. This time I want to post a personal story.
I just got a call from my brother. He lives in the Sacramento area, and is looking to move out of his apartment and rent a house. So he called up a realtor this morning. After telling the realtor what he wanted, the realtor directed him to their web site and told him how to set up an account to look at their listing.
Why does the Obama administration want to kill the popular Senate Bernie Sanders amendment to audit the Fed? The amendment may be up for a vote later this week and there are reports the amendment vote will be hit with that magical, fictional 60 to pass, instead of 50, which is the norm for amendments.
Obama administration officials have declined to weigh in on any specific amendments, with one exception: a move by Sen. Bernie Sanders (I., Vt.) to give the government more power to audit certain operations at the Federal Reserve. Fed and administration officials have signaled they would fight to stop it at all costs. Mr. Sanders has more than a dozen co-sponsors.
At all costs. Really? Including a veto? What is wrong with wanting to know what happened to $2 trillion dollars? Why would the Obama administration demand to remove public disclosure out of the financial reform bill?
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