Loans Versus Bonds Relative Value: Week of June 25
Submitted by Tyler Durden on 06/29/2009 - 09:47
As expected last week, the tide in credit is turning. The average loan was 5 bps wider, while toxic bonds, just like that scene in Indiana Jones and the Temple of Doom, are starting their descent back into hell, wider by 78 bps on average, and just 23 bps away from the critical 1,000 bps threshold (after being at 895 bps last week).
CNBC: "This Market Continues To Be Propped Up By Government Intervention And Manipulation"
Submitted by Tyler Durden on 06/29/2009 - 08:45Amusing to see the biggest propaganda voice for the administration and General Electric let this one slip. At 2:22 in the video below, Larry Levin discloses the truth about ongoing flagrant market manipulation. That's why CNBC needs a 15 second delay, although Freudian slips among all the noise are why watching the channel can be so rewarding at the end of the day.
Frontrunning: June 29
Submitted by Tyler Durden on 06/29/2009 - 08:42Daily Highlights: 6.29.09
Submitted by Tyler Durden on 06/29/2009 - 08:30
Transitioning
Submitted by Zero Hedge on 06/29/2009 - 00:27Today we officially launch our new website, which will serve as the scaffold for much additional expansion in the months ahead. Blogger has been useful, however it has reached its limitations and it is time to move on. This is especially true as daily traffic has grown to a level far beyond what was envisioned possible when Zero Hedge was started.
FOIAing The Fed: The AIG Bankruptcy Negotiations
Submitted by Tyler Durden on 06/28/2009 - 23:51Marshall Huebner is a person Zero Hedge has great respect and admiration for. The Davis Polk lawyer, in addition to having an impressive work ethic with many successful bankruptcies under his belt (Delta's 2007 emergence being a case in point: in fact, he will likely be making a repeat appearance there quite soon now that Goldman has envisioned another ramp to $200/barrel of crude), volunteers 13 hours every Sunday night as an Emergency Medical Technician - a noble dedication to his community. Marshall's dedication however is not only to his immediate community, but to American taxpayers in general: a little known fact is that Davis Polk is the official yet still formally unannounced legal advisor for the Federal Reserve.
Weekend Reading
Submitted by Tyler Durden on 06/28/2009 - 17:45The Collapse Of The Non-Backstopped Agency Market
Submitted by Tyler Durden on 06/27/2009 - 23:22
Complete collapse in foreign interest for GSE debt: North American holdings of the latter have increased from 50% to 80% of total notional in one year!
The Porsche Dilemma: Firesale Or Bankruptcy
Submitted by Tyler Durden on 06/27/2009 - 18:20The Porsche drama has morphed into a full blown tragedy: Porsche has until Monday to decide whether it is willing to accept what is essentially a firesale bid by Volkswagen and Lower Saxony for 49% of the company in exchange for €3-4 billion. As a result of the transaction, the two companies would merge, with the Piech and Porsche controlling a 40% stake, Lower Saxony owning 20%, Qatar 15%, and a separate state fund having a 5% stake.
The SEC Needs Your Feedback
Submitted by Tyler Durden on 06/27/2009 - 18:19Zero Hedge thrives on its proactive readers, yet I never expected a barrage of information such as the one I received since posting this. In the hundreds of emails received over the past several hours, much of it from current industry insiders, a substantial portion is likely actionable, and upon further refinement, enforceable. Going through it all will take time, however I take this opportunity to welcome any and all readers to provide information they believe captures wrongdoing in the financial system.
Goldman's Lucas Van Praag Responds To Matt Taibbi's Allegations
Submitted by Tyler Durden on 06/27/2009 - 18:16"We reject the assertion that we are inflators of bubbles and profiteers in busts, and we are painfully conscious of the importance of being a force for good."
The Republican Regulatory Reform Plan
Submitted by Tyler Durden on 06/27/2009 - 18:14The following is the Regulatory Reform Plan proposed by Alabama Congressman Spencer Bachus. The plan effectively touches upon all weaknesses of the current regulatory environment, if one can even claim one exists.
VWAP Close
Submitted by Tyler Durden on 06/27/2009 - 18:13
SPARC computers are taking the SPARC bus to the SPARC hangout in the Hamptons after another job well done.
There Goes The CMBS Neighborhood
Submitted by Tyler Durden on 06/27/2009 - 18:10S&P announced that it was likely to downgrade $235.2 billion in CMBS securities as it evaluates how these would fare in an "extreme economic downturn."
