Archive - Mar 21, 2009

Tyler Durden's picture

The True State Of The CMBS Market, And Why Billions In New Writedowns Are Coming





In response for requests for information on where the capital markets objectively evaluate commercial mortgage backed securities, and also to demonstrate the recent knee jerk reaction of how CMBX spreads ripped wider once it became clear older vintage, sub-AAA would not be eligible for TALF 1.0 participation, I am presenting the recent trading levels of CMBX 1 through CMBX 5, segregated by tranching (rule of thumb: the higher the chart line, the lower the underlying value, the more MTM pain for sellers of the CMBX tranche i.e. banks).

 

Tyler Durden's picture

Will Somebody Remove Geithner From The Poker Table Please?





As Zero Hedge wrote previously, the TALF in its current formulation is merely a lot of hot air as it provides an incentive to buy assets that nobody really cares about (AAA-backed, newly issued "securitized" equivalents).

 

Tyler Durden's picture

Will Somebody Remove Geithner From The Poker Table Please?





As Zero Hedge wrote previously, the TALF in its current formulation is merely a lot of hot air as it provides an incentive to buy assets that nobody really cares about (AAA-backed, newly issued "securitized" equivalents).

 

Tyler Durden's picture

Madoff Victim Letters





Tyler Durden's picture

The Week In Review





As next week's news is likely to be consumed by Geithner's redesign of the TALF, it is useful to summarize the events of the prior week. An overview of the ten most notable events that have occurred, compliments of BofA:

1) Fed’s moves impact Treasury notes and the dollar

 

Tyler Durden's picture

DE Shaw On The Basis Monster That Ate Wall Street





DE Shaw's quant Ph.D. geniuses are focusing on the topic de jour: the Basis Trade (to Boaz Weinstein's chagrin they are 6 months off). Always good to get one more perspective on the issue. Great bedtime reading for hardcores: enough new concepts here to find at least 5 brand spanking new ways to blow up the world. Particularly interesting section:

 
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