Archive - Feb 25, 2009 - Story
Latest DTCC CDS Update (Week of Feb 20)
Submitted by Tyler Durden on 02/25/2009 14:13 -0500CDS Market Data Update
Derisking still in full force in most categories although with 30% subdued trading action, as shorts took significant profits in sovereigns and basic materials. Net notional change of $8.1 billion this week versus $83 billion last week, and net contracts exchanged hands were 9,535 versus 13,892 prior.
Early Feb 25 Headlines
Submitted by Tyler Durden on 02/25/2009 13:19 -0500- Roubini: Banks Need Temporary Nationalization (RGEMonitor)
- Ukraine rating cut to CCC+ by S&P (Bloomberg)
- Pound's slump may destabilize British economy, Eurozone (Bloomberg)
- College fund-raising outlook darkens (
UBS Trader Places $30.9 Billion Bond Order By Mistake
Submitted by Tyler Durden on 02/25/2009 05:08 -0500Someone is taking project Mayhem in the right direction. The Tokyo Stock Exchange immediately suspended trading of CapCom bonds after a 3 trillion Yen order was placed. Unfortunately the entire outstanding issue is only 15 billion Yen.
A good analogy would be a trader (Obama) placing a $3 trillion market bid order in the common equity of Citi, which only has $15 billion outstanding.
UBS Tax Fugitives Doomed To Public Exposure
Submitted by Tyler Durden on 02/25/2009 03:34 -0500UBS recently threatened it would sue the US to prevent the IRS from getting access to its precious anonymous account logs, claiming the publication of these names would spell the end for its business model as the historical "nameless" Swiss account concept would be over. Unfortunately for UBS, it likely has no option but to comply with the US' demands. Why?
The Merrill Bubble
Submitted by Tyler Durden on 02/25/2009 01:09 -0500It is pretty fascinating that Merrill which ranks horribly in both increasing writedowns and change in leverage over the past 5 years has the highest compensation as % of operating profit (when this was positive). Merrill is the only firm that paid out over 100% of its operating profit to its employees over the '03-'08 period (185% to be exact). Even mighty Goldman barely registers on the chart when compared to Merrill on these parameters. Hat tip to Mike Cembalest.
