Archive - Mar 22, 2009 - Story

Isam Laroui highlights a great speech by Bernanke back in 2002; as Isam points out, one could easily forecast Big Ben's actions since mid 2007 from reading this speech as Big Ben has been kind enough to follow the very playbook he laid out back then. Setting fed funds rate to zero? Check. Cheap money to the banks? Check. Lowering long rates?

GM's bondholders have had enough of being ignored.

...have been broken. However the end result is welcome as I present to you the first Zero Hedge recruit, Cornelius. Cornelius has an exciting and very pertinent background, packs a mean financial punch, and will focus on a space that I have not been able to devote much time or attention to: global macro with a focus on FX and commodities.

Please welcome him to the club.

The Currency Week In Review
By Cornelius

...have been broken. However the end result is welcome as I present to you the first Zero Hedge recruit, Cornelius. Cornelius has an exciting and very pertinent background, packs a mean financial punch, and will focus on a space that I have not been able to devote much time or attention to: global macro with a focus on FX and commodities.

Please welcome him to the club.

The Currency Week In Review
By Cornelius

• The Big Takeover (Rolling Stone)
• Krugman: The Zombie ideas have won (New York Times)
• Ken Rogoff: The worst is yet to come (PBS)
• Jeremy Bulow: Fix the banks by focusing on liabilities not assets (Vox)
• Buite
  

• The Big Takeover (Rolling Stone)
• Krugman: The Zombie ideas have won (New York Times)
• Ken Rogoff: The worst is yet to come (PBS)
• Jeremy Bulow: Fix the banks by focusing on liabilities not assets (Vox)
• Buite
  

The greatest bait and switch of this generation in all its visual splendor. As a result of the TALF's non-recourse/non-margin nature, a hedge fund X can buy Bank X's MBS Portfolio which is marked on the bank's books at 80 cents on the dollar (but has a market price of 20 cents) for the marked price with a 3% equity check and TALF filling the balance.

The greatest bait and switch of this generation in all its visual splendor. As a result of the TALF's non-recourse/non-margin nature, a hedge fund X can buy Bank X's MBS Portfolio which is marked on the bank's books at 80 cents on the dollar (but has a market price of 20 cents) for the marked price with a 3% equity check and TALF filling the balance.

As I dug a little more into the mystery of the amended Bloomberg headline discussing FDIC's travails, some interesting facts came up.