Archive - Apr 18, 2009 - Story
The Evaporating Collateral Of The United States
Submitted by Tyler Durden on 04/18/2009 22:54 -0500In a Bloomberg article today, Federal Reserve Vice Chairman Donald Kohn said that the central bank’s emergency lending programs aren’t creating a significant risk for U.S. taxpayers and went on to clarify that the major sense of security is prompted by the quality of the collateral pledged against these loans. To quote Kohn:
"We are not taking significant credit risk that might end up being absorbed by the taxpayer.
The Citi Market Barometer
Submitted by Tyler Durden on 04/18/2009 15:03 -0500When Zero Hedge first presented its thesis about a likely upcoming mega squeeze in Citi common concurrent with the bank's shares trading at $1, some readers expressed their dismay with our lack of intellectual capacity. Less than two months later, and $3 dollars higher, the situation has changed... at least for the Citi shorts.
