This page has been archived and commenting is disabled.

Frontrunning: October 5

Submitted by Tyler Durden on 10/05/2010 08:35 -0400

We hope SocGen accepts checks: Kerviel gets three years, told to repay $6.8 billion (Bloomberg)... does that mean Bernanke, one day, will be told to repay $23 trillion?
Another predicition by Zero Hedge coming true - wifebeating Judge Peck will soon be forced to undo Lehman bankruptcy sale (Bloomberg)
Soros Op Ed: America needs stimulus not virtue (FT)
It's October. Is it time for a stock market crash? (Fortune)
Art Laffer: The Bill Gates Income Tax (WSJ)
Bernanke Says Fiscal Limits Can Improve Federal Budget Path (Bloomberg)
The Federal Reserve is selling paper gold and buying physical gold (Financial Sense)
See what happens when you don't kill your currency fast enough - Europe Services, Manufacturing Cool as Retail Sales Decline (Bloomberg)
Is 'Stupid' Replacing 'Silly' Good for Stocks? (RCM)
Claims of the “Death of Stock Picking” Are a Good Sign for Value Investors (Grey Owl Capital Management)
Greenspan Would Spot These Interest-Rate Bubbles (Bloomberg)
Economic Measures Continue to Slow (Hussman Funds)
Larry Summers and the Subversion of Economics (The Chronicle, h/t Remi)
Majority of U.K. Bank Bonuses to Go to Tax Authorities (Bloomberg)
Don’t Blame China, Blame Congress (National Review)
A Way Out For Homeowners In Trouble Hits A Snag (NPR, h/t Robert)
O's quietest jobs-killing machine (Post)

- advertisements -

Tue, 10/05/2010 - 08:37 | 625470 EscapeKey

$6.8bn? Meh... that'll be change in a few years.

Tue, 10/05/2010 - 08:44 | 625486 primefool

Its good that Kerviel's boss and his bosses'boss had nothing, absolutely nothing to do with any of it. Real good that the 25 year old junior guy goes to jail - makes perfect sense - teach the kids a lesson.

Tue, 10/05/2010 - 08:47 | 625489 willien1derland

Reversing the Lehman Bros. bankruptcy sale? Perhaps the Fed can purchase Lehman & set it up as its 'Primary Dealer' of choice...nothing like franchising a brand that epitomizes the 'Race to the Bottom'...Calling Richard Fuld...

Tue, 10/05/2010 - 08:47 | 625490 deKevelioc

Yeah, I like the Soros article. The guy is short the dollar and suggests we debase it further for our own good. What a guy!

Gold, bitchez.

Tue, 10/05/2010 - 08:58 | 625515 Jim B

Soros should STFU! He is one of the true crony capitalists!

Tue, 10/05/2010 - 09:31 | 625609 zice

George on the surface really comes across as out of touch. His filler for the article is just fluff until you reach this:

How much government debt is too much is an open question because tolerance for public debt is highly dependent on prevailing perception.

Tue, 10/05/2010 - 08:55 | 625505 b_thunder

Bernanke says: You, the United States Congress, gave ME the right to print money. Well, I will print, but I ain't gonna give you any, unless i feel liek it. I'd rather buy near-worthless MBS at par from my real "owners" - the banks.

So, dear Congress and dear people of these united States, either tighten your belts and pay ME interest, or screw you all!

Tue, 10/05/2010 - 09:12 | 625513 Lux Fiat

The Laffer WSJ article was an interesting read on how some people keep wanting to shoot themselves in the foot economically, but more interesting (in my mind) were the articles on:

- "Truth in the Time of Putinism" (http://online.wsj.com/article/SB10001424052748703859204575526041067013892.html?mod=ITP_opinion_0):

Have followed the slaughter (literally) of opposing voices in Russia for years, this article's description of the non-lethal actions taken to squelch opposing views is eerily familiar, fortunately not yet in degree, to actions seen is more, ah, freedom-loving countries.

"These intertwined cases are emblematic of Putin's Russia, in which Kremlin leaders and their allies have developed brutally effective methods for keeping consequential information from public view.

Controlling television is integral to the Kremlin's strategy. The three main television outlets—Channel One, Rossiya and NTV—coordinate their coverage with the Kremlin and omit what is deemed politically undesirable. Thus most people receive news that "bears little relationship to the reality in Russia and the world," Mr. Orlov told us.

Russian authorities have the power to make certain individuals invisible to national television audiences. In place of opposition figures, activists and social critics, public-affairs shows feature a reliable cast of government-approved pundits."

Also, "Obama Tactics Rebound on Rahm" (http://online.wsj.com/article/SB10001424052748704631504575532120616441014.html?mod=WSJ_newsreel_opinion) is an interesting read on what goes around may come around. It will be interesting to see how the Chicago machine handles the residency requirement for Rahm, and potential challenges to putting him on the ballot in light of it. The Dems will have a harder time keeping this out of the national spotlight, and Repubs at the national level would love to make hay out of this if rules are bent/broken.

Tue, 10/05/2010 - 09:02 | 625530 gwar5

I love this section, the stack of stuff, when I'm on the toilet:

-----$6.8 billion, that's a big check. He must be a very bad boy.

-----Wow. The Fed sells paper gold and buys physical gold? Fed using JPM as proxy to buy physical gold from miners means gold should go up. Hedging their own devaluations of USD with physical gold means this should be a rocket

-----Greenspan: "I see Bubbles"

-----Bernanke: "I see unusual uncertainty" (uh...bubbles?)

-----Craigslist: Funerals for dead currencies available, crematorium now open. Pomp and circumstance extra. Hurry, price goes up again in 15 minutes, gold ATM in lobby

Tue, 10/05/2010 - 09:09 | 625555 LMAO

Unfooking believable,

Patsy "One man job" Kerviel alledgedly being the only one on the grassy knoll.

Over 56 alarm-bells went of at Soc Gen, all of them carefully ignored by his superiors and all others overseeing Kerviels' actions.

Looks like Bernie is getting company

LMAO

Tue, 10/05/2010 - 09:16 | 625577 buzzsaw99

...If Mr. Gates Sr. and his son feel so strongly about taxing the rich, they should simply give the state a chunk of their own money and be done with it. Leave the rest of Washington's taxpayers alone.

Income taxes do not apply to the uber-rich. The billions they've stolen are safely tucked away already. They can defer income for decades or hide money offshore. Someone making $250k/yr is not wealthy and they are the ones who get hit. The problem (for them) is that the math doesn't work to bring in the money they want if they only raise taxes on the seven figure per year folks.

Tue, 10/05/2010 - 09:18 | 625583 Tense INDIAN

Fortune seems to love an October crash....here is one may article:

http://money.cnn.com/2010/05/17/magazines/fortune/2010.crash.1987.again....

Tue, 10/05/2010 - 09:35 | 625627 papaswamp

First Fed Ex announced a 1700 employee layoff..I mean business consolidation. This morning Talbots announces a 75-100 store closing.

"Talbots (TLB) warns sales for the current quarter and the full year will be weaker than expected, and says it will close 75-100 stores over the next three years as it focuses on more upscale outlets to help grow revenue and improve its profit margin."

http://seekingalpha.com/news/market_currents

Tue, 10/05/2010 - 10:10 | 625727 kathy.chamberli...

the DONALD for president 2012. seriously, you got to be kidding. third partyt talks. damn we are buying windows from the chinese and not using Anderson or Pella. crime against society. he thinks that china are the crooks. this world is not of control on so many many levels. good thing we still have tyler and me.

Tue, 10/05/2010 - 10:14 | 625738 TheGreatPonzi

Being a French who studied extensively the Kerviel case, I'm profoundly disgusted by the ruling.

But from a corrupted justice, doesn't surprise me. The banks rule and will rule until a revolution.

Tue, 10/05/2010 - 10:31 | 625789 Pegasus Muse

The importance of Ron Kirby's article should not be under estimated. More and more people are on to (and writing about) the FED/Treasury/Bullion Bankster scam and fraud with USD/precious metal price manipulation. How long until the story explodes in the MSM? It's too huge a story to suppress much longer. Then the race to dump fiat paper is on.

Great snag on this one Tyler.

=============

The Federal Reserve is Selling Paper Gold and Buying Physical Gold

Submitted by Rob Kirby on Mon, 4 Oct 2010

http://www.financialsense.com/contributors/rob-kirby/the-federal-reserve-is-selling-paper-gold-and-buying-physical-gold

Tue, 10/05/2010 - 10:37 | 625819 Goldenballs

Feds doing a Great job today.Gold and Silver heading over the Horizon.Cheers Ben,what a chump.

Tue, 10/05/2010 - 10:43 | 625838 dcb

the other day you said the next fed intervention was the 7th. today you said it was today. you need to post this schedule, or provide a link where to find it. it is fairly clear that on days the fed does not monetize go short, go long with the fed on days it does monetize. I expect this info from zero hedge someplace easy to find with a day or two notice before.

Bad job this time around ZH!!

Wed, 11/10/2010 - 06:23 | 715645 cheap uggs for sale

Frontrunning: October 5

Comment viewing options