Corus

Frontrunning: November 28

  • Trump Alleges That ‘Millions of People’ Voted Illegally (WSJ)
  • Oil slip sends dollar, bond yields skidding (Reuters)
  • Italian Lenders Slide on Vote Worries to Drag Down Europe Stocks (BBG)
  • OPEC makes last-ditch bid to save oil deal as tensions grow (Reuters)
  • How Iran, Russia Could Derail Oil-Production Deal (WSJ)
  • Tug of War Delays Some of Trump’s Key Appointments (WSJ)

Frontrunning: March 24

  • Belgium hunts 'third man' after Islamic State bombings (Reuters)
  • Number of Attackers, Key Details of Brussels Assaults Remain Unclear (WSJ)
  • Surviving Paris attacks suspect wants to return to 'explain himself': lawyer (Reuters)
  • Brussels Suicide Bomber Slipped Terror Net (WSJ)
  • Dollar rise hits commodities as Fed talks of tightening (Reuters)

Frontrunning: February 26

  • Fight night: Rubio, Cruz gang up on Trump in debate ploy (Reuters)
  • Laid Bare in Shanghai: G-20 Tensions Over How to Spur Growth (BBG)
  • China Flags Scope for Policy Stimulus, Tweaks Monetary Stance (BBG)
  • Global Stocks Rise With Commodities as China Sees Room to Ease (BBG)
  • Greece seeks to stem migrant flow as thousands trapped by border limits (Reuters)

Frontrunning: February 23

  • Risk rally fades as stocks, oil slip back into the red (Reuters)
  • Syrian govt. accepts halt to 'combat operations' in line with U.S.-Russian plan (Reuters)
  • Earliest Chinese Data Signal Slowdown Hasn't Bottomed Out Yet (BBG)
  • The Trickle of U.S. Oil Exports Is Already Shifting Global Power (BBG)
  • Greek police remove migrants from Macedonian border as more land in Piraeus (Reuters)
  • Clinton, Sanders race takes on angrier tone after Nevada (Reuters)

Frontrunning: April 17

  • Fed Shies Away From June Rate Hike (Hilsenrath)
  • Europe Stocks Fall Most in Three Weeks Amid Greece as Banks Drop (BBG)
  • China Futures Tumble on Trust Curbs, Expansion of Short Selling (BBG)
  • Oil slips below $64 as ample supplies weigh (Reuters)
  • Fed officials lean all ways on rate hikes, data in focus (Reuters)
  • Eurozone deflation eases in March (FT)

Frontrunning: March 6

  • Kuroda to Hit ‘Wall of Reality’ at BOJ, Ex-Board Member Says (BBG)
  • Venezuelans mourn Chavez as focus turns to election (Reuters)
  • South Korea says to strike back at North if attacked (Reuters)
  • Milk Powder Surges Most in 2 1/2 Years on New Zealand Drought (BBG)
  • As Confetti Settles, Strategists Wonder: Will Dow's Rally Last?  (WSJ)
  • Pollution, Risk Are Downside of China's 'Blind Expansion' (BBG)
  • Obama Calls Republicans in Latest Round of Spending Talks (BBG)
  • Ryan Budget Plan Draws GOP Flak (WSJ)
  • Samsung buys stake in Apple-supplier Sharp (FT)
  • China Joining U.S. Shale Renaissance With $40 Billion (BBG)
  • Say Goodbye to the 4% Rule  (WSJ)
  • Traders Flee Asia Hedge Funds as Job Haven Turns Dead End (BBG)
  • Power rustlers turn the screw in Bulgaria, EU's poorest country (Reuters)

Frontrunning: March 5

  • As ZH has been saying for months... Draghi Will Need to Push the Euro Down Some More (WSJ) ... but careful with "redenomination risk"
  • Senate Report Said to Fault JPMorgan (NYT)
  • EU Opens Way for Easier Budgets After Backlash (BBG)
  • China Moves to Temper Growth - Property Bubble Is a Key Concern (WSJ)
  • China bets on consumer-led growth to cure social ills (Reuters)
  • Italian president mulls new technocrat government (Reuters)
  • Grillo says MPS won't back technocrats (ANSA)
  • The Russians will be angry: Euro Chiefs Won’t Rule Out Cyprus Depositor Losses (BBG)
  • China Bankers Earn Less Than New York Peers as Pay Dives (BBG)
  • Investors click out of Apple into Google (FT)
  • Community colleges' cash crunch threatens Obama's retraining plan (Reuters)
  • Alwaleed challenges Forbes over his billions - Calculation of $20bn net worth is flawed, says Saudi prince (FT)
  • Guy Hands Dips Into Own Pockets to Fund Bonuses at Terra Firma (BBG)
  • North Korea to scrap armistice if South and U.S. continue drills (Reuters)

Sprott November Commentary: Massive Bank Leverage Is Still A Ticking Timebomb

"When the crisis was in full bloom last year, there was much talk of banks “de-leveraging” their balance sheets back down to more appropriate levels. Traditionally, banks would “de-lever” by selling portions of their loan portfolios to other banks, but in 2008 there were no buyers for financial assets at any price. Over the course of the last twelve months, however, many people have assumed that the banks were steadily improving their leverage levels from those of 2008. After all – the bank stocks have all rallied dramatically since March. They must be in better shape, right? Closer inspection reveals that they’ve achieved very little in the way of de-leveraging thus far, and have merely been propped up by various forms of government liquidity injections, guarantees, out-right share purchases and support from existing shareholders." - Eric Sprott

Why Is Goldman Advising CanWest On Its Programming Line Up?

When a few weeks ago we presented the concept of certain banks stealthy encroachment into the media world we were half joking. After all, the FCC would never allow Wall Street entities, even with equity control, to have a say in program line up and content, right? Needless to say, the potential for abuse (call it brain washing, or what you will) is simply staggering. Separately, two days ago, we highlighted the bankruptcy of Canada's biggest media company, CanWest, whose bankruptcy filings we are still combing through, looking for some of the usual suspects. Which is why we read with great interest Andrew Willis' article in today's Globe and Mail "Inside Goldman's deal with CanWest" which may have helped us, and our readers, elegantly put some of the pieces together.

Daily Credit Summary: October 7 - Nifty Thrifty

Spreads were wider in the major indices today as single-names actually led the way weaker today and high beta underperformed low beta with wideners outpacing tighteners by almost 8-to-1. Credit continues to underperform stocks and a lifting in compression trades today and strength in TSYs suggests far less confidence in the recovery in fixed income investors than equity investors.

Daily Highlights: 10.7.09

  • Asian stocks gain on commodity prices; Newcrest advances on record gold prices.
  • ECB little reason to raise rates over next 12 months because of a muted inflation outlook: IMF.
  • Fed should increase interest rates 'sooner rather than later,' Hoenig says.
  • Gold hits record $1,045 on report suggesting the end of dollar-based oil trading.
  • Gold jumps to record $1,038 an ounce as outlook for inflation fuels demand.
  • JP Morgan says US may take until 2013 to recover jobs lost in recession.

JP Morgan Enjoying FINRA's Recently Amended Conflict-Enhancing Quiet Period In Upgrading MB Financial

There was a time when FINRA did some good things. It did mostly useless things, and was glaringly incompetent in even those, but on occasion it would do something proper, at least when moderating analyst conflicts of interest. Then the crash came, and all bets were off. Interestingly, in October 2008, a month after the bottom came off the market, and when the kitchen sink was being thrown at stocks in order to prevent further collapse, FINRA lost the last shred of interventionist integrity it had when it decided to abolish the so-called quiet period for research actions subsequent to a follow-on offering. Yesterday, JP Morgan was more than happy to take advantage of this last shred of regulatory decency collapsing by the wayside, as more and more synergies of the SEC-Wall Street merger become effectuated.

bmoreland's picture

As you have all read by now, Corus Bancshares went belly up on Friday adding yet another failed institution to the growing hall of shame. What makes Corus unique, however, is that they may have been the first failure with little to no delinquencies in their major loan portfolios.

Corus Bank Is Shut Down, Cost To DIF: $1.7 Billion

The last domino of the big three has fallen: Corus Bank has been seized by the OCC. The bank, with $7 billion in assets and deposits, will transfer $3 billion of its assets to MB Financial Bank and all of its deposits. How nice of the FDIC to stick taxpayers with $4 billion in "assets" and no deposits against them. "The FDIC will retain the remaining assets for later disposition. The FDIC plans to sell substantially all of the remaining assets of Corus Bank in the next 30 days in a private placement transaction." The cost to the FDIC, pulled straight out of the rose-colored kaleidoscope, will be $1.7 billion.