Enron
Noble Group’s "Collateral Margin Call"
Submitted by Tyler Durden on 01/02/2016 14:37 -0500It is not Liquidity that banks are asking but for more Collateral from Noble starting this year because they also understand that this MTM gain on commodity contracts and derivatives of Noble will unlikely be realized at more than 10% and therefore is not valid collateral for the trader’s working capital borrowing base requirements.
NRG Energy is a Free Roll on Natural Gas Prices
Submitted by EconMatters on 12/14/2015 13:12 -0500There is no cure for low natural gas prices like low natural gas prices.
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Kinder Morgan - Poster Boy For Bubble Finance
Submitted by Tyler Durden on 12/11/2015 20:00 -0500After Tuesday’s dividend massacre, it’s plain as day that Kinder Morgan wasn’t the greatest thing since slice bread after all. That is, a “growth” business paying rich dividends out of rock solid profit margins and flourishing cash flow. In fact, it was just a momo stock on a borrowing spree.
The Next Level of John Law Type Central Planning Madness
Submitted by Tyler Durden on 11/07/2015 10:50 -0500- Bank of America
- Bank of America
- Bank of England
- Bank of Japan
- Bear Market
- Bill Gross
- Bond
- Capital Formation
- Central Banks
- Citigroup
- CPI
- Deficit Spending
- Enron
- European Central Bank
- Federal Reserve
- France
- Germany
- Global Economy
- Gross Domestic Product
- Hyperinflation
- India
- International Monetary Fund
- Janus Capital
- Japan
- Lehman
- Lehman Brothers
- Ludwig von Mises
- Merrill
- Merrill Lynch
- Milton Friedman
- Monetary Policy
- Monetization
- Money Supply
- Poland
- Purchasing Power
- Quantitative Easing
- Rate of Change
- Real estate
- Risk Premium
- Steven Englander
- Unemployment
- WorldCom
The cries for going totally crazy are growing louder... the lunatics are running the asylum. One shouldn’t underestimate what they are capable of. The only consolation is that the day will come when the monetary cranks will be discredited again (for the umpteenth time). Thereafter it will presumably take a few decades before these ideas will rear their head again (like an especially sturdy weed, the idea that inflationism can promote prosperity seems nigh ineradicable in the long term – it always rises from the ashes again). The bad news is that many of us will probably still be around when the bill for these idiocies will be presented.
Mark-to-Fantasy Becomes an Ugly Reality with the Impact of (S&P) 500 Enrons
Submitted by Reggie Middleton on 11/02/2015 06:35 -0500How many banks (and other companies) are doing the Enron thing? Many more than you would be led to believe, for now it's legal. Simple proof that this will end even prettier than Enron.
Valeant Flash Crashes On Report CVS Terminates Its Philidor From Caremark Pharmacy Network
Submitted by Tyler Durden on 10/29/2015 14:50 -0500Moments ago VRX stock flash crashed on news CVS had just terminated Philidor from its Caremark PBM network: CVS CITES 'NONCOMPLIANCE' W/ PROVIDER PACT ON PHILIDOR; CVS MOVE BASED ON RECENT AUDITS OF PHILIDOR, DJ SAYS
Is This Valeant's "Enron" Org Chart?
Submitted by Tyler Durden on 10/26/2015 09:50 -0500If the Valeant fiasco evaporates and the company is found to have done nothing wrong, this chart will be promptly forgotten. If, however, the government decides to crackdown on Valeant, and ends up wiping out the company, the above chart will be known as nothing less than the first draft of Valeant's "Enron" orgchart.
Frontrunning: October 22
Submitted by Tyler Durden on 10/22/2015 06:30 -0500- ECB Haunted by Paradox as Draghi Weighs Risk of QE Signaling (BBG)
- At odds with Republicans, Hillary Clinton to testify on Benghazi (Reuters)
- House tees up conservative plans to raise debt limit (Hill)
- U.S., Russia to Meet at Syria Conference to Discuss Crisis (WSJ)
- Putin Gains Record Support Among Russians Over Syria, Poll Shows (BBG)
- China Plans 2020 Deadline for Dismantling Capital Controls (BBG)
- Nyrstar Drops the Most on Record as Mining Hit by Metal Rout (BBG)
Futures Firm On Hope Draghi Will Give Green Light To BTFD
Submitted by Tyler Durden on 10/22/2015 05:56 -0500- Australia
- Bank Lending Survey
- Bank of Japan
- Boeing
- China
- Chrysler
- Conference Board
- Crude
- Daimler
- Debt Ceiling
- Enron
- Equity Markets
- fixed
- General Motors
- Gilts
- Greenlight
- headlines
- Initial Jobless Claims
- Japan
- Jim Reid
- McDonalds
- NASDAQ
- Nikkei
- NYMEX
- PDVSA
- Precious Metals
- Price Action
- Quantitative Easing
- RANSquawk
- recovery
- Reflexivity
- Shenzhen
- Ukraine
- Volatility
- Yen
After yesterday's dramatic late day market rout catalyzed by the tumble in the biotech sector in general, and Valeant in particular, and foreseen in its entirety by Gartman who went bullish just hours before, this morning US equity futures and European stocks have recouped some losses on the recursive, and traditional, hope that Mario Draghi will say something to push risk higher when he speaks in 2 hours at the ECB's press conference in Malta. And yet, just like Yellen a month ago, Draghi faces the paradox of reflexivity that after years of being ignored, is the "new thing" in town: how does he intervene and demonstrate he is readier than ever to set up stimulus, without panicking investors over euro area’s health.
VRX a sign of collapse of the greed bubble
Submitted by globalintelhub on 10/21/2015 16:54 -0500Companies used to build things. Not because they were noble, but because they had no other choice. Selling snake oil simply wasn't possible on a large scale, for a long time; in the previous economy. Now, like during the dot com boom, all you need is a phone, a website, and a power point machine. Actual sales, or an actual product, it's so 80's.
Today shares for VRX "Valeant" Pharmaceuticals was haled 4 TIMES:
Ackman Loses $600 Million In Seconds As Valeant Plummets On Citron's "Enron Part Deux" Report
Submitted by Tyler Durden on 10/21/2015 09:19 -0500With default risk soaring, and Ackman's dreams dissolving, Valeant Pharma is crashing again today (halted three times and down over 28%) following a report by Citron Research that claims to have a "smoking gun" on the company's activities, claiming Valeant is using pharmacies related to Philidor to store inventory and record the transactions as sales.
The Sad Fate Of America's Whistleblowers
Submitted by Tyler Durden on 10/18/2015 20:40 -0500The American people accept the persecution of truth-tellers, because they have been brainwashed into believing that patriotism means defense of the government no matter what. As truth is so unfavorable to Washington, Americans believe that it must not be revealed, and if revealed, covered up, and those who reveal truth must be punished. A country with such a population as this is a police state, not a free country.
As Worldwide Sales Collapse, VW's Dieselgate Scandal Could Cost Up To $87 Billion In Total
Submitted by Tyler Durden on 10/16/2015 09:38 -0500"The market does not appear to be discounting negative knock-on effects. The outcome for recall costs and fines is unclear and largely depends on the engine performance post repair," said a Credit Suisse analyst in its report on the scandal. Estimates from Credit Suisse peg the costs of Dieselgate at a worst-case scenarios of $87 billion. This would make the VW scandal could be even bigger than Enron Scandal and BP Deepwater Scandal combined.
From Bezzle To Bummer - The Mirage Of "Psychic" Wealth
Submitted by Tyler Durden on 10/08/2015 08:24 -0500The market is prone to temporary fits of shared enthusiasm – for emerging-market debt, for Internet stocks, for residential mortgage-backed securities, for Greek government debt. Traders need not wait to see when or whether the profits materialize. IBGYBG, they say – I’ll be gone, you’ll be gone. There are numerous routes to bezzle and febezzle... traders borrowed money from the future. And then the future came, as it always does, turning the bezzle into a bummer.
As A Shocking $100 Billion In Glencore Debt Emerges, The Next Lehman Has Arrived
Submitted by Tyler Durden on 10/07/2015 16:27 -0500- Bank of America
- Bank of America
- Bond
- CDS
- China
- Convexity
- Counterparties
- Countrywide
- Covenants
- default
- Duration Mismatch
- Enron
- Glencore
- High Yield
- Housing Market
- Investment Grade
- Lehman
- LIBOR
- Mark To Market
- Market Conditions
- Negative Convexity
- ratings
- RBS
- recovery
- Standard Chartered
- Stress Test
- Switzerland
And now the real shocker: there is over US$100bn in gross financial exposure to Glencore. From BofA: "We estimate the financial system's exposure to Glencore at over US$100bn, and believe a significant majority is unsecured. The group's strong reputation meant that the buildup of these exposures went largely without comment. However, the recent widening in GLEN debt spreads indicates the exposure is now coming into investor focus."






