Insider Trading

• Is Insider Trading Part of the Fabric on Wall Street? (NYT) ... uhm, next question
• Nasdaq Says Glitches Affected Millions of Shares; IPO System to Be Redesigned (WSJ)... it's all the robot's fault... And the weather... And Bush
• Special Report: The algorithmic arms race (Reuters)
• Barclays to Sell Entire BlackRock Stake (WSJ) ... but they don't need the money... and it's not a market top.
• BoE's Posen: some European banks need more capital (Reuters)... some?
• Limbo on Bankia Undermines Confidence in Spain's Handling of Crisis (WSJ)
• JPMorgan CIO Risk Chief Said to Have Trading-Loss History (Bloomberg)... a guy called Goldman, blowing up JPM... the irony
• Pentagon's tone softens on Chinese military growth (China Daily)
• EU summit to raise pressure on Merkel (FT)
• Romney Super PAC raises less, still tops Democrats (Reuters)
• JPMorgan’s Home-Loan Debt in Europe Increases Anxiety: Mortgages (Bloomberg)

• As ZH warned last week, JPMorgan’s Trading Loss Is Said to Rise at Least 50% (NYT)
• Spanish recession bites, may be prolonged (Reuters)
• Obama Lunch With Boehner Ends With Standoff Over Budget (Bloomberg)
• Hilsenrath: Fed Minutes Reflect Wariness About Recovery's Strength (WSJ)
• N. Korea Ship Seizes Chinese Boats for Ransom, Global Times Says (Bloomberg)
• Greece Plans for June 17 Vote Under Caretake Government (Bloomberg)
• Hollande turns to experience to fill French posts (FT)
• ECB Stops Loans to Some Greek Banks as Draghi Talks Exit (Bloomberg)
• Spain Urges EU to Provide More Support (WSJ)
• North Korea resumes work on nuclear reactor: report (Reuters)
• Fed’s Bullard Says Labor Policy Is Key to Cut Joblessness (Bloomberg)
• China Expands Scope for Short Selling, Securities Journal Says (Bloomberg)

• Default now or default later? (FT)
• Monti warns of tears in Italy's social fabric (Reuters)
• Fear Grows of Greece Leaving Euro (FT)
• Greek Elections Loom as Key Bailout Opponent Defies Unity (Bloomberg)
• Santander, BBVA to Set Aside 4.5 Billion Euros for New Cleanup (BBG) - Thank god they both passed the stress test
• Austerity Blow for Merkel in German State Election (Reuters)
• Apple Founder Wozniak to Buy Facebook Regardless of Price (Bloomberg) - so... another ponzi.
• Dimon Fortress Breached as Push From Hedging to Betting Blows Up (Bloomberg)
• Saudi and Bahrain Expected to Seek Union: Minister (Reuters)
• Obama Pitches Equal Pay to Win Women Even as Charges Drop (BBG)

The market appears to be topping out after we were all told that this is one of those can't miss you better jump on board now the train is leaving the station moments that you will certainly regret.

In the shady underground world of banking, doing wrong means doing right, up is down, and left is right.

It's all good, and no doubt this can only mean one thing. It's clear sailing ahead. But not so fast.

• Merkel Pushes Back Against Hollande Call to End Austerity Drive (Bloomberg)
• ECB's Draghi throws crisis ball back to governments (Reuters)
• Greek Bank Chief Warns of a Possible Euro Exit (WSJ)
• China’s Wen Says Economy Will Maintain Robust Expansion (Bloomberg)
• North Korea's nuclear test ready "soon" (Reuters)
• Hong Kong Peg Architect Says Convertible Yuan `Long Way Off’ (Bloomberg)
• Hollande seeks wider EU fiscal pact (FT)
• Gavyn Davies: Why UK GDP continues to lag the G7 (FT)
• U.S. Lost AAA on Danger of Liquidity Crisis, S&P’s Kraemer Says (Bloomberg)

If you have been a buyer over the past 8 weeks, you most likely will find your investment underwater.

In what could be one of the better deals encountered on Ebay, one can submit a winning bid for none other than the country of Greece, currently going for the modest price of $1,550 (although with 6 more days left in the auction, there is a small chance Goldman will outbid and use it as LTRO 3 collateral). Of course, since the country is worth much less than the debt (all 7 subordinated classes of it) any new equity buyer would assume, this is a trick auction: our advice - settle for nothing less than getting paid as much as possible for "buying" the country.

Anyone who hasn’t sensed a mood change in this country since the 2008 financial meltdown is either ignorant or in denial. Millions of Americans fall into one of these categories, but many people realize something has changed – and not for the better. The sense of pure financial panic that existed during September and October of 2008 had not been seen since the dark days of 1929. Our leaders used the initial terror and fear to ram through TARP and stimulus packages that rewarded the perpetrators of the financial collapse rather than helping the middle class who lost 8 million jobs, destroyed by Wall Street criminality. The stock market plunged by 57% from its 2007 high by March 2009. What has happened since September 2008 has set the stage for the next downward leg in this Crisis. The rich and powerful have pulled out all the stops and saved themselves at the expense of the many. Despite overwhelming proof of unabashed mortgage fraud, rating agency bribery, document forgery on a grand scale and insider trading based on non-public information, the brazen audacity of Wall Street oligarchs is reminiscent of the late stages of the Roman Empire.   

Is there any truth in the allegations that informed circles made profits in the financial markets in connection to the attacks of September 11, 2001? My friend, the German financial journalist Lars Schall, examines this still unresolved and unanswered mystery.

• Brazil declares new ‘currency war’ (FT)
• Postal Cuts Are Dead Letter in Congress (WSJ)
• China state banks to boost selected property loans (Reuters)
• ECB Says Overnight Deposits Surge to Record (Bloomberg)
• Van Rompuy confirmed for 2nd term as EU Council president (Reuters) - you mean dictator
• BOJ Shirakawa: Japan consumer prices to gradually rise (Reuters)
• IMF Says Threat of Sharp Global Slowdown Eased (Reuters)
• Eurozone delays half of Greece’s funds (FT)
• BOJ Openings Can Shape Monetary Policy (Bloomberg)

Here's the video of my original interview, recorded on Monday, February 27, 2012, about gold and silver price manipulation on the Keiser Report with Max Keiser.

• U.S. Postal Service to Cut 35,000 Jobs as Plants Are Shut (BBG) -Expect one whopper of a seasonal adjustment to compensate
• European Banks May Tap ECB for $629 Billion Cash (Bloomberg) - EURUSD surging as all ECB easing now priced in; Fed is next
• Madrid presses EU to ease deficit targets (FT)
• Greek Parliament Approves Debt Write-Down (WSJ)
• Mentor of Central Bankers Fischer Rues Complacency as Economy Accelerates (Bloomberg)
• Draghi Takes Tough Line on Austerity (WSJ)
• European Banks Hit by Losses (WSJ)
• Moody's: won't take ratings action on Japan on Friday (Reuters)
• Athens told to change spending and taxes (FT)

One thing is for certain, the litigation is beginning to shift from minor players to major players at the core of the Financial Crisis. Investors take note, this is a major shift and needs to be monitored as it will have major implications for market dynamics going forward.