Fitch Downgrades UBS, Many Others, Puts Morgan Stanley, Bank of America, Goldman, BNP, Deutsche Bank, SocGen And Others On Watch Negative

Tyler Durden's picture

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Threeggg's picture

That has to be good for a 300 point gain tomorrow !

jdelano's picture

shorts have some deep pocket friends on their side all of a sudden.  Ah brahim, don't fight the trading range.  

Divided States of America's picture

Its perfectly timed after market closes at 4pm like all those other ignored items like Sovereign downgrades during earnings season with blowouts like GOOG's numbers being the main attraction.

ZerOhead's picture

Hey...wasn't Fitch one of those outfits rating subprime as triple "A"?

Here... let me help simplify their analysis...

Nevertheless, Fitch considers the potential for these negative rating actions to be warranted by the structural challenges these firms' business models face. These challenges stem from intensified regulation (possible implementation of minor regulation), heightened funding costs (people rushing to withdraw their cash), intense competition to remain a top tier player (too many sharks not enough fish), and changing risks in an industry of constant and rapid innovation and interconnectedness (high frequency and zero sum robotrading) with developments in the rest of the industry and the global economy (forthcoming 'industry' and global economic collapse).

Hope that helps...

max2205's picture

And CitiBank and JP Morgan are ok. OMG

FITCH is French right, they are downgrading everyone before France loses AAA so then they don't look as bad


LookingForTruth's picture

Yep, best looking horse in the glue factory....

Archduke's picture

@max2205: FITCH is French right, they are downgrading everyone before France loses AAA so then they don;t look as bad

uhm.  SocGen and BNP Paribas are by far the two most massive French banks in market cap and investment banking weight...

Strider52's picture

This just in from Reuters:

UBS, Moody's, S&P, MS, BAC, Goldman, BNP, Deutsche Bank, SocGen and others just downgraded Fitch to C--.

junkyardjack's picture

Only a negative watch and here I thought they were bankrupt 

Republicae's picture

LOL....All fractional reserve banks are just a bank run away from bankruptcy!

Divided States of America's picture

Actually this may help widen credit spreads for all these banks in time for them to report blowout earnings next quarter like JPM did today....damn theres a motive in everything nowadays.

macholatte's picture

Downgrades = Bullish

War = Bullish

Terrorist Attacks = Bullish

3T Euro Print Debt Bailout = Bullish


Why fight it?

jdelano's picture

bullostrich:  a person who dumps their savings in the market and buries their head in the sand, refusing to acknowledge that each successive cycle of crash and counter-trend rally is steadily eroding away at their wealth...


When your bull market finally comes, bud, will you have enough cash on hand to dollar cost average the 40% decline you took on the way down.  WTFU.  

kito's picture

No jdelano. Bullostritch is right. The bull market is here. The downgrades are completely irrelevant. Its all bullish because the banks are mere subsidiaries of sovereigns. The majors will all stay alive thanks to their host countries. You can't fight this. You're the one who has his head in the sand. No crisis will come of this because moral hazard has wiped sanity from the earthi

Republicae's picture

Yes, the illusion of massive "quantitative easing", certain to create a bull market in just about anything...that is until the "printing" is halted by the central bankers...then boom becomes bust and the scam is once again revealed for what it really is...just another illusion with no productive capital creation.

unununium's picture

> until the "printing" is halted by the central bankers

No, until the "printed" won't buy anything anymore.

It goes on longer than anybody thought it could becuase of huge productivity and efficiency increases brought on by the Internet.

The money printers are seeing to it that they get all the benefits from those advances, as they have from every other positive innovation since banks emerged from the primordial slime.

Stubborn idle capacity also contributes.  Inflation is hard to produce these days.


Republicae's picture

Actually, inflation is doing pretty well, except if you are reading the offical government CPI numbers, then it looks so tame and sedate, those numbers sure work well for those in power. 

The fact of the matter is that if you look at the money supply, at least what is being reported by the FED, it is substantial...price inflation is lagging, as it always does, behind monetary inflation...hold on to your dollars and see their value vaporize into air.

jdelano's picture

I'm up 35% for year on puts and gold.... How's your book doing. Hahahahaa--morons.

calltoaccount's picture

ehhh, did you mean sovereigns are mere subsidiaries of banks and bankstas? 

Pure Evil's picture

USS Economic Recovery




Sir, we're besieged on all sides by torpedoes of economic depression, bank insolvency, 23% unemployment, housing foreclosures, real estate market in turmoil, European economic market about impolde, trillion dollar deficit spending, no banks lending, Main Street loosing entrepenuers, Obamavilles opening nationwide, State and local governments insolvent, some declaring bankruptcy. What are we to do Captain?


Damn those torpedoes, bull market ahead!!

Dow 36,000 bitchez!!!

Ruffcut's picture

Does fitch bitch do this for some sort of validity??

THey purposely ignored their core business of assessing asset value.

Now they come out and downgrade the obvious and expect some respect.

My respect for these asshats is nil to negative. They deserve to get thrown down and shit in their collective mouths. I like the cramer entertainment value more so.

zebra's picture

don't be modest. make it 500.

vast-dom's picture

At this stage of game if the headlines ran STOCK MARKET CRASH that'd be good for SP 2k run!


The sociopathic idiots need to literally blow the fucking world up to put a dent in this motherfucker!

disabledvet's picture

actually i agree with that.

Hansel's picture

Fitch After Hours Tape Bomb FTW!  Boooooooosssssshhhhhhhhhh...............

AldousHuxley's picture

downgrade below AAA rating should forbid them from acting as primary dealers. Reason? not credit worthy. Go borrow from responsible banks.

LongSoupLine's picture

Maybe they're "no doc" Primary dealers.  What could happen right?

knukles's picture

No birth certificate, transcripts, associatons, friends, travel disclosure.
Sounds acceptable to me.

Cliff Claven Cheers's picture

A Kenyan, a Communist and a Muslim walk into a bar.  The bartender says what can I get you Mr. President.

disabledvet's picture

how 'bout trading at a penny a share like Lehman? THEY'RE SHAMELESS I TELL YOU! I mean "DO YOU EVEN HAVE A PENNY IN YOUR POCKET?" (Answer: "No...I have a MILLION pennies in my pocket!")

PicassoInActions's picture

bulish for something, tough not sure for what.

Short Euro at least till weekend.


PicassoInActions's picture

why all this gaygrades, downgrades are after hours. and upgrades are during the market hours.

That's is strait manipulation. We should be down today good few hundred points

Threeggg's picture

They knew Google was reporting afterhours today. If you have bad news release it when things are good. (OXY) 

fuu's picture

This deserved the Donkey Kong pic.

knukles's picture

B B B B B Bu But But But, Not Goldman?!?!?!
My Lord, they're the savyiest, smartest guys in the room, if anything's being done super, dooper, exceedingl,y awesomely, great, well and near God's Perfection as They Alone Have Been Anointed to Do God's Work, how in His Name can they be at risk?
They're only a Counter-Party and have laid off all their risks onto other unwise, unassuming, silly, slow, dolt, like slugs of dubious at best Counter-Parties.
See, Goldman has laid off their Counter-Party risks on all the other fellas on the list.
So that means that they'll go broke and not Goldman, and so when Goldman goes to collect, uh, a-hem, uh, it ah, well, doesn't it?  I mean?  Like uh....
Oh fuck.

Oh regional Indian's picture

They are on the list. Goldman Sachs Group.


knukles's picture

That's what I mean!  They're Whiter than Drifting Snow, Cleansed of All Risk via the Other Guys.
They Should Be Upgraded to AAAAAAAAAAAAAAAAyeah.

They should be exempt from this folly, for they Do God's Work.

Where the fuck is MDB?
Gotta hear his tripe on this blessed event.

Oh, the irony of it all.  Fuck over the Counter-Parties so they loose their ratings...  There is Karma, Payback, a Group Serious Corn-Holeing for All Concerned.

Ruffcut's picture

I came up with the ruffcut bank rating system.

There are several  classes


Shitbag-- with further negative watch.

DoubleDoubleupthepoopshoot- for the bank that actually is being audited.

CharlesPonzi You B my hero Plus plus - "we never looked too hard at your operation, but appreciate your subscription contributions."

If I had this type of business, I would be embarrassed to show my face in public. amerika lives and strives to be one country under greed.

knukles's picture

... under greed, invincible with lawlessness and injustice for those fucking wired into the Leviathian.

Black Forest's picture

On Thursday evening? Why not Friday?

Western's picture

That's when the really ugly news will come.

UP Forester's picture

You mean all the doubleplusgoodthinkful news?

junkyardjack's picture

This is unamerican

prains's picture

This is unamerican


But it is Oligarkian

IrritableBowels's picture

I don't know what that means anymore.

Dick Darlington's picture

Noone cares, Google was BETTER THAN EXPECTED! Yeah, can u believe it, BETTER THAN EXPECTED!!! Banks get downgraded en masse, ditto for sovereigns but who cares when Google one quarter result WAS BETTER THAN EXPECTED!!!

s2man's picture

Hey Dick. I'll trade you 52 of my avatars for one of yours.

tekhneek's picture

Don't do it Dick.

Think of the premiums!!

knukles's picture

Take his pre-65's and give him a inventory reciept before you loan it out.