This page has been archived and commenting is disabled.

Paging The Globe And Mail

Tyler Durden's picture


Globe and Mail: "Canadian Banks Are Fine"

...or not


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 09/22/2011 - 12:13 | 1697408 Fips_OnTheSpot
Fips_OnTheSpot's picture

Sheeps only read headlines - not charts.



Thu, 09/22/2011 - 12:25 | 1697475 Edward Fiatski
Edward Fiatski's picture

Sheep & HFT AIs. :) Which shows the level of IQ of the former not in good light!

Thu, 09/22/2011 - 12:35 | 1697546 TruthInSunshine
TruthInSunshine's picture

Globe & Mail =  Government Proxy Disinformation Propaganda Outlet, aka just another Main Stream Media Rag

Thu, 09/22/2011 - 13:18 | 1697752 spiral_eyes
spiral_eyes's picture


um... here's why, bitchez. 

Thu, 09/22/2011 - 12:25 | 1697479 B-rock
B-rock's picture

STBANKX is the Canadian composit bank index -- for those who don't know...  (Zerohedge is tough for beginners).

Thu, 09/22/2011 - 12:47 | 1697601 Kayman
Kayman's picture

Updated: STANKX. New symbol.

Thu, 09/22/2011 - 13:11 | 1697721 svc101
svc101's picture

Why do these never show up in Think or Swim (TDAmeritrade)?

Thu, 09/22/2011 - 14:58 | 1698225 NoTTD
NoTTD's picture

And it does.  Stanks, I mean.

Thu, 09/22/2011 - 12:14 | 1697412 Ryman1075
Ryman1075's picture

No liquidity problems here...Eh?

"our banks are fine don'tcha know...?"


Thu, 09/22/2011 - 12:25 | 1697473 tekhneek
tekhneek's picture

You're thinking Minnesota/Michigan.

This is Canada.

Ahr they're failin'ay?

Thu, 09/22/2011 - 12:36 | 1697548 redpill
redpill's picture

Just what the heck is this all aboooot?


Thu, 09/22/2011 - 12:41 | 1697579 Motorhead
Motorhead's picture

Man, where have you beeeen?  (LOL)

Thu, 09/22/2011 - 12:55 | 1697621 TruthInSunshine
TruthInSunshine's picture

Many Candians still pledge some sort of loyalty to royalty in England, and it's aboooooot time to end that farce and charade that is nothing more than a sick joke, ehhh?

As it is, England even having a queen and royal family that is worshipped by half the population out of some stupid historical notion of bloodline is a sick joke and antithetical to all things democratic.

That old hag who is the queen of England should be scraping by like the overwhelming majority of blue hairs her age, in a dingy flat, rather than being the largest land owner in the nationsimply  because of who she was born as.

Drop ze puck.

Thu, 09/22/2011 - 13:16 | 1697741 Canaduh
Canaduh's picture

Pffft who cares, it's almost hockey season, eh?


Thu, 09/22/2011 - 14:37 | 1698116 Ellesmere
Ellesmere's picture

You're a few decades out of date friend.

Thu, 09/22/2011 - 14:39 | 1698127 treemagnet
treemagnet's picture

She does have a nice profile in relief though....

Thu, 09/22/2011 - 14:48 | 1698178 Catch-22
Catch-22's picture

  Aug 15, 2011 – 9:27 PM ET

"After 43 years, the Canadian Forces are regaining their “royal” moniker.
Canada’s navy and air force are to be restored to their pre-1968 titles of Royal Canadian Navy and Royal Canadian Air Force."

While everyone is running away from the monarchy... these guys are going back. WTF?

Thu, 09/22/2011 - 16:25 | 1698711 Think for yourself
Think for yourself's picture

Your question is very ironic considering your avatar. The fleur-de-lys has been used to represent the power of ruling royal bloodlines since sumerian times.
Obviously the black nobility is fighting to stay relevant, trying to pull the bedsheets over on their side and away from all of the other illuminist factions.
Imho you should invert your avatar, show it upside down. 

Fri, 09/23/2011 - 10:50 | 1700395 Catch-22
Catch-22's picture

Actually, the symbol was adopted by ruling royals throughout history because of its powerful symbolism derived from its original meaning.

According to French historian Georges Duby, the three leaves represent the medieval social classes: those who worked, those who fought and those who prayed.[5]

"The use for ornamental or symbolic purposes of the stylised flower usually called fleur de lis is common to all eras and all civilizations. It is an essentially graphic theme found on Mesopotamian cylindersEgyptian bas-reliefsMycenean pottery, Sassanid textiles, Gaulish and Mameluk coins, Indonesian clothes, Japanese emblems, and Dogon totems (...) it is a very stylized figure that has been used as an ornament or an emblem by almost all civilizations of the old and new worlds".[12]  wikipedia

Thu, 09/22/2011 - 16:16 | 1698669 Think for yourself
Think for yourself's picture

Sorry to bust your bubble, but I'm from quebec and, like most youths from these parts, I used to spit on the queen from the healthy age of 5-6 years old and started to really understand why by 12-14. Don't put everybody in one basket.

Thu, 09/22/2011 - 12:47 | 1697596 Don Birnam
Don Birnam's picture

"Oh, yah ? Betcha' a Loonie the Glo-o-o-be has it reet."

Thu, 09/22/2011 - 12:14 | 1697413 PicassoInActions
PicassoInActions's picture

BDM will save us, no worry, few more tousands of the dow and we may start to picking up


Thu, 09/22/2011 - 12:14 | 1697414 LongBallsShortBrains
LongBallsShortBrains's picture

He who laughs last.


Thu, 09/22/2011 - 12:27 | 1697496 InconvenientCou...
InconvenientCounterParty's picture

He whom holds the scissors laughs best.

Thu, 09/22/2011 - 12:37 | 1697556 mt paul
mt paul's picture

he who runs with scissors 

laughs best ..


until he doesn't...

Thu, 09/22/2011 - 13:10 | 1697713 CrimsonAvenger
CrimsonAvenger's picture

...and runs the fastest.

Thu, 09/22/2011 - 12:38 | 1697566 Taint Boil
Taint Boil's picture

OMG ............ ya got the short on brains thing correct.

Thu, 09/22/2011 - 12:15 | 1697416 lolmao500
lolmao500's picture

Our banks are screwed, EH?

Thu, 09/22/2011 - 12:30 | 1697511 SheepDog-One
SheepDog-One's picture

Thats aboot it!

Thu, 09/22/2011 - 13:27 | 1697789 Never_Put_Down
Never_Put_Down's picture

CHMC and the Government (taxpayers) have our banks are very well protected against the impending real estate crash courtesy of the last financial crash. Canadians will soon wake up...probably as early as the date of of the next 401K (RRSP) statement period.

But we got lotsa oil, gas, AG and water bitchez

Thu, 09/22/2011 - 17:00 | 1698871 GregGH
GregGH's picture

Great post Catch 22    "... and NO gold !       "


I bookmarked this sucker ... as a Cdn been trying to  get Cdn's to ask ...why ... and when ....  WTF ....


Thu, 09/22/2011 - 18:58 | 1699217 ZeroBoBo
ZeroBoBo's picture

Who gives a damn abooot gold when you got oil , eh?

Thu, 09/22/2011 - 12:15 | 1697418 Prescient_Point
Prescient_Point's picture

Scotia Bank's punch line "You are richer than you think". 

Thu, 09/22/2011 - 12:17 | 1697427 President Palin
President Palin's picture

They should say, "ScotiaBank steals more than you think".

Thu, 09/22/2011 - 12:55 | 1697640 Kayman
Kayman's picture

Updated: You're Poorer Than You Think !

Thu, 09/22/2011 - 12:16 | 1697422 RSloane
RSloane's picture


Thu, 09/22/2011 - 12:16 | 1697424 bania
bania's picture

tyler, you fringe blogger!

Thu, 09/22/2011 - 12:18 | 1697431 DaveyJones
DaveyJones's picture

fine or fined? Oh wait that's ours

Thu, 09/22/2011 - 12:18 | 1697433 BrocilyBeef
BrocilyBeef's picture

It's a donkey stock.

Thu, 09/22/2011 - 12:20 | 1697446 youngman
youngman's picture

I will say some of this Financial downside is the funds that specialsize in only financials...they haveto sell all of them...Vanguard comes to mind..but there are some good banks....I would assume in the gang of theves...I do not know them...I hate banks...but there are some cheap cherries here I think

Thu, 09/22/2011 - 12:49 | 1697611 Cliff Claven Cheers
Cliff Claven Cheers's picture

BAC might throw out 10 to 1 reverse split and bump that stock to $50.00.

That kind of cherry?

Thu, 09/22/2011 - 12:21 | 1697447 wang (not verified)
wang's picture

sadly the chart for the banks reflects the chart for gold

best to throw shit when the fan is Not set on reverse

Thu, 09/22/2011 - 12:26 | 1697484 SheepDog-One
SheepDog-One's picture

I always thought $1,900 was a bit lofty for gold, I know everyone calls for $20,000/ounce gold but they dont realize what the world would look like if Gold was $20,000 frickin dollars. Oil also at $500-$1,000 bucks a barrel? Makes no sense. Well we havent printed any LESS, so $1,500 or so seems reasonable to me for now.

Thu, 09/22/2011 - 12:30 | 1697509 Spitzer
Spitzer's picture

This is a Canada thread. Gold is green today priced in CAD

There is no limit to how much wealth gold is capable of consolidating. Gold has been outrunning all commodities including oil.

Thu, 09/22/2011 - 12:31 | 1697519 tekhneek
tekhneek's picture

Hey! Quit with that sound logic!

Thu, 09/22/2011 - 12:32 | 1697524 SheepDog-One
SheepDog-One's picture

Yes thanks Im aware of that, I know gold is up, but I wouldnt count on gold running anywhere much higher now.

Thu, 09/22/2011 - 12:34 | 1697539 wang (not verified)
wang's picture

xgd the miners are green LOL

Thu, 09/22/2011 - 12:27 | 1697490 Tyler Durden
Tyler Durden's picture

Actually, and very sadly, it means those Zero Hedge readers who only try to get in an out of context soundbite, never read Zero Hedge articles. From September 16:

"It seems that Bernanke, if he wants the market to rally, is going to have to come out with a surprise next Wednesday." In other words, stocks are now pricing in not just OT 2, and a reduction in the IOER, but also an LSAP of a few hundred billion. There is, however, naturally a flipside, to Bernanke's priced in announcement: "If he doesn't, then expect a big selloff." In everything, mind you, stocks, bonds, and certainly precious metals. And, of course, vice versa."

Thu, 09/22/2011 - 12:30 | 1697512 wang (not verified)
wang's picture

which is precisely the point the downdraft (cliff dive) is not peculiar to canuck banks etc

Thu, 09/22/2011 - 12:36 | 1697553 Tyler Durden
Tyler Durden's picture

Happy to post a longer-term chart too...

Thu, 09/22/2011 - 13:24 | 1697692 wang (not verified)
wang's picture

no need - Gold slaughters any and all takers, in the mid and longer term but that was not what was posted


Oh and the Sept 16 Rosie article, which I read that at the time and was puzzled by how he arrived at his conclusion. Basically he argued that markets would tank if OT+ was not delivered by Bernank but explicitly said that OT (not OT+) was already baked in.

I think Art captured the essence of what is going on in a post you put up earlier today, which differs from Rosie's thesis. As Art says from time to time referring to himself "even blind squirrels occasionally find a chestnut" but I think in this circumstance Rosie is the furry little creature.


Thu, 09/22/2011 - 12:32 | 1697527 Spitzer
Spitzer's picture

Metals didn't go down after the US downgrade.

Thu, 09/22/2011 - 12:41 | 1697569 TomJoad
TomJoad's picture

I read that article with interest and have been hoping to see a drop in metals. I also thought the Globe and Mail "Doth protest too much" about an unimportant anonymous blogger. ;-) I moved all my 401K out of stocks and into a MM holding pattern back in May and am waiting for a real buying opportunity in metals. I will happily take the withdrawl hit since I have been unemployed for 7 months and won't be paying crap for taxes this year. 


Jump! You Fuckers!




Thu, 09/22/2011 - 12:21 | 1697452 junkyardjack
junkyardjack's picture

Load up on treasuries, its the only safe haven in town. For everything else, just wait for the cheap stocks and commodities to get cheaper.

Thu, 09/22/2011 - 12:25 | 1697478 Stumpy
Stumpy's picture

As a safe haven, the USD feels so much better than the CAD today.

Thu, 09/22/2011 - 12:39 | 1697567 strannick
strannick's picture

Treasuries and safe haven.Thats rich.

Thu, 09/22/2011 - 14:05 | 1697940 BigSkyBear
BigSkyBear's picture

S&P at 444ish cheap enough?



Thu, 09/22/2011 - 12:25 | 1697459 freeasabee1
freeasabee1's picture

cool, now I can start laughing at all the people I talk to here in Canada who tell me that our banks are different, nevermind my sis who just bought 2 bedroom for 500k and though she got a deal, bring it on,

Thu, 09/22/2011 - 12:34 | 1697541 lolmao500
lolmao500's picture

Yep. Doesn't matter that I told my family and friends in 2006 that a crash was coming... and it happened... and bought gold at 600$ and silver at 12$... they still won't believe that the Canadian banks are a joke. Even when I show them the data.

Thu, 09/22/2011 - 12:24 | 1697460 Stumpy
Stumpy's picture

Offtopic: bid under SVM pretty good today. Almost green.

Thu, 09/22/2011 - 12:34 | 1697535 Spitzer
Spitzer's picture

I seen that too.... I wonder if there is a development in the case.

Thu, 09/22/2011 - 13:32 | 1697826 Whalley World
Whalley World's picture

AGM tomorrow, CEO ready to do battle to the death.  This could be better than Jones vs Rampage.

Thu, 09/22/2011 - 12:24 | 1697462 SheepDog-One
SheepDog-One's picture

Aw dang....oh well RELEASE THE KRAKEN!

Thu, 09/22/2011 - 13:20 | 1697763 FASB 666
FASB 666's picture

RTFK (Release The F'ing Kraken)

Thu, 09/22/2011 - 12:23 | 1697464 williambanzai7
williambanzai7's picture

They are propagandistas, what do you expect?

Thu, 09/22/2011 - 12:25 | 1697477 no2foreclosures
no2foreclosures's picture

They are GLOBALists.

Thu, 09/22/2011 - 12:24 | 1697466 hedgeless_horseman
hedgeless_horseman's picture

Where is Patrick Roy when they need him?

Thu, 09/22/2011 - 12:27 | 1697494 Stumpy
Stumpy's picture

Man, don't forget that Price is right!

Thu, 09/22/2011 - 17:33 | 1698958 nope-1004
nope-1004's picture

Patrick Roy?  Isn't he a wife beater?  And didn't his kid (also a goalie) give the finger to all the fans at a game while fighting on the ice?

Nice family.

Thu, 09/22/2011 - 12:27 | 1697482 firstdivision
firstdivision's picture

Tyler, the decline from March to current is laughable as well.  -17% 0.0

Thu, 09/22/2011 - 12:27 | 1697487 shazbotz
shazbotz's picture


Thu, 09/22/2011 - 12:28 | 1697500 B-rock
B-rock's picture

No kidding!

Thu, 09/22/2011 - 12:30 | 1697506 reader2010
reader2010's picture

True lies.

Thu, 09/22/2011 - 12:30 | 1697513 tekhneek
tekhneek's picture

Some men just want to watch the world burn...

Thu, 09/22/2011 - 12:33 | 1697528 fasTTcar
fasTTcar's picture

Got my popcorn ready.

Gold, silver and preps waiting...

Lets get this show on the road.

Thu, 09/22/2011 - 12:32 | 1697515 GCT
GCT's picture

I was laughing at Globe and Mail's responses to your two articles.  Pointing out that a banks may be in trouble or the contagion may hit them was prudent.  However Canada went on the attack and it was laughable.  Opening peoples eyes is a good thing.  People spouting party lines and how rosy the picture is basically screwing the people. 

People are getting screwed left and right and I feel for them,  I know I was one of them, I did not know squat about finances, but now coming here I have learned.  Not listening and being apart of a herd and then getting screwed you deserve what you get. 

Good call and keep up the good work on this site.

Thu, 09/22/2011 - 12:31 | 1697522 buzzsaw99
Thu, 09/22/2011 - 12:32 | 1697526 The Axe
The Axe's picture

Canadian banks smell worse then a Terence and Philips   FART!!!!!

Thu, 09/22/2011 - 13:08 | 1697703 Nothing To See Here
Nothing To See Here's picture

Do you know what did the Spanish priest told the Ukrainian gynecologist?

Thu, 09/22/2011 - 12:34 | 1697536 Bill Lumbergh
Bill Lumbergh's picture

Since the gold:silver ratio is breaking upward out of a consolidation "risk-off" is likely here to stay for a while.

Thu, 09/22/2011 - 12:34 | 1697538 Coldcall
Coldcall's picture

Actually I'd like to see a breakdown of Canadian bank exposure to various euro nations, but in general unless there is a sytemic banking collapse i think Canadian banks are better than most by a long shot.


Thu, 09/22/2011 - 12:40 | 1697571 buzzsaw99
Thu, 09/22/2011 - 13:33 | 1697831 Eally Ucked
Eally Ucked's picture

Why do you think so?

Thu, 09/22/2011 - 19:07 | 1699233 ZeroBoBo
ZeroBoBo's picture

European exposure is generally minimal, except to UK banks, which are themselves very thinly exposed to euro sovereigns...I have this data somewhere, I'll try and find it and post it asap

The TCE/RWA ratio for canadian banks is really high vs. all banks in the world because in case of a housing bust, it is the CMHC (Canada Moral Hazard Corporation) that is on the hook because they basically insure all mortgages with less than 20 down and decent credit quality/history, ergo, taxpayers are screwed if it occurs.

Oh yeah, DBRS...the laughing stock of all Cdn bond managers. Seriously, their research is a joke.

Thu, 09/22/2011 - 12:34 | 1697540 TheArmageddonTrader
TheArmageddonTrader's picture

You're looking at the wrong numbers again. You need to look at capital vs risk-adjusted assets. The market's looking at the wrong numbers, too. Time for a short ban.

Thu, 09/22/2011 - 12:36 | 1697549 ReactionToClose...
ReactionToClosedMinds's picture

one cannot ignore results & outcomes





not so sure about GW blog .. but then I'm obviously slow .. maybe we'll get there too

Aden Sisters, Sy Harding and Marc Faber (Presume DGartman as well) +

Never ever forget ... watch what GS does (if you can discern) not what they say

Thu, 09/22/2011 - 12:45 | 1697592 JohnG
JohnG's picture

Gartman is a fucking idiot.

Thu, 09/22/2011 - 12:52 | 1697624 ReactionToClose...
ReactionToClosedMinds's picture

how so? honest ? as do not use DG .. always felt a little too 'trade' happy & CNBC Fast Trade appearances turned me off ..... I referenced him as a throw away on guess .... my mistake maybe

Thu, 09/22/2011 - 13:02 | 1697675 JohnG
JohnG's picture

CNBC hauls his ass on for an "oponion" on gold almost every day...keeps pronouncing "Gold is going down! Gold is going DOWN".....   It isn't, hasn't and won't.


Every day I weight my gold, and every day it's the same.  Only changes when I add to it.

There is a vast difference between the paper price and physica value of gold.  He fails to recognize that it is the only money.  Silver to a lesser extent is as well, but gold is where the VALUE safety is.

His constant bashing on gold really get's to me.  Don't let these idiots (for the most part, no all of them) lead you wrong.  Sure the PRICE needed to correct, the VALUE hasn't changed.


I only watch the blowhorn for Kayla anyway!! ;)


Oh well, I think I'll go weigh my precious again!  :)

Thu, 09/22/2011 - 13:33 | 1697830 ReactionToClose...
ReactionToClosedMinds's picture

There is a vast difference between the paper price and physica value of gold.  He fails to recognize that it is the only money.  Silver to a lesser extent is as well, but gold is where the VALUE safety is.


Sure the PRICE needed to correct, the VALUE hasn't changed.


for whatever it is worth agree with your premise copied above .. that is the 'driver'.   As I suggested ... DG may not realize he is gradually falling into the 'trading' trap ....

Thu, 09/22/2011 - 13:55 | 1697904 oddjob
oddjob's picture

DG is without a doubt the most vile deceitul shill out there. A knob gobbler like him can reduce his gold holdings by half everyday for the rest of his life, which means shat on a stick.

Thu, 09/22/2011 - 12:38 | 1697559 SheepDog-One
SheepDog-One's picture

People still out there trying to find green stocks to top tick, dang.

Thu, 09/22/2011 - 12:44 | 1697587 GoinFawr
GoinFawr's picture

"Grope and Flail"

Fixed that for ya.

Thu, 09/22/2011 - 19:40 | 1699319 Diogenes
Diogenes's picture

Mope and Wail, Mop and Pail, Gloating Jail

Sun, 09/25/2011 - 13:02 | 1707726 GoinFawr
GoinFawr's picture

Gripe and Fail

Thu, 09/22/2011 - 12:47 | 1697602 digalert
digalert's picture

It's not nice to fool the ZeroHedge.

Thu, 09/22/2011 - 13:44 | 1697875 Arkadaba
Arkadaba's picture

Maybe they learnt their lesson. One story today is about ZH's Morgan Stanley post:


Thu, 09/22/2011 - 12:49 | 1697610 Hearst
Hearst's picture

Gold and Silver are again still up for the year in spite of all these cocksuckers manipulating the market.  What else is there to say?

Thu, 09/22/2011 - 12:58 | 1697650 data
data's picture

Lots of TSX sub indexes are getting pounded.

The composite is down 3.29%  Energy is down 4.80%. Metals and mining is down 6.39%. TSX global gold is down 3.47%.

I would be far more worried if I saw STBANKX:IND  dropping in isolation.

And yes I am mostly invested in gold and gold I am not a shill for the banking industry.

Thu, 09/22/2011 - 12:59 | 1697651 data
data's picture

sorry double post

Thu, 09/22/2011 - 13:14 | 1697731 Canuckistan Al
Canuckistan Al's picture

Big old Canadian Banks have been the main staple food for most Canadians for a very long time, and for the very most part, its been a very comfortable ride.

Like everything else all good things end.............

Let the free fall begin.

Welcome to the party Canada (we've missed you at the puch bowl).

Thu, 09/22/2011 - 13:18 | 1697751 robertocarlos
robertocarlos's picture

I told the Globe crowd to sell their house and they told me that was easy to say from my Mom's basement. I have never owned a house and I do live in my Mom's basement. Some of those globe posters have good memories or they are stalkers. They said they can't sell because then what, rent? They don't want to hear doom and gloom.

Thu, 09/22/2011 - 13:44 | 1697876 data
data's picture

It's a little more complex than you are admitting here.

Some cities in Canada have very low vacancy rates:

"The results of CMHC’s spring survey reveal that, in April 2011, the major centres with the lowest vacancy rates were Winnipeg and Regina (0.7 per cent), Québec (1.0 per cent), Toronto (1.6 per cent) and Kingston (1.7 per cent). At the provincial level, Manitoba had the lowest vacancy rate at 0.7 per cent. All other provinces had rates above 2.0 per cent."

.7 percent across Manitoba...that's barely enough to facilitate regular eand of lease moving.

Sell your house and then rent in Winnipeg? The rentals aren't there.

"Need an apartment? Good luck"



Thu, 09/22/2011 - 15:43 | 1698455 moonstears
moonstears's picture

roberto...funny "chit", man!

Thu, 09/22/2011 - 13:26 | 1697795 monopoly
monopoly's picture

Soon we will be able to refinance our mortgage's for 2%.

Thu, 09/22/2011 - 13:44 | 1697873 PulauHantu29
PulauHantu29's picture

The Canadian RE Bubble Burst will change the definition of "fine" very shortly.

Ozland and the Loonies are 90% dependent on the commodity Boom. Kill that and the "pin" meets the RE Bubble very fast.

Thu, 09/22/2011 - 13:50 | 1697890 OutLookingIn
OutLookingIn's picture

The world will soon wake up to the reality that everyone is broke and can collect nothing from the bankrupt, who are owed unlimited amounts by the insolvent, who are attempting to make late payments on a bank holiday in the wrong country, with an unacceptable currency, against defaulted collateral, of which nobody is sure who holds title.

A big difference between what North America thinks it needs and what it's going to get!

Thu, 09/22/2011 - 14:04 | 1697938 NotApplicable
NotApplicable's picture

There was a typo. They meant to say, "Canadian Banks Are FINE*."

*Fully Inverted, Negative Equity.

Thu, 09/22/2011 - 14:06 | 1697947 JohnFrodo
JohnFrodo's picture

Think of the implications, the bible of canadian masters of the universe tells us the sun revolves around the earth. A irreverant  website proves happy talk is not funny.

Thu, 09/22/2011 - 14:35 | 1698105 dogandponyshow
dogandponyshow's picture

Everything is a back door bailout for BOFA.  Reminds me of the old joke (new players) which the Canuck (and other) banks will get a pop from:

A pedophile (BofA) walks into the woods with a young boy (Cwide).  After a few minutes it begins to get dark and eerie.  The young boy looks up at the pedophile and says..."I'm scared"...The pedophile looks down at the young boy and replies..."You're scared?!  I gotta walk outta here by myself."                                                                   NUCLEAR OPTION Bitchez.

Thu, 09/22/2011 - 15:02 | 1698252 DrFever
DrFever's picture

Sort of like the folks that bought silver at $48.00 and gold at $1850+ .... like the first response said ... sheep will read anything.  Just like the sheep that somehow believe that Tyler's little rant with the Globe and Mail is significant.  Canadian banks are fine ... do a little research into the matter before spouting off.

The lending standards in Canada are tighter than you people might think and their international exposure is minescule to the European situation.

As for real estate bubble talkers in Canada, I urge you to look at the stats ... there is a lack of supply unlike in the United States where there is OVER supply. Less homes on the market = higher prices.

I expect the readership to do a little thinking before believing everything printed on this site.

Thu, 09/22/2011 - 15:43 | 1698447 Catch-22
Catch-22's picture

Canada (and Australia btw) benefited from monster stimulus in US and China. Now that the well is drying up, like the dude said, you're joining the party wether you like it or not. 

I always hear how clever (righteous) Canadians avoided the shit storm. Well now that your domino is next, lets see how you do... 

Thu, 09/22/2011 - 19:32 | 1699281 ZeroBoBo
ZeroBoBo's picture

Curious to hear your thoughts as to how to engineer a direct short of canadian housing...

The banks are not going bust, they have a huge capital base and the RE assets are covered by the CMHC. The CMHC is covered by the federal government, which has 1,000x the wiggling room of any other G8 nation in terms of debt/GDP.

• Wanna buy some CDS on them banks, sovereigns or the CMHC? Can't, none trading.
• Want to short the CMHC like shorting Fannie? Can't, it's private.
• Want to short homebuilder_01 like Pulte? Can't, there is none to short cause they are all private.

There are RONA (a home improvement retailer) and CanWel (a distributor of 2x4s), but both have already fallen quite hard on the big slowdown in housing starts.

The only interesting short candidate I found here is Genworth Canada (TSE:MIC), a mortgage-insurer and a direct play on the over-extended canadian households, who are gunning for the biggest house, coupled with the smallest downpayment...

That puppy is now falling hard, and fast. Came down from $28 and dipped below $20 recently, but there is plenty of room left down below. Technicals are horrible and I don't really trust their "fundamentals".

Do NOT follow this link or you will be banned from the site!