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RAB Capital, the hedge fund that lost a good deal of capital in its quest to capitalize on the Northern Rock situation now finds itself losing investor money. In fact, it is looking to halt redemptions from its funds for three years. This is a real sign of distress at the fund. [...]

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Lehman Brothers released their earnings report this morning at 7:30 AM. Lehman saw a Q3 loss of $5.92 a share, or $3.9 billion. There was a lot of speculation in the markets yesterday about Lehman’s liquidity after talks for an investment by KDB (Korean Development Bank) stalled and Lehman shares lost 45%. The [...]

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Yesterday it was a miserable day in the market with the Dow down 280 points in America. Lehman was the watch word of the day as worries about its solvency caused the stock to fall 45%. WaMu didn’t do much better. It was down nearly 20%. Overall, the financial services took [...]

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Today’s punishing session on Wall Street just ended down over 280 points. The glee of yesterday is well and truly over. Lehman Brothers in particular, was punished today as news of its stalled talks with the Korean Development Bank reached the market. Lehman was down 45% today on solvency concerns. It [...]

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You would think that after the biggest bailout in financial history, one could breathe a sigh of relief. However, as I write this post, the markets are getting pummeled, financial stocks in particular. What is clear from the TED spread is that market risk is still high.The TED in TED spread stands for [...]

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When the housing mania was in full bloom, many first-time home buyers were understandably panicked about being locked out of home ownership and missing the boat to get onto the property ladder. This was the case in both the UK and in the United States. In the UK, deals were done at upwards of [...]

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I was recently called out on missing the details of the FDIC’s list of 117 ‘problem’ banks. In a post on the OTS’ agreement for regulatory supervision of Washington Mutual, I incorrectly stated that NCC was on that list and inferred that WaMu was as well. This is not the case. The [...]

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The post-mortems on Fannie and Freddie are flying in. It seems like it is almost non-stop Fannie and Freddie. Let me add to those voices with a bit of a twist: the bailout of Fannie and Freddie was as much a political move as it was a move to save financial markets.While [...]

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The Economist, like many other Libertarian-minded publications and individuals, has soured on John McCain. One week ago their cover page story was “Bring back the real McCain” and this past week their storyline on McCain was that the man simply has poor judgment. What gives?What gives is that McCain, above all else is [...]

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After an amazing day to the upside as a result of the bailout of Frannie, we have to return to the ho-hum of reality. But, I still have a decent number of reactions to and articles about Frannie in my links.
Personally, I don’t like the bailout but I think options were limited. [...]