Post Tagged with: "derivatives"
SEC Charges Goldman Sachs With Fraud; May The Perp Walks Begin
From the SEC: The Securities and Exchange Commission today charged Goldman, Sachs & Co. and one of its vice presidents for defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages as the U.S. housing market was beginning to falter. The SEC alleges that Goldman Sachs structured and marketed
Links: 2010-04-15 oil prices and more banking shenanigans
Econbrowser: More on oil prices and the economic recovery FT.com – John Gapper – A short story of a star hedge fund The scandalous Lehman CME auction | Felix Salmon A Thin Case: Ex-RAF Terrorist to Stand Trial for 1977 Murder – SPIEGEL ONLINE Death-Spiral Intercept – The Market Ticker Steve Keen’s long march to
Links: 2010-04-12 Second mortgages, regulatory failure and unwinding CDS trades
Second Mortgages Vex Borrowers – WSJ.com U.S. Says Regulators Feuded Over WaMu for Years – NYTimes.com Tim Duy’s Fed Watch: Stuck in the Middle FT Alphaville – Tracy Alloway – Robbing Pedro to pay Paul (of Greece) … AIG, Goldman Unwind Soured Trades – WSJ.com Palm Said to Tap Goldman, Quattrone to Find Buyers –
Links: 2010-04-10 Greek crisis, CDO shenanigans and Germany’s forgotten bunkers
Intel demos software that reads your mind | Cutting Edge – CNET News FT.com – Merryn Somerset Webb: Debt debacle is not going to go away Polish President, Bank Chief in Plane Crash, Reports – Bloomberg.com East Germany’s Forgotten Bunkers: New Research Sheds Light on Soviet Plans for World War III – SPIEGEL ONLINE BBC
Inside the mind of an investment banker: Greece, Goldman and derivatives
By now, you know about the much-discussed swaps that Greece used to conceal it’s debt load. While the amount of debt concealed is low relative to the total, the mere fact that Greece attempted to conceal its true fiscal position is damning in light of revelations in October that the government’s fiscal hole for 2009
Memo to Greece: Make war not love with Goldman Sachs
Marshall Auerback here with a post which I originally co-wrote at New Deal 2.0 with Randall Wray. In recent weeks, there has been much discussion about what to do about Greece. These questions become all the more relevant as the country attempts to float a multibillion-euro bond issue later this week. The Financial Times has
Update: Greece may have had swaps with fifteen banks
In another blow to a quick resolution of the Greek sovereign debt crisis, reports are surfacing that multiple banks may have arranged swap contracts with Greece to hide their fiscal shortfalls. Bloomberg is now reporting that up to fifteen banks may be involved. The debt concealment story started two weeks ago when news of swap
Is AIG the main CDS insurer for Greek government debt?
Yves Smith and I received a tip at the weekend from a friend who reads the German press regularly about credit default swaps (CDS) on Greek government debt. Read Yves’ piece based on that article here. Below is mine. Previously, I had mentioned the CDS exposure of the hapless German Landesbanks (banks owned by the
Drawing the right lessons from an obscure tale of obscure interest rate swaps
This post originally appeared at Global Economy Matters. The Eurozone’s current problems are not mainly a result a of profligate and reckless spending of government resources in the Eurozone periphery [1]. Even Nobel laureate Paul Krugman has begun to forcefully push this argument arguing that the real source of the malaise is the steady build
Will we have to blow up a continent (again) before we stop Wall Street?
Marshall Auerback warns that unchecked speculation and fraud are threatening the European Monetary Union. Marshall Auerback here with a post which I originally published at New Deal 2.0 Surprise, surprise: Wall Street tactics akin to the ones that fostered subprime mortgages in America have worsened the financial crisis shaking Greece, Spain, Portugal, and undermined the
Debt concealment in Greece
One of the larger problems in the unfolding meltdown in Greece is the fraud apparently perpetrated by past Greek governments to conceal their true levels of debt. This is having a very adverse effect on Greek credit spreads to (German) Bunds. 10-year Greek bonds are trading at 6.67%, while German 10-years are at 3.14%, a