Financial Crisis

[churchill]

"Stress Tests May Force Banks to Convert TARP Stock "

"April 27 (Bloomberg) -- U.S. banks that received results of their federal stress tests last week were given three options if they need additional capital to withstand the recession. The reality is they may only have one.

Getting federal aid or selling shares -- two of the choices offered to the 19 lenders being tested -- aren’t practical politically or financially, according to analysts, including Jeff Davis, the research director at Howe Barnes Hoefer & Arnett Inc. in Chicago. Lawmakers have opposed adding more to the $700 billion that the government already committed and investors have balked at buying shares of financial firms after a two-year drop.

That leaves the third option presented by Treasury Secretary Timothy Geithner: changing the preferred stock held by the U.S. Troubled Asset Relief Program into common shares. Doing so would prop up capital under accounting rules and dilute the value of shareholdings for current investors. "

http://bloomberg.com/apps/news?pid=2060108...&refer=home

[midas]

There you go 12 ! Now I have evidence none of this is going to stop !

You would think that after the pain and suffering on this financial crisis

people would learn from past mistakes. But evidently not when it comes

to paying bonuses to Wall Street employees because they are back

to precrisis levels even though the shareholders are still suffering

and the taxpayer still shoulders the burden-amazing - it goes

on and on and fukcing on and people just take it like zombies

Maybe they realise this so why not milk the cow dry .....?

After Off Year, Wall Street Pay Is Bouncing Back

The rest of the nation may be getting back to basics, but on Wall Street, paychecks still come with a golden promise.

Workers at the largest financial institutions are on track to earn as much money this year as they did before the financial crisis began, because of the strong start of the year for bank profits.

Even as the industry's compensation has been put in the spotlight for being so high at a time when many banks have received taxpayer help, six of the biggest banks set aside over $36 billion in the first quarter to pay their employees, according to a review of financial statements.

http://www.nytimes.com/2009/04/26/business/26pay.html

Edited April 27, 2009 by midas

[BlackJack]

all part of the grand plan

whatever that is

if someone finds out can they post it here

[12DrinkMore]

http://www.atimes.com/atimes/Global_Economy/KD28Dj06.html

Despite unsustainable fiscal deficits and household indebtedness, the Obama team has dwarfed George W Bush's financial disorder and has launched a US$787 billion stimulus package, a $275 billion housing subsidy, and created a budget with a deficit of $1.85 trillion, or 13% of gross domestic product. US government bailouts are reported at $12 trillion. Geithner announced a public-private bank with a capital of $1 trillion to buy toxic assets, called by economist Joseph Stiglitz as "cash for trash" and by fellow economist Jeffrey Sachs as "a robbery bank". It is a plan that will favor Wall Street at the expense of Maine Street, socializing losses and privatizing gains.

Yep, we are all paying for the mess except those bankers.

They will rob millions of workers and pensioners of their real and hard won gains and spread misery around the world. Their monetary injection is a pure tax on holders of money and amounts to a redistribution of wealth in favor of debtors. The more they inflate the economy, the more they will deflate real activity and spread unemployment and despair.

And I am feeling this tax painfully.

[jcon]

all part of the grand plan

whatever that is

if someone finds out can they post it here

duh blackjack, you only have to ask our own AlexLah, "The One Who Knows."

3 pictures and one youtube link later, and you will understand... CONSPIRACY!!!!!!!!!!

[12DrinkMore]

all part of the grand plan

whatever that is

if someone finds out can they post it here

Well, there is no grand plan. The way it works is

http://www.independent.co.uk/news/world/am...ll-1674614.html

The financial markets operate on the principle that, at our core, we’re all basically shit: selfish, self-interested creatures.

and

It is crucial to realise that what motivates those people - collecting their million or hundred million dollar bonuses - has nothing to do with the job they actually perform. People used to do it for a lot less and it’s not like there’s a shortage of candidates - I turned away 10 good recruits at Cornell for every one we hired.

The reason we’ve ended up in the spot we’re in today is not so much our failure to understand economics as our failure to understand human nature.

Give a small number of people the power to enrich themselves beyond everyone’s wildest dreams, a philosophical rationale to explain all the damage they’re causing, and they will not stop until they’ve run the world economy off a cliff.

:D

And that is about the clearest and most succinct explanation you will find.

Now back to the solution, which I believe I mentioned in my first post in this thread, but has been removed from the title "ready to kill"...

Edited April 27, 2009 by 12DrinkMore

[12DrinkMore]

Here's a good way to spend the next 30 minutes of your time.

http://www.variant-perception.com/2009/03/...gers-interview/

Maybe it's time for the Isaan farming girls to get rich without us sponsoring them. :D

[Naam]

all part of the grand plan

whatever that is

if someone finds out can they post it here

duh blackjack, you only have to ask our own AlexLah, "The One Who Knows."

3 pictures and one youtube link later, and you will understand... CONSPIRACY!!!!!!!!!!

by aliens from the gamma quadrant (who also spread the swine flu virus on planet earth that they can sell their low quality beef at exorbitant prices).

[jcon]

all part of the grand plan

whatever that is

if someone finds out can they post it here

duh blackjack, you only have to ask our own AlexLah, "The One Who Knows."

3 pictures and one youtube link later, and you will understand... CONSPIRACY!!!!!!!!!!

by aliens from the gamma quadrant (who also spread the swine flu virus on planet earth that they can sell their low quality beef at exorbitant prices).

And as the Borg are coming soon... remember, "Resistance is Futile." See, Star Trek was ahead of it's time!!!! They knew something we didn't know... and now we will feel the Wrath of Kahn! Kiiiiirrrrkkkkk!!!!!!!

[churchill]

Ring any bells?

S.E.C. Charges California Money Manager with Fraud

http://dealbook.blogs.nytimes.com/2009/04/...ger-with-fraud/

[churchill]

"The capital well is running dry and some economies will wither

The world is running out of capital. We cannot take it for granted that the global bond markets will prove deep enough to fund the $6 trillion or so needed for the Obama fiscal package, US-European bank bail-outs, and ballooning deficits almost everywhere. "

http://tinyurl.com/dj6pgs

[flying]

Ring any bells?

S.E.C. Charges California Money Manager with Fraud

http://dealbook.blogs.nytimes.com/2009/04/...ger-with-fraud/

I tend to agree with some of the comments on the bottom of that page.......

The ones like

always going after the small-time criminals for PR effects.

Never going after the real big-time criminals.

— Posted by Angry Voter

[samuibeachcomber]

Here's a good way to spend the next 30 minutes of your time.

http://www.variant-perception.com/2009/03/...gers-interview/

Maybe it's time for the Isaan farming girls to get rich without us sponsoring them.

this guy talks commonsense(i could say he's been reading this topic too)you dont need to be a brain surgeon to see whats ahead.

[samuibeachcomber]

12 that article in the Independent(an extract from Myers's new book)was very revealing into the mindset of the"FLOOR TRADER".

In the future someones going to have to set up a "traders anonymous" to help them through their addiction to easy money that is no longer sustainable.

[samuibeachcomber]

Here's a good way to spend the next 30 minutes of your time.

http://www.variant-perception.com/2009/03/...gers-interview/

Maybe it's time for the Isaan farming girls to get rich without us sponsoring them.

this guy talks commonsense(i could say he's been reading this topic too)you dont need to be a brain surgeon to see whats ahead.

on a lighter note,does anyone remember the movie "robin hood prince of thieves"? In it the sheriff of nottingham is complaining because the local population will not give up the whereabouts of robin hood,he gets so pissed off he"cancels christmas".Bring this scenario forward to the 21st. century,back in the UK the current PM who ever he maybe in the future cancels the pension funds for all(cos they've all been raided and there's no money left) and declare there's no more retirement,everyone will have to work(but there's no more jobs)until they die.PM then declares he's bulldozing all manufacturing complexes in the midlands and north east and says everyone has to grow food to compete with Isaan,the food bowl of asia,where everone's running around in mercs wearing gold.

[midas]

Well this must surely be very negative news especially for Bank of America

because they are already probably facing an enormous class-action lawsuit

as well from the shareholders regarding the Merrill Lynch debacle

Citigroup, Bank of America may need more capital: WSJ

The Wall Street Journal reported on its website that US regulators had told the two big lenders that they may need to increase their capital.

The capital shortfall "amounts to billions of dollars" at BofA, said the newspaper.

"Executives at both banks are objecting to the preliminary findings, which emerged from the Government's scrutiny of 19 large financial institutions," the WSJ said.

Hillarious " Executives at both banks are objecting to the preliminary findings " I am bloody sure they are - their fat bonuses are on the line

http://www.theaustralian.news.com.au/busin...6-20501,00.html

Edited April 28, 2009 by midas

[churchill]

Incredible !

"Lehman notes for the mentally ill — plumbing the depths

Hong Kong banks sold notes linked to bankrupted Lehman Brothers Holdings Inc to “vulnerable investors” including the elderly and people who were mentally ill, according to an investigation by the Hong Kong Monetary Authority.

The central bank identified 102 cases where complex and risky investments were sold by banks to elderly, mentally ill and poorly educated people, according to information contained in a blacked-out section of an investigation made public at a hearing in the city’s Legislative Council today.

A total of HK$13.9 billion ($1.8 billion) of the credit- linked notes arranged by a local unit of Lehman were sold to Hong Kong individuals, according to a study conducted by the Securities and Futures Commission released in February. Some investors have alleged that banks and brokerages misrepresented the potential risks when selling the notes.

The central bank had previously refused to disclose parts of its findings, arguing that it would be “against public interest.” It later agreed to reveal in closed meetings deleted parts of the report to legislators.

Sun Hung Kai & Co, the city’s biggest local brokerage by market value, in February agreed to pay back investors in the notes, making it the first vendor to decide to provide a full refund. It didn’t admit to any liability or wrongdoing in selling the products.

Bank of China (Hong Kong) Ltd, Bank of East Asia Ltd, Wing Hang Bank Ltd and Dah Sing Banking Group Ltd were among the 19 firms that sold the notes, according to the Hong Kong Association of Banks."

http://ftalphaville.ft.com/blog/2009/04/28...ths/?source=rss

[churchill]

"BURNED BY LEHMAN SECURITIES

German Bank Admits Giving Wrong Advice to Investors

Tens of thousands of German investors who had bought Lehman Brothers certificates lost their savings when the bank went under. Now one savings bank has admitted giving its customers the wrong advice and is offering compensation."

"Many investors who were sold the Lehman certificates -- which were specially developed for the German market -- are suing their banks because they claim they were not informed that they risked losing all their money should the bank go bust. Many of the customers were pensioners who thought they were buying rock-solid investments. The banks are accused of deliberately targeting unsophisticated older clients who they dismissively referred to as "AD" customers, which stood for "old and dumb" in German. Unlike normal savings accounts, the securities were generally not covered by Germany's deposit protection scheme, which guarantees investments in the event of banks going bust."

http://www.spiegel.de/international/busine...,621599,00.html

[12DrinkMore]

More good news from Asia

http://www.bloomberg.com/apps/news?pid=206...&refer=home

China’s spending on roads, bridges and low-cost housing should contribute “strongly” to growth in Asia, the World Bank said this month. Goldman Sachs Group Inc. last week raised its 2009 growth forecast for China’s economy to 8 percent from 6 percent previously, citing the stimulus.

and

Asian exports are also beginning to benefit after companies worldwide ate into inventories during the past two quarters instead of ordering new stock. Now when they need more goods, the orders translate faster into production and exports.

Well. this is good news for Asia.

But well, what are the economies of the West doing? Slowly sinking further into oblivion.

When the UK begs for more money on the international markets, who is going to buy in to support a government that has no chance of paying back the debt in the next fifty years?

[quiksilva]

When the UK begs for more money on the international markets, who is going to buy in to support a government that has no chance of paying back the debt in the next fifty years?

just think of the influence that investor could exert over the UK if that happened...what would that be worth?

[flying]

Economics 101 without the BS

http://www.goldismoney.info/forums/showthread.php?t=366028

Skim it & see what you think.

Also a link at the end for the book free...audio version mp3

"The Creature From Jekyll Island" by G. Edward Griffin

http://www.spielbauer.com/JekyllDownload.htm

Edited April 29, 2009 by flying

[midas]

Economics 101 without the BS

http://www.goldismoney.info/forums/showthread.php?t=366028

Skim it & see what you think.

Throughout this financial crisis I'm amazed that this subject of who owns the Fed still

hasn't really been given much coverage in the media? I would have thought

it should be on the curriculum of every school student in the USA.

Instead of the mystery and secrecy surrounding this whole situation

is quite staggering to a non-American like me.

[Naam]

When the UK begs for more money on the international markets, who is going to buy in to support a government that has no chance of paying back the debt in the next fifty years?

no government/country with a total debt exceeding 30% of GDP (very few countries have less) is able to pay back during or after any period and neither is it expected that the debt is paid back. only exceptional creditors like The Right Honourable 12Chang expect that.

[samuibeachcomber]

Economics 101 without the BS

http://www.goldismoney.info/forums/showthread.php?t=366028

Skim it & see what you think.

Throughout this financial crisis I'm amazed that this subject of who owns the Fed still

hasn't really been given much coverage in the media? I would have thought

it should be on the curriculum of every school student in the USA.

Instead of the mystery and secrecy surrounding this whole situation

is quite staggering to a non-American like me.

Its a scam,and they want nobody to understand,just like wall st.anyone asks them to explain their products and how they operate they say its too hard to explain,you wont understand.Doctors used to be the same,treating their patients as neanderthals with a pat on the back "doctor knows best".Well its all over (thanks to the internet)no one is ignorant anymore.That article was very good.............now the question is is "what are the people going to do about it"Who's going to get mad enough to start a revolt.

[Naam]

now the question is is "what are the people going to do about it Who's going to get mad enough to start a revolt."

let's face reality. nobody will do anything except complaining or bitching in a forum or blogspot. by the way, "Economics 101 without the BS" has a lot of flaws and incorrect statements of facts. but it's wasted time to go through the hassle and point them out using collected underlying facts as people only believe what they want to believe.

p.s. nobody seems to realise or care that the majority of statements such as "w/o BS" originate from websites which deal in or promote precious metals and condemn "fiat money"

[hhgz]

"Also a link at the end for the book free."

And it's worth every penny.

[midas]

Its a scam,and they want nobody to understand,just like wall st.anyone asks them to explain their products and how they operate they say its too hard to explain,you wont understand.Doctors used to be the same,treating their patients as neanderthals with a pat on the back "doctor knows best".Well its all over (thanks to the internet)no one is ignorant anymore.That article was very good.............now the question is is "what are the people going to do about it"Who's going to get mad enough to start a revolt.

Samui - maybe its a just a matter of time until the anger builds up...................

End The Fed Rally NYC 1/2

http://www.youtube.com/watch?v=yC7el3azq7Y

[AlexLah]

12-15/90

Get ready for a countdown.

[midas]

I'm actually quite intrigued that a limited number of contributors to this forum

seem to think that Americans are either apathetic or incapable of rising up to challenge

oppression..........

Some have argued vehemently that even though States like Texas have threatened to break away

from USA that this will never happen. I disagree because there is a ground swell

building up and this same sentiment is now gathering momentum regarding the

secretive Federal Reserve thanks to the Internet.

Just give it time -light the blue touch paper and stand well back- no one is going to continue to

put up with this crap indefinately

Grand Illusion - The U.S. Federal Reserve Bank

The whole world is in a state of complete confusion. Americans are coming to the realization that their lives have been a grand illusion. You thought your neighbor had it made. They were driving a Mercedes, spent $40,000 on a new kitchen with granite countertops and stainless steel appliances, sent their kids to private school, had a second home at the shore, and took exotic vacations all over the world. Now their house is in foreclosure and you are paying to bail them out. The anger and outrage in the country is at the highest level since the Vietnam War. The American public is being misled by government officials, politicians, and the Federal Reserve regarding the causes of this crisis and the solutions needed to solve our economic tribulations.

The average American does not know much about the Federal Reserve. The government and the Federal Reserve prefer to operate in the shadows. If the American public understood what their policies have done to their lives, they would be rioting in the streets. Henry Ford had a similar opinion:

"It is well that the people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning."

http://www.marketoracle.co.uk/Article9351.html

[teletiger]

When the UK begs for more money on the international markets, who is going to buy in to support a government that has no chance of paying back the debt in the next fifty years?

just think of the influence that investor could exert over the UK if that happened...what would that be worth?

Tojo's demands would be benign....Abdull's could be malignant. The IMF's demands would be immediate nationalization of banks, 30% cuts in state run services, including state personnel pensions.( A pie in Nancy Mandellson's smug face)

The house of Saudi's silence throughout this whole debacle has been blaring. A joker in the pack or the USA's ace in the hole?

Regards.

Edit: dabacle? OOOoo. Mau. Hic!.

Edited April 29, 2009 by teletiger