Category Archives: Not Categorized

A Greek Tragedy of Shakespearian Proportion Continues to Unfold

After a week of credit market histrionics, Monday morning ushers in a moment of calm… Greek spreads ease; Portugal under pressure – WSJ WSJ reports European sovereign CDS spreads were generally tighter Monday, with the cost of insuring Greek and Spanish debt against default falling, although Portugal remained volatile with spreads widening. According to CMA DataVision, Greece’s five-year sovereign credit-default […]

Sovereign Debt Spreads Widen on Greece/Portugal Worries, Equity/Commodity Markets Roiled, Fed Begins to Backtrack

The equity and commodity markets get rocked as Sovereign debt woes resurface. The burning question: Will the dramatic widening of credit spreads in Sovereign debt, beginning to resemble the CDS collapse of 2008 in the private sector, lead to a revisit of a 2008 type credit crisis and all the fallout associated with it?… Greece, Portugal woes intensify – WSJ […]

US$ vs. Gold Prices: A Little Perspective, Obama 2010 Budget, $1.9 Trillion Increase in Debt Ceiling

Perspective: US$ vs. Gold -US$ tops out on March 2nd, 2009 and declines by 18% at the low on December 1st. -During the same time period (March 4th – Dec. 3rd) Gold prices rise 34.8% -From Dec. 1st to Jan. 29th the US$ rallies 6.5% while Gold prices fall 12.28% -The US$ rally has failed to break above the 200-day […]

FINRA’s notice on social networking sites – what it means for your firm

FINRA has recently issued guidance and Q&A on registered reps use of social networking web sites, blogs and other forms of social media. Use of sites such as Facebook, Twitter and LinkedIn for business purposes by reps falls under FINRA’s rules on communications with the public and requires policies and procedures as they apply to each firm’s recordkeeping, suitability and […]

SEC Approves New Money Market Regulations; Motives Questionable, ZeroHedge Strengthens Case For Gold

The following is from www.zerohedge.com.  This piece is so profound that a reprint is required: The SEC passes regulation that only STRENGTHENS the case to own Gold Suspending Money Market Redemptions Is Now Legal; SEC Approves New Money Market Regulation In 4-1 Vote… …Well, in a nearly unanimous vote, Money Market Funds now have the ability to suspend redemptions, courtesy […]

Bernanke Brouhaha Continued, Greek Success, Dec. Existing Home Sales Plummet, CDS Curves vs. VIX

The Ben Bernanke Brouhaha follow up: Markets are quiet this Monday as the Bernanke reappointment story begins to take shape. The Obama administration rallied the troops over the weekend and a stay of execution seems likely… Embattled Bernanke edges closer to a second term – Reuters Reuters reports Federal Reserve Chairman Ben Bernanke edged closer to winning support for a […]

G.O.P takes Mass., Market Reaction to G.O.P Win, Housing Starts Plummet, FHA Lifts Fees

G.O.P. takes Massachusetts Senate seat – NY Times NY Times reports Scott Brown, a little-known Republican state senator, rode to an extraordinary upset Tuesday night when he was elected to fill the Senate seat that was long held by Edward M. Kennedy in the overwhelmingly Democratic state of Massachusetts. By a decisive margin, Mr. Brown defeated Martha Coakley, the state’s […]

To Price Target or Not to Price Target…that is the question

The other day, I was doing what I spend much of my days doing – talking to a portfolio manager about Alpha Theory. He told me that Alpha Theory makes terrific sense for firms that calculate price targets, but that he didn’t believe in price targets. When I asked him why, he responded that there is a lot of instinct […]

Looming Defaults and the Effect on Currencies, US$ vs Euro

The race to the bottom is on! The only question remaining: Who will blink first? I am referring to the race to default.  As you will see when reading the stories below, the USA and the EU have major cracks in the foundation.  Should Greece and/or Portugal default on debt the Euro would suffer accordingly. However, if and when California […]

Q.E. Will Not and Cannot End at This Time, Zero Hedge/Fed’s Bullard, US Mortgage Originations Seen Plummeting

I wrote yesterday: THE FED WILL NOT REDUCE LIQUIDITY AT THIS TIME. Today, I will reiterate and state: QUANTITATIVE EASING WILL NOT AND CANNOT END AT THIS TIME. This statement may appear to be rather bold in light of the noise emanating from traditional news outlets and the occasional Fed comment.  However, a review of the facts support the notion […]