with Oli | Strategies


Posts Tagged ‘credit crunch’

More PAIN … Citibank

Donnerstag, Juni 19th, 2008

Citibank CFO Gary Crittenden is quoted:
“If current trends prevail, it is fair to conclude we will continue to have substantial additional marks on our subprime exposure this quarter.”
“It’s reasonable to expect that credit costs will continue to rise through 2008, and that provisions for losses in its consumer business will also grow.”
“Expects revenue growth […]

More pain to come … (part 1)

Dienstag, Mai 20th, 2008

The credit crunch is far from over, according to Oppenheimer & Co. banking analyst Meredith Whitney …
She sees consumers defaulting and an accumulation of these defaults will appear on the balance sheets of our “beloved banks” …
She is quoted as follows:
“Just as strained liquidity pushed so many small and mid-sized specialty finance companies to […]

BoE might step in …

Mittwoch, April 16th, 2008

The Americans were only thinking about it …
The Bank of England might actually do it …
Today’s FT has the following …
“The credit crisis is so severe that dozens of smaller lenders could be forced to stop offering new mortgages unless the government intervenes, leading bankers told Gordon Brown on Tuesday.
The stark warning, issued […]

GE nails the coffin?

Freitag, April 11th, 2008

GE … the once great GE … in TROUBLE
Only 2 weeks ago they reiterated their guidance …
Now they “found out” …
“After the Bear Stearns event, we experienced an extraordinary disruption in our ability to complete asset sales and incurred marks of impairments, and this was something that we clearly didn’t see until the end […]

Citibank … market’s misinterpretation?

Mittwoch, April 9th, 2008

Citibank is close to announce the sale of around 12bln$ of debt.
This is seen as positive and bullish … hmmmm
My take:
1. This is buy-out related debt, NOT mortgage related … so they sell “better” debt
2. They lock in a loss … and free as it is leveraged debt only a small amount of their balance […]

Hope rules end of Q1 …

Montag, März 31st, 2008

And again the market plays the card of hope …
After Q1 is booked … and with it some losses …
Everybody is bullish and confident again (unbelievable!)
Still there is NO VISIBILITY at all, how long and deep the recession might be …
NO CHANGES so far in the housing market or at the credit front …
BUT … […]

THE ECB … there can be only ONE (Centralbank)

Dienstag, Dezember 18th, 2007

The ECB shows over the last years, that it is really a special centralbank … following the footsteps of the German Bundesbank, now an affiliate of the ECB.
The ECB is now the last “one” standing … the only one on the planet you can trust … what a difference to the BoE or even the […]

Rate cuts … even in Europe?

Mittwoch, Dezember 5th, 2007

As I will not be able to trade today, just one thing …
What about interest rate cuts … even in Europe tomorrow???
The situation …
Due to the global credit crunch, money markets are unusually tight … the spread between the official rates and the interbanking rates is widening every day … reaching levels, unseen since […]