All major Subprime-involved companies have been (at least partially) nationalized, taken over or left bankrupt … the only one left standing is Morgan Stanley … Congrats We had … Citibank … today partially nationalized … Bear Stearns … taken by JPMorgan Lehman … allowed to fail Countrywide Financial … taken by Bank of America Merill [...]

Analysts are still way off getting the point in this crisis … Ambac Q1 result was a net loss of $11.69 a share, versus net income of $2.02 a year earlier, the company said. Its operating loss in the latest quarter was $6.93 a share. Ambac was expected to report a loss of $1.51 a [...]

As the Fed reduces rates at panic pace, markets still are not going higher. Investors seem to realize, that the landscape has changed. Not one single day passes without earnings revisions to the downside or record write offs. The economic climate gets rough. Even good figures like today’s ADP number create only a short lived [...]

Reading the stories coming out after the SocGen MISMANAGEMENT … not a rogue trader … absolute reckless mismanagement made it happen … makes me sick!!! Where were/are all the supervising authorities??? SEC? BaFin? Whatever their name is … WHERE THE HELL ARE YOU??? Or are you all stupid underpaid bastards??? Helpless or blind? Or just [...]

After reflecting this weekend over the current global situation and zapping through the long term charts, I think, the days of the carry trade are numbered. Some long term trends are about to reverse soon, helped by a sentiment which calls contrarians to act. Everybody is bearish on the US Dollar, everybody is bullish on [...]

After reading a lot of stuff about the case, the story looks even more incredible today. Risk Magazine named SocGen in its JANUARY issue “Equity Derivatives House of the Year”. Farther from reality they could not have been French press is speculating, that Jérôme Kerviel is only used as a public scapegoat to cover up [...]

It could be so “easy” … We understand, that the FED is fighting to keep the air in the stock market. Because the economy might not be able to withstand the double whammy HOUSING and EQUITIES down the drain. If I get the Barron’s story on MBIA right (pls. read here) , the problem could [...]

Even the European equity markets give up today, selling off around 7% (!!!) on an US holiday … wow We were not able to go that low last year on very bad news and more uncertainty, now … seemingly ready to have a bounce after 3 down weeks to get the year started, the market [...]