Archive for the ‘KOSPI’ Category

Dubai asks for debt relief

Friday, November 27th, 2009

Full story here. Never a dull moment on Planet Finance. Seems Joe Schmoe-behind-on-his-payments is in good company with Dubai.

“Just a year after the global downturn derailed Dubai’s explosive growth, the city is now so swamped in debt that it’s asking for a six-month reprieve on paying its bills — causing a drop on world markets Thursday and raising questions about Dubai’s reputation as a magnet for international investment.

The fallout came swiftly and was felt globally after Wednesday statement that Dubai’s main development engine, Dubai World, would ask creditors for a “standstill” on paying back its $60 billion debt until at least May. The company’s real estate arm, Nakheel — whose projects include the palm-shaped island in the Gulf — shoulders the bulk of money due to banks, investment houses and outside development contractors. (more…)

Russian hedge fund theft blown wide open on Youtube

Thursday, October 15th, 2009

Full story here from The International Forecaster.

The Guardian web site is reporting that London based investment company Hermitage Capital has turned to the web to expose a massive fraud involving the highest levels of government. Hermitage CEO William Browder has released his story on the web. It details corrupt and criminal acts that have resulted in a theft of 230 Million dollars. Names are named. Its a great insight into the corrupt workings of government and police. In an even more bizarre twist, Bowder is now wanted for questioning in relation to the acts of fraud. A russian language version of the video has now gone viral in Russia and promises to tear the lid off all efforts to cover up criminal activity by the state and police around the case.

The stunning comment that ends the article is that this activity is commonplace in Russia. “The story sounds like a thriller but isn’t and it’s being repeated every day” (source).

No comments yet for Russian Hedge Fund Theft Blown Wide


Thursday, August 20th, 2009

Lest I be accused of being a “Dora Downer” for posting all of the economic poo poo, I am posting some links that should put you all in a better mood. If watching these doesn’t cheer you up, have a couple of mojitos and watch them all again.

If you think you have it hard in life, just watch this:

DTCC: financial Death Star

Sunday, July 19th, 2009

Our Sunday sermon will be on the DTCC, the Depository Trust & Clearing Corp. Never heard of it? You should. “Last year DTCC settled $1.88 quadrillion in securities transactions across multiple asset classes. We essentially turnover the equivalent of the U.S. GDP every three days.”

Per here:”Below I present DTCC’s full testimony before the House Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises titled “Effective Regulation of the Over-the-Counter Derivatives Markets.”

Also if you have never heard of DTCC before you are excused. Taken from the testimony:

Now, many of you may not have heard of DTCC before. That’s purposeful. We have traditionally kept a low profile, given the critical nature of the role we play in U.S. financial markets.

DTCC’s depository is the largest securities depository in the world, providing custody and asset servicing for 3.5 million securities issues from the United States and 110 other countries and territories valued at $30 trillion. (more…)

Philanthropies and the Economic Crisis

Thursday, May 28th, 2009

A brief indulgence into a big, ugly black hole. From Joan Roelofs via Counterpunch.

Not getting loads of foundation grants? Support yourself by ShadowTrading!

“We in the United States have been endowed with enormous philanthropic foundations, which have been fixing up the world for the last 100 years. One might wonder how their activities relate to the current economic crisis. News on this subject is not found in the headlines, or even on page 23. There is more exposure of foundation garments than of the opulent structures overpinning our system. (more…)

Liquidity drowns meaning of ‘inflation’

Tuesday, May 26th, 2009

Full story here. From Henry CK Liu at Asia Times.

“The conventional terms of inflation and deflation are no longer adequate for describing the overall monetary effect of excess liquidity recently released by the US Federal Reserve, the nation’s central bank, to deal with the year-long credit crunch.

This is because the approach adopted by the Treasury and the Fed to deal with a financial crisis of unsustainable debt created by excess liquidity is to inject more liquidity in the form of both new public debt and newly created money into the economy and to channel it to debt-laden institutions to reflate a burst debt-driven asset price bubble.

The Treasury does not have any power to create new money. It has to borrow from the credit market, thus shifting private debt into public debt. The Fed has the authority to create new money. Unfortunately, the Fed’s new money has not been going to consumers in the form of full employment with rising wages to restore fallen demand, but instead is going only to debt-infested distressed institutions to allow them to deleverage from toxic debt. Thus deflation in the equity market (falling share prices) has been cushioned by newly issued money, while aggregate wage income continues to fall to further reduce aggregate demand. (more…)

Obama: We are out of money now

Sunday, May 24th, 2009

Transcript of the interview with C-SPAN here. Obama flat out says the US is out of money. An unusual bit of candor for a sitting president–and only 4 months into his term. You can read the rest at the link. I was outraged enough by the below quote–which will probably get ZERO airplay on a long weekend.

“…SCULLY: Yet, it all takes money. You know the numbers, $1.7 trillion debt, a national deficit of $11 trillion. At what point do we run out of money?
OBAMA: Well, we are out of money now. We are operating in deep deficits, not caused by any decisions we’ve made on health care so far. This is a consequence of the crisis that we’ve seen and in fact our failure to make some good decisions on health care over the last several decades…”

Did he just say the cause of US indebtedness was health care? Not a peep about the ungodly amount of money spent dedicated to war or propping up dead banks. Just Grandma’s hip replacement breaking the freakin’ bank. The US being deeply in debt is not news per se. We can only borrow so long before hyperinflation must come into play to inflate away the debt (so long as we don’t do something like “Carter bonds” denominated in foreign currencies). Obama’s health care plan has less to do with affordable health care and more to do with funneling money to the insurance industry (with its high overhead and incentive to deny care). It is in many ways a replay of his economic plan. Homeowners and ordinary Americans are drowning in debt. Who does he help? The banks. Tens of millions of Americans need decent health care? Who does he help? The insurance companies. Just as it was never clear how funneling money to the banks was going to revive the economy, it equally unclear how shoveling money at the insurance industry will control health care costs.
What is the upshot of prefacing health care in this way? Are we now going to be good little Nazis and decide who lives and dies because they are (or aren’t) useful to the State?

Roubini: The Almighty Renminbi?

Friday, May 15th, 2009

Full story here. Economist Nouriel Roubini’s op-ed piece from the NYTimes.
The good news is that you can apply ShadowTraders technology to any stock, futures or option contracts.

“…Traditionally, empires that hold the global reserve currency are also net foreign creditors and net lenders. The British Empire declined — and the pound lost its status as the main global reserve currency — when Britain became a net debtor and a net borrower in World War II. Today, the United States is in a similar position. It is running huge budget and trade deficits, and is relying on the kindness of restless foreign creditors who are starting to feel uneasy about accumulating even more dollar assets. The resulting downfall of the dollar may be only a matter of time. (more…)

Charlie Munger interview

Thursday, May 14th, 2009

Found here at the Stanford Law Review. Don’t have Charlie to whisper good advice in your ear? Go to ShadowTraders and get trading to prosperity.

“…So on a scale of 1 to 10, how big a mistake was it that
they let Lehman Brothers go?

I don’t think that was a mistake. You can’t save everybody.
That would have created unlimited revulsion in the body politic.
I probably would have let Lehman go, too.

Even though the market seized up very dramatically afterwards
and we had some of the most difficult shortterm
financial consequences of that failure?

We needed a total correction to a system that was evil and
stupid. You can’t have a rule that no matter how awful you are,
you’re always going to be saved. You have to allow some failure.
We don’t need all our bright engineers going into derivative
trading and hedge funds and so on. We need some revulsion. (more…)

Goldman folds in Boston

Wednesday, May 13th, 2009

Full story here. From Bruce Krasting’s blog.

Are you noticing that bad news seems to follow the actions of Goldman Sachs? Kick Goldman in the ’sacks’ and ShadowTrade your way to prosperity.

“There are approximately 1.2 million register lawyers in the United States. 1.1 million of them saw this headline today. The 100,000 lawyers who did not see it were on vacation and will be aware of it soon enough.

The net of this story is that Goldman has agreed to pay the state of Massachusetts $60 million to settle a dispute regarding Goldman’s “predatory lending” practices in and around Boston. $50 million will be made available to reduce the loan principle on 714 individual mortgages. Of note is that the agreement called for reductions in principal of as much as 30% for traditional mortgages and up to 50% on second mortgages. Also of note is that the State of Massachusetts gets to keep $10mm for their efforts. Not bad for Attorney General Martha Coakley. (more…)