The Wall Street Journal – Central Banks Pour Dollars Into Europe The world’s leading central banks joined forces to offer Europe’s beleaguered banks easy access to dollars Thursday, acting to quell fears that the region’s lenders could fall victim to the euro-zone’s government debt crisis. The European Central Bank said it would coordinate with the… Continue reading Central Banks Are Here To Help
The Economist – Commodity markets: Back to the futures Regulators are homing in on new rules to rein in speculators IN A speech to European policymakers in June Nicolas Sarkozy, the French president, encouraged his audience to be serious about “fighting the mafia”. He was not referring to a French Tony Soprano, but rather that… Continue reading The Evil Speculator
BusinessWeek – Has John Paulson Lost His Touch? It’s been a losing year for the money manager who made billions by betting against subprime mortgages early John Paulson is famous for betting against subprime mortgages at a time when most Americans thought real estate was a sure thing. He made billions. Lately, his contrarian streak… Continue reading Struggling Hedge Funds
The Economist – The R-word index: Up means down The Economist’s gauge of gloom IT HAS been a thoroughly wretched summer in the rich world: weak growth, dismal jobs numbers and plunges in stockmarkets. Now there is yet another cause for concern. The Economist’s informal R-word index tracks the number of newspaper articles that use… Continue reading R-Word Index
The Economist – Ambrose Evans-Pritchard: China to ‘liquidate’ US Treasuries, not dollars The debt markets have been warned. A key rate setter-for China’s central bank let slip – or was it a slip? – that Beijing aims to run down its portfolio of US debt as soon as safely possible. “The incremental parts of our… Continue reading China To Sell Treasuries?
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International Financing Review – US banks privately lending billions to support European lenders US banks have become the unlikely saviours of their ailing European counterparts, signing private agreements to lend them billions of dollars in recent weeks after an exodus of nervous money market funds left many without ready access to short-term funding. Agreements worth… Continue reading European Funding
France24.com – Eurozone crisis could rip EU apart: officials The eurozone crisis could wreck the European Union, top EU officials warned on Wednesday as the leaders of Germany and France held talks with Greece to avoid a default and widespread chaos. The pressure rose on all fronts with United States again expressing great concern, with… Continue reading Can The Eurozone Survive?
The Financial Times – Lex: Eurozone banks: use the EFSF How to break the cycle? A Greek default would end nothing; investors would move on swiftly to the next peripheral nation. Banks cannot hope to recapitalise themselves unless the eurozone’s structural issues are first resolved. National governments alone cannot push back the tide. Action to… Continue reading A Call For Euro TARP
Bloomberg.com – Greece Needs to Default, Euro Exit Over Loan, Slovak Party Leader Says Greece should default on its debt and abandon the euro as further loans won’t solve its crisis, a Slovak lawmaker whose vote in parliament may decide whether the country backs a bailout package for the currency area said. The Freedom and… Continue reading Voting On The Fate Of The EU
The Financial Times – US/Europe decoupling at play In the balmy days before the subprime crisis, “decoupling” suggested emerging markets would be safe from a developed world storm. It turned out the theory was wrong. That has not stopped a new round of decoupling, this time between Europe and the US. European banks have plummeted.… Continue reading European Stocks vs. U.S. Stocks
Comment In the video above (starting at 15:06): Jim Cramer: I once asked you, point blank, look, why not do a ten-year gigantic $200 billion, lock down that financing. make sure we have no liquidity problems ever like Europe? Tim Geithner: Yes. Cramer: You told me — Geithner: We’re following your advice. Cramer: You are.… Continue reading Did Geithner Just Say The Treasury Will Undo “Operation Twist?”