One of the mysteries of the post-financial crisis world is why the U.S. has lacked inflation despite all the money being pumped into the economy.» Read More
After a fresh round of insider trading arrests and news conferences, hedge fund giant SAC Capital is once again in the spotlight.
Four additional people were criminally charged today in an ever widening case of insider trading.
An updated civil complaint released today by the SEC provides the best overview: "This case involves insider trading by ten individuals and one investment adviser entity, all of whom are consultants, employees, or clients of the so-called 'expert network' firm, Primary Global Research LLC [PGR]"
Here's the goods.
Irish banks need another 50 billion euro to clean up their balance sheets, according to Anglo Irish Bank Chairman Alan Duke .
What makes the 50 billion euro number so staggering is this: The additional capital number just named by Dukes exceeds the total 46 billion euros that banks have already received.
An interesting BBM exchange between Samir Barai and Jason Pflaum on page 26 of the complaint.
Late in the night of november 19, 2010, after Pflaum had already begun to cooperate with the Government in its investigation, BARAI and Pflaum exchanged a series of BBM communications regarding the article published in the Wall Street journal. In the BBM communications, BARAI stated that the article said that "key parts of the probes are at a late stage" and that a "Federal Grand Jury had heard evidence." BARAI further stated that he read the "article 10x [meaning, ten times]." BARAI then summarizerd the Reuters article quoted in Paragraph 49 above, which he reviewed:
- So another reuters article
- Last two weeks
- Fbi had approached HF [Hedge Fund] traders over past 2 weeks
- And number of traders contacted lawyers
- Problem is
- This scope is said to focus on the use of so-called expert network firms
- Concern for years that some experts may be passing out confi [meaning, confidential] info about to go public cos [meaning, companies] to traders....
- [The Firm] was only one named!!!!
BARAI then concluded the BBM communication with the following instruction: "Delete ur bbm chatr" [meaning, that Pflaum should delete his BBM communication with BARAI].
Sounds a little like panic if you ask me.
Far more interesting than the details of Moody Analytics chief economist Mark Zandi’s proposal to rework the mortgage market are the meager gains he thinks it would obtain.
Zandi has a proposal to scrap Fannie Mae and Freddie Mac in favor of ten new companies that would guarantee mortgages with an explicit government guarantee.
He’s got all sorts of arguments about why this hybrid public-private system would be better than either a fully public or a fully private model. But look at what he thinks the system would achieve.
Federal prosecutors are announcing insider trading charges against four more hedge fund employees at 12:00 p.m. today.
But what's more interesting is this: Three of the four are hedge fund managers, which definitely increases the drama quotient. \(The other employee is an analyst.\)
My guess is that not many people who once worked for Goldman Sachs end up working for Playboy, but Judy Joo, a former Morgan Stanley and Goldman banker turned chef, is proving it's not unthinkable.
Countries must cut spending—but can't. (This and other depressing thoughts on the bond markets.) [CNBC via Reuters]
Rate hike in China. (Again.) [Financial Times]
Once again: Meredith Whitney under fire. [CNBC via NY Times]
What does a jump in cash purchases mean for the real estate market? [Wall Street Journal]
The worst Super Bowl commercial. [NY Times]
Gold up in London on speculation of Chinese demand. [Bloomberg Businessweek]
A tutorial: "Bond Trading 101—How to Trade Bonds" [BondSquawk | Hat Tip: Abnormal Returns]
Just how bad is the Greek RMBS market? (Hint: Bad.) [FT Alphaville]
CNBC's Patti Domm and Jeff Cox discuss the jobs report and the current dilemma of long-term unemployment.
CNBC's Patti Domm and Jeff Cox discuss the recent GDP numbers and what factors have been affecting it.
Investors give and investors take away, and nowhere has that been more true lately than in value stocks.
Wharton's Jeremy Siegel just introduced a caveat to his perennially bullish outlook for the markets.
September is typically not good for the market, says NYSE floor trader Kenny Polcari. Is there pain ahead?
Bove sees a scenario in which long-term financing that has come with fixed interest rates is endangered as mortgage buyers dry up.