This morning on CNBC's Squawk Box, Warren Buffett publicly revealed for the first time that he has offered to reinsure $800 billion in municipal bonds now covered by the troubled insurers MBIA, Ambac and FGIC. Here is a video and transcript of the second part of this morning's live phone conversation, which also includes Buffett's comment that stocks are in the "general range of fair value" right now.
Warren Buffett's offer to back the municipal bond portfolios of three monoline insurers has put some bounce into stocks today, and it's also waking up the credit markets. Buffett's offer to have his Berkshire Hathaway guarantee the $800 billion municipal bonds covered by three troubled insurers is giving a big boost of confidence to a market made anxious...
Treasury bond prices slid after billionaire investor Warren Buffett offered to take over some liabilities of bond insurers, easing a critical concern that has inspired flight-to-safety bond purchases.
Rally on strength in cyclicals, agricultural stocks, insurance and banks. Markets are up for a couple reasons this morning. Most importantly, there is a sense that efforts are being made to address the credit problems, whether it is:
This morning on CNBC's Squawk Box, Warren Buffett publicly revealed for the first time that he has offered to reinsure $800 billion in municipal bonds now covered by the troubled insurers MBIA, Ambac and FGIC. That would effectively give those bonds a AAA credit rating. So far, he says one insurer has turned him down and he hasn't heard from the other two. Here is a transcript of the first part of this morning's live phone conversation.
Warren Buffett tells Fox Business that Berkshire Hathaway won't be investing in any troubled bond insurer, including Ambac and MBIA
Stock futures have rallied about 6 points, bond futures have declined as Warren Buffet appeared on CNBC saying he has offered to take over the muni bond insurance exposure from the big 3 bond insurers (MBIA, Ambak, and FGIC)--about $800 billion worth.
Warren Buffett tells CNBC this morning that he has a plan to help the troubled bond insurance situation, but so far it's not getting a very warm reception.In a live telephone call to Squawk Box just a few minutes ago, Buffett offered to reinsure $800 billion in municipal bonds now insured by Ambac, MBIA and FGIC, effectively giving them a AAA credit rating. Those insurers are in danger of losing their AAA credit ratings due to problems with subprime mortgages and other loans.Buffett tells us he sent that offer to the bond insurers last week, and that he's giving them 30 days to find a better deal. Buffett says one bond insurer turned him down, and he hasn't yet heard from the other two.
Treasury debt prices rose Monday as investors sought a safe haven for their assets in continued worries that a housing-led slowdown could be dragging the U.S. economy into recession.
Warren Buffett will be calling into CNBC's Squawk Box tomorrow (Tuesday, February 12) morning during the 8am ET hour for a First on CNBC live telephone interview with Becky Quick and the rest of the Squawk team. Buffett will be discussing the bond insurance situation.
Stock market bulls may be disappointed with the start to trading this week, but as one market underperforms there could be another reaping the rewards. If you need advice on where to put your money or adjust your portfolio then look no further.
Treasury debt prices rallied, recovering from their worst rout in four years as recession fears and worries about credit markets restored the allure of safe-haven government bonds.
Long bonds tumbled more than three full points on Thursday as selling accelerated following a poorly received auction of 30-year U.S. Treasurys.
Standard & Poor's is changing in the way it rates risk, implementing an overhaul that runs the gamut from governance procedures to public education to quell increasing scrutiny of the bond-rating firm's analytical integrity.
MBIA said on Wednesday it would raise $750 million by issuing new shares, as the largest U.S. bond insurer tries to boost its capital to retain the top credit ratings crucial for its business.
Treasury debt prices fell Wednesday as investors took profits from a rally that has pushed yields to four-year lows amid fears of a possible U.S. recession.
Treasury debt prices climbed Tuesday after data showed the all-important service sector contracted sharply last month, sending recession-wary investors into safe-harbor government bonds.
Long-dated U.S. Treasury debt prices fell Monday as traders took profits ahead of new supply of government bonds this week, cashing in on a recent rally driven by fears of a U.S. recession.
Financials have taken a big hit related to subprime problems, but now it's looking like no firm is safe — the mortgage mess is having an impact on a number of other sectors.
I tried to break down how the bond insurer crisis could impact the whole economy. You wrote back (see the bottom for criticism that it is the "worst" article to date!) Retired insurance analyst Mike S.:"A bit simplistic, but generally on target. Good job."