Some of the recent speculation about where rates are going seems to have gotten at least a bit overdone.» Read More
Neil Barofsky's op-ed on "Where the Bailout Went Wrong" [NYTimes]
Economic data today includes the ADP employment report and mortgage applications [CNBC.com via Reuters]
Earnings reports include Family Dollar and Mosaic Group. [CNBC.com via Reuters]
Craig Reynolds, a senior swaps trader from Goldman Sachs , has jumped ship for Bank of America .
Reynolds, a managing director at Goldman, will run U.S. rates trading for B of A, say people briefed on his job move, which was announced in an internal e-mail at his new firm on Tuesday morning.
Adam Smith began his testimony in the Raj Rajaratnam trial today.
He's the first former Galleon employee to take the stand against his old boss.
In the morning session, Smith told jurors that Galleon "used insider tips as an “edge” in a strategy to make money" when company revenue details differed from expectations on Wall Street, Bloomberg reported.
One of the more controversial provisions of the new mortgage risk retention rules proposed by financial regulators today is that they don’t allow banks to correct weaknesses in mortgage pools by purchasing credit protection.
Before the financial crisis , banks regularly wrapped mortgage-backed securities with insurance in order to get a higher credit rating. The idea was that the insurance diminished the possible investor losses on the securities, since the insurance company would have to pay if the underlying mortgages defaulted.
This afternoon, former Galleon trader Adam Smith will take the stand in the Raj Rajaratnam insider trading trial.
He plead guilty to insider trading earlier this year, and is one of the government's star witnesses.
"I knew what I was doing was wrong," Smith told the court in January . "I am forever remorseful about this terrible mistake."
In their complaint against Smith, the SEC said:
The new risk retention rules proposed by regulators today are far more stringent than major banks had hoped they would be.
The turmoil in Peru may not exactly match up to what’s happening in Libya, Japan or some of the other world’s hotspots, but traders are carefully watching political upheaval in the metal-producing South American nation.
The giant $20 billion bridge loan JPMorgan Chase made to finance AT&T's acquisition of T-Mobile USA may be a leading indicator that a new credit bubble is forming.
Moody's is warning that the loan might encourage other banks to take on too much risk in pursuit of underwriting fees, in a repeat of the mad rush to make loans we saw in the second half of 2007, according to the Financial Times .
Pimco's new chief investment officer may be starting to show signs of modest success, but it is a long road back.
Disney shares are trading at an all-time high, up nearly 45 percent over the past 12 months.
Oil has now broken below many Wall Street targets and look set to test the year's lows and beyond, before finding a bottom.