Full disclosure: I am normally a fan of the Financial Times’ Gillian Tett, but her latest piece reveals she has been co-opted by the industry she covers. While there are matters of substance I take issue with (we’ll get to those soon), the whopper is the positioning. How can Tett possibly depict Gordon Gekko as […]
Read more...Too much corn pone personal story, not enough real interview. But I must say, Bernanke is either an astoundingly self contained man or is on the best meds modern science has to offer. Paul Kedrosky thinks this appearance is either wildly bullish or wildly bearish, and is somewhat inclined to the former view. I see […]
Read more...The kabuki continues. The story from the Washington Post on AIG bonuses would appear to represent a modest win for taxpayers: American International Group is doling out tens of million of dollars in bonuses this week to senior employees. While AIG agreed to pay the bonuses months before the government’s rescue of the company began, […]
Read more...Why is it that the Daily Show is the only media outlet calling out CNBC on its, how shall we put it politely, less than stellar moments? I have to confess that Jon Stewart is much better than I realized (and I already had a high opinion of him, but I make a point of […]
Read more...Paul Keating, former Austrailian Prime Minister, gave an assessment of Timothy Geithners’ performance in the Asian crisis that is sharply at odds with US reports. According to Keating, Geither completely misread the nature of the crisis, that it was the result of hot money flight, but reverted to the standard IMF “country facing currency crisis” […]
Read more...To be honest, I’m not quite sure how to read this Wall Street Journal piece, since this is a spat between two parties, with a “he said, she said” quality to it. However, the title, “Citigroup Chafes Under U.S. Overseers:” suggests a bias in favor of Citigroup.”Overseers” is a weak word, suggesting Uncle Sam really […]
Read more...Now naive folks like me subscribe to the fantasy that a reputable newspaper maintains a church/state separation between its editorial pages and its news section. And then we have the Wall Street Journal as a telling counterexample. Last week, the Journal ran a op-ed piece by one Peter Schiff, a rather vocal libertaran and goldbug […]
Read more...I have been off the Ben Stein beat for quite some times, since it is ably covered by Felix Salmon and I don’t want to encourage Stein by giving him undue attention. But this week’s offering is such a doozy that I had to say something. Now remember, his column is titled, “Everybody’s Business.” So […]
Read more...Bank of America CEO Ken Lewis gave former Merrill chief John Thain an unceremonious heave-ho earlier today, a mere month after the Merrill deal closed, after one too many nasty surprises: the deterioration of Merrill in the fourth quarter, the revelation that Merrill effectively stiffed BofA by paying bonuses early, thus depriving the bank of […]
Read more...Perhaps I am unduly cynical, but I find it pretty odd that the general counsel at the New York Fed. Thomas Baxter, is making statements about the Lehman collapse now. For those who are familiar with US jurisprudence, anything said to an attorney in confidence is privileged information (yes, there have been some attacks on […]
Read more...The effort to get the second half of the TARP approved (or more accurately, not force Obushma to nix a Congressional turndown) is all feeling a bit Groundhog Day-ish, without the backdrop of a Lehman collapse and AIG implosion to add a sense of urgency and high drama. The officialdom is again using its access […]
Read more...The New York Times Sunday Magazine has a long piece by Joe Nocera on value at risk models, which tries to assess how much they can be held accountable for risk management failures on Wall Street. The piece so badly misses the basics about VaR that it is hard to take it seriously, although many […]
Read more...There is a piece I regard as truly odd in the Wall Street Journal tonight. Either much of what I have read about investment bank bankruptcies is wrong, or something peculiar is at what used to be the house of Lehman. A Wall Street Journal article, “Lehman’s Chaotic Bankruptcy Filing Destroyed Billions in Value,” comments […]
Read more...Happy Holidays to all! Our Unconscious Brain Makes The Best Decisions Possible PhysOrg What Parrots Tell us About the Origin and Evolution of Birds ScienceBlogs The fallen giants of finance Financial Times. A very nice interactive feature. Market for Corporate Jets Goes Into Free-Fall New York Times South Asia descends into terror’s vortex Asia Times. […]
Read more...US economists have relentlessly harangued the Japanese for their supposed mismanagement of their post bubble era, which has lead to nearly 20 years of low growth, borderline deflation, with a not-much-discussed, robust export sector. Along with others, we complained in the early days of the Fed/Treasury emergency response that they were taking one of the […]
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