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  • Mon, Oct 13 2008
  • 4:16 PM » Is It Really the Bottom or Just a Bear Market Rally?
    Published Mon, Oct 13 2008 4:16 PM by CNBC
    Some market watchers believe the market is starting to put in a floor and that gutsy investors may have some opportunities.
  • 4:16 PM » European Countries take more action
    Published Mon, Oct 13 2008 4:16 PM by Calculated Risk Blog
    From Bloomberg: EU Nations Commit 1.3 Trillion Euros to Bank Bailouts France, Germany, Spain, the Netherlands and Austria committed 1.3 trillion euros ($1.8 trillion) to guarantee bank loans and take stakes in lenders ... In Germany, Chancellor Angela Merkel pledged to guarantee up to 400 billion euros of lending between banks and set aside 20 billion euros to cover potential losses. It will
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 4:16 PM » Foreclosures in Orange County
    Published Mon, Oct 13 2008 4:16 PM by Calculated Risk Blog
    From Mathew Padilla at the O.C. Register: See where foreclosures are stacking up in O.C. [A] growing backlog of foreclosures threatens to push home prices further down, some economists and brokers say. ... MDA DataQuick, in a special report prepared for the Orange County Register, found that as of early September there were more than 3,300 unsold foreclosures in the county. DataQuick looked at
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 1:27 PM » Stock Market Rebounds
    Published Mon, Oct 13 2008 1:27 PM by WSJ
    The Dow Jones Industrial Average surged nearly 600 points amid coordinated initiatives to bolster the banking system. Europe stocks jumped. In Asia, the Hang Seng gained 10.2%.
  • 1:27 PM » Moody's Is Acting on Private Mortgage Insurers
    Published Mon, Oct 13 2008 1:27 PM by Seeking Alpha
    submits: Moody’s Investors Service has downgraded the insurance financial strength ((IFS)) ratings of Radian Group’s (NYSE: RDN) mortgage insurance subsidiaries, including Radian Guaranty and Amerin Guaranty which were downgraded to A2 from Aa3, and Radian Insurance which was downgraded to Baa1 from Aa3. In the same rating action, Moody’s also downgraded to A3 from Aa3 the IFS ratings of Radian Asset Assurance and Radian Asset Assurance Limited (collectively “Radian Asset”), and the senior debt rating of the holding company, Radian Group to Ba1 from A2. The outlook for the ratings is negative.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 1:27 PM » The Lede: Following the Financial Crisis and the Markets
    Published Mon, Oct 13 2008 1:27 PM by
    Top banking executives have been called to meet with Treasury Secretary Henry M. Paulson this afternoon.
    Click Here to Read the Full Article

  • 1:21 PM » GSEs to Buy $40 Billion in Troubled Mortgages Monthly
    Published Mon, Oct 13 2008 1:21 PM by
    Mortgage financiers Fannie Mae and Freddie Mac are gearing up to buy a combined $40 billion in “underperforming mortgage bonds” each month, according to a Bloomberg report. Citing unnamed sources familiar with the plan, Bloomberg said the move is part of a wider strategy by the U.S. government to eradicate bad mortgage debt from the financial [...]
    Click Here to Read the Full Article

  • 1:20 PM » "Fed Leads Unprecedented Push by Central Banks to Flood Market With Dollars"
    Published Mon, Oct 13 2008 1:20 PM by Google News
    The reader/investor who sent the link to this Bloomberg story provided the comments below. Not he does not resort to capital letters casually: THIS IS HARD TO BELIEVE. THOSE CB'S DON'T HAVE UNLIMITED $'S, SO IF TRUE, THEY WILL BE BORROWING THEM FROM THE FED VIA AN EXTENSION OF FED SWAP LINES, THE FOMC HAS APPROVED LINES OF $620 BILLION AS LAST REPORTED THIS IS FUNCTIONALLY UNSECURED LENDING TO THESE CB'S. REPAYMENT CAN ONLY COME FROM SELLING THEIR OWN CURRENCIES FOR THE NEEDED $'S (OR BY SOMEHOW NET EXPORTING TO THE US OR SELLING ASSETS TO THE US WHICH ARE HARD TO IMAGINE) SOMEHOW THIS HIGH RISK, UNSECURED, 'BACK DOOR' LENDING HAS REMAINED UNDER ALL RADAR SCREENS. AND, IF TRUE, WE WILL SOON SEE THE TOTAL $US FUNDING NEED IN THE EUROZONE. So one consequence is a continued strong dollar (despite the rally in the euro due to relief over the coordinated rescue announcement yesterday), which will hurt the export sector, the one area of good cheer in recent economic news. Surprisingly, however. Dollar borrowing rates improved in Europe but remain at elevated leavls. From : The Federal Reserve led an unprecedented push by central banks to flood the financial system with dollars, backing up government efforts to restore confidence and helping to drive down money-market rates. The ECB, the Bank of England and the Swiss central bank will auction unlimited dollar funds with maturities of seven days, 28 days and 84 days at a fixed interest rate, the Washington-based Fed said today. All of the previous dollar swap arrangements between the Fed and other central banks were capped. ``By providing unlimited dollar funds they are acting on the back of the G-7 plan to ensure the system is fully liquidized,'' said Lena Komileva, an economist at Tullett Prebon Plc in London. ``We're going to see even more liquidity provided and more aggressive rate cuts are coming.'' Leaders of the world economy have redoubled efforts to unfreeze credit markets...
  • 1:19 PM » FDIC Simplifies Coverage Rules for Mortgage Servicing Accounts
    Published Mon, Oct 13 2008 1:19 PM by
    The FDIC Board of Directors today adopted an interim final rule, effective immediately, to simplify the deposit insurance rules for accounts held at FDIC-insured institutions by mortgage servicers. Under the FDIC’s current rules, accounts maintained by a mortgage servicer comprised of principal and interest payments made by borrowers are insured based on the ownership interest of [...]
    Click Here to Read the Full Article

  • 1:19 PM » Ten who saw the meltdown coming
    Published Mon, Oct 13 2008 1:19 PM by
    This list of ten people who saw the financial meltdown coming from in the U.K. has a decidedly British slant (I've never heard of half of these fellas), but the Americans that showed up on the list are notable and very familiar (plus there's a dead Russian). Topping the list is Vince Cable, shown below. Does he look familiar to anybody aside from Dearime? Anyone ever heard of him? No matter. He surely deserves the number one spot simply for having asked Prime Minister Gordon Brown in 2003, who was then Chancellor of the Exchequer (~Secretary of the Treasury) as everyone was getting rich by climbing the property ladder, "The growth of the British economy is sustained by consumer spending pinned against record levels of personal debt , which is secured, if at all, against house prices that the Bank of England describes as well above equilibrium level. What action will the Chancellor take on the problem of consumer debt?” Obviously, aside from taking credit for the booming U.K. economy, Mr. Brown didn't take any action - this was a common response by policymakers a few years back. Here are the other well-known Americans on the list: 5. Nouriel Roubini - economics professor Aka Dr Doom, Dr Roubini is an economics professor at New York University. On September 7, 2006, at an International Monetary Fund meeting, he announced that a crisis was brewing. He said that the United States was likely to face a once-in-a-lifetime housing bust, an oil shock, sharply declining consumer confidence and, ultimately, a deep recession. Homeowners would default on mortgages, trillions of dollars of mortgage-backed securities would unravel worldwide and the global financial system would shudder to a halt. These developments, he said, would cripple major financial institutions like Fannie Mae and Freddie Mac. As Mr Roubini stepped down, his host said: “I think perhaps we will need a stiff drink after that.” They do now. 9. Stephen Roach - senior executive at Morgan Stanley In...
    Click Here to Read the Full Article

  • 1:19 PM » San Diego Sues WaMu, Seeks Foreclosure Freeze
    Published Mon, Oct 13 2008 1:19 PM by
    What’s the downside to buying a struggling mortgage lender on the cheap? Well, among other things, cleaning up their dirty past. Bank of America just pledged $8.4 billion in aid to former Countrywide borrowers, and now it looks as if Chase may have to do the same. San Diego City Attorney Michael Aguirre filed a civil compliant [...]
    Click Here to Read the Full Article

  • 10:29 AM » Credit Default Swaps Contracts 'Only' $34.8T
    Published Mon, Oct 13 2008 10:29 AM by Seeking Alpha
    submits: The Deposit Trust & Clearing Corporation folks do some weekend working debunking myths about credit default swaps (or, as I like to call them, rodents of unusual size). Among other things, the DTCC says that net Lehman-related CDS fund transfers will be closer to $6-billion than the $250 to $400-billion figures that had been bandied about last week. It also says that less than 1% of the CDS contracts extant are directly mortgage related. I'm going to come back to both of the above later today, because they actually matter in a longer post I am writing, but I was struck by the following claim:
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 10:28 AM » Subprime Writedowns and Losses for Major Financials
    Published Mon, Oct 13 2008 10:28 AM by Seeking Alpha
    I've already posted twice an aggregated caused by the sub-prime meltdown. It is time to see an updated version of losses for major financial institutions. This time I've added a column with the amount of raised capital and money infusions for the respective institutions. Altogether financial losses account for $592 billion. Up to now, raised capital and money infusion are $443 billion. You can see that since last time, the total sum has been almost tripled.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 10:27 AM » The Recapitalization of Banks: Policy Makers Finally on Right Track
    Published Mon, Oct 13 2008 10:27 AM by Seeking Alpha
    submits: After a tumultuous few weeks in the credit and equity markets, it seems that the US Treasury and Federal Reserve are finally on the right track. After some ridiculous jawboning about buying toxic mortgage securities above market prices, they have decided to use the Swedish playbook from the 1990s banking crisis in Scandinavia. This involves several steps: Injection of equity capital into the banking system; Providing confidence in the banking system to investors by providing transparent marks to illiquid securities; Taking equity stakes in firms that are strong enough to survive and liquidating those that aren’t - this helps to remove moral hazard because there is a serious price to pay if you want to remain in business and you are a financial company; Providing incentives to banks to lend their newfound capital. For more information, I will point you in the direction of the Fed’s paper located at this link:
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 10:26 AM » Spreads for Credit Cards and Auto Loans Widen Sharply
    Published Mon, Oct 13 2008 10:26 AM by Google News
    This table comes courtesy reader John, and with rapidly moving markets, who knows what the current week will bring, However, notice the sharp one week increase in spreads on credit cards and auto loans. Even if the tone of credit markets improves, these high spreads are likely to be slow to revert, further illustrating that the consumer borrowing party is coming to an abrupt close.
  • 10:25 AM » Soros: "How to capitalise the banks and save finance"
    Published Mon, Oct 13 2008 10:25 AM by Google News
    One can disagree with the particulars of this comment by George Soros, but his main point is sound. The financier argues that the Treasury Department's $700 billion Troubled Asset Repurchase Facility should be used to recapitalize banks. This blog and most economists have argued that restoring depleted bank equity is the top priority for shoring up the financial system, and the original TARP program was a costly and inefficient means to that end. The provision that will likely strike some readers as odd is Soros' call for banks to have their assets written down, then get new equity infusions to bring the ratio of equity to total assets to 8%, but then permit banks to operate at lower (unspecified) equity to total balance sheet level. The reasoning behind that is if equity is brought to a prudent level based on accurate valuations, banks will not be able to make new loans, and those balance sheet constraints would hamper growth. It is typical for bank regulators to let banks run at lower equity levels in downturns (although they usually do this in ways that are not obvious to the public at large). This is a realistic approach, but one would also hope that regulators would apply pro-cyclical capital rules in good times (ie, requiring banks to hold higher equity levels when the economy is robust. There have been proposals advanced for how that would work operationally that appear sound). From the : Now that Hank Paulson has recognised that the troubled asset relief programme is best used to recapitalise the banking system, it is important to spell out exactly how it should be done. Since it was not part of the Treasury secretary’s original approach, there is a real danger that the scheme will not be properly structured and will not achieve its objective. With financial markets on the brink of meltdown it is vital to make the prospects of a successful recapitalisation clearly visible. This is how Tarp ought to work. The Treasury secretary should begin by asking the...
  • 10:25 AM » Can the Banking System Handle Huge New Write-Downs?
    Published Mon, Oct 13 2008 10:25 AM by Seeking Alpha
    submits: As discussed in a , Bank of America agreed to offer concessions to 390,000 subprime and pay option ARM borrowers by reducing both the principal owed and/or the interest rate to a level that allows these borrowers to have a an “affordable and sustainable” monthly mortgage payment. An affordable and sustainable payment was determined to be a mortgage payment (including taxes and insurance) that would not exceed 34% of gross monthly income. With this agreement apparently setting a standard for future concessions to homeowners, consider some recent mortgage transactions/applications that I have seen. Woman wants to refinance her Connecticut home which she bought in early 2006. The home today would probably sell for no more than $260,000. Home was purchased for $305,000 with 95% financing; the current interest rate is at 11.625% and she owes $285,000. The negative equity is only $25,000. Borrower has a gross monthly income of $3,780 per month and her current monthly payment of principal, interest, taxes and insurance is $3,682 giving her a debt ratio of 97%. She is currently in arrears on the mortgage and obviously not capable of making the payment. In order for her payment to become “affordable and sustainable” with a 34% debt to income ratio, the lender would have to reduce her loan balance to $158,000 with an interest rate of 1%. If the home owner gets this deal, not only would her payment become affordable, she could also sell the house and reap a gain of $102,000. The applicant’s income is about the same today as it was when she purchased the home, so there was no drastic decline in income. Obviously, this woman should have never been approved for a mortgage in the first place; both the bank and borrower knew this.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 10:25 AM » The Budget Deficit...and Macro Policies Going Forward
    Published Mon, Oct 13 2008 10:25 AM by
    Let's assume the Treasury, the Fed and the rest of the community of international financial policymakers are able to stabilize the financial system. What are the options available, given the borrowing and spending policies of the Bush Administration? From Chowdhury and Huie, "Skyrocketing Issuance," US Economics/Strategy Weekly (Deutsche Bank, 10 Oct.) (not online): Treasury issuance is likely to increase to extraordinary levels over the past year. There are 3 components to the issuance picture. The first is the traditional federal budget, which in fiscal year 2009 is likely to increase substantially from the 2008 deficit of around $440 bn. The second are the various Treasury rescue initiatives that involve buying assets or equities; only the expected net cost will be formally recorded on the budget, but the entire gross spending amount will be added to the issuance requirement. Finally, the Federal Reserve's liquidity facilities will also add to issuance, as the Fed no longer has capacity to sell or lend the Treasuries in its portfolio; instead, going forward it will rely on the Supplementary Financing Program, where the Treasury issues bills and deposits the proceeds at the Fed, to finance its lending facilities. In total, we expect net issuance to rise to $3.3 tn over the fiscal year. Federal budget For the on-budget contribution to issuance, we are expecting a $775 bn deficit in FY 2009. This is based on the CBO baseline, adjusted for increasing baseline expenses, falling revenue (particularly from corporate income taxes), potentially large fiscal initiatives, and a fiscal stimulus package from the new Administration that would all add up to a near doubling of the traditional measure of the budget deficit. For our estimate, we are assuming $100 bn outlays for FDIC rescues and as a fiscal stimulus, as well as $35 bn above the baseline for purchases of GSE preferred stock. The actual outcome relative to our budget deficit estimate is biased upward...
    Click Here to Read the Full Article

  • Sun, Oct 12 2008
  • 5:31 PM » Wells-Wachovia tie-up OK'd
    Published Sun, Oct 12 2008 5:31 PM by CNN
    Read full story for latest details.
  • 5:16 PM » Europe Guarantees Bank Borrowing
    Published Sun, Oct 12 2008 5:16 PM by Calculated Risk Blog
    From Bloomberg: European Leaders Vow Bank Guarantees, Bid to Stop Financial Rot European leaders agreed to guarantee bank borrowing and use government money to prevent big lenders from going under ... The key measures announced today are: a pledge to guarantee new bank debt issuance until the end of 2009; permission for governments to shore up banks by buying preferred shares; and a commitment
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 5:16 PM » Misconceptions on the Credit Default Swap Market
    Published Sun, Oct 12 2008 5:16 PM by Seeking Alpha
    submits: Addresses Misconceptions About the Credit Default Swap Market: The idea that the industry lacks a central registry for over-the-counter ((OTC)) credit default swaps ((CDS)) is grossly misleading and has resulted in inaccurate speculation on a number of matters, including the overall size of the market, its role in the mortgage crisis, and the size of potential payment obligations under credit default swaps relating to Lehman Brothers. The extent to which such speculation has fueled last week’s market turmoil is difficult to determine.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 5:16 PM » JPMorgan Consistently Fares Better Than Its Peers
    Published Sun, Oct 12 2008 5:16 PM by Seeking Alpha
    submits: Often we attempt to avoid quick fluctuations back and forth in our ratings and opinions on securities. However, in the case of (JPM), we really don’t have a choice. This is a great example of prices whipsawing around value and neither winning in the end. If you look at our pricing chart…
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 5:15 PM » Five Best and Worst Global Financial Stocks, YTD
    Published Sun, Oct 12 2008 5:15 PM by Seeking Alpha
    submits: Last week was one of the worst weeks for many of the world’s stock market indices. The UK’s FTSE 100 was down a massive 26% from the previous week. France’s CAC and Germany’s DAX also plunged over 20% for the week. The Nikkei Index of Japan lost 24%. Here in the US, the Dow plummeted 18% for the week, the worst in its history.The S&P 500 Index also declined 18% for the week. Financial stocks were some of the worst performers last week. In the US, the S&P Financials Index is down a horrendous 49.70% year-to-date.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 5:15 PM » Why Did Bernanke Play Along?
    Published Sun, Oct 12 2008 5:15 PM by Seeking Alpha
    submits: Why did Ben Bernanke, widely respected among economists as both a scholar and gentleman, support a rescue plan that very few of his colleagues considered "first-best" or even "second-best"? While there was no firm consensus among economists about precisely what ought to have been done, a plan based on no-strings-attached purchases of difficult-to-value assets by taxpayers was particularly surprising. Here's being politely puzzled. correspondence with Chris Carroll, in which the Hopkins economist admits he wants to: spur Bernanke to try to provide his own views... My suspicion that he [Bernanke] thinks buying the toxic assets is a bad idea .... I think Bernanke believed all along that a recapitalization was the only effective thing that could be done, but he could not persuade Paulson of that.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 5:15 PM » Federal Reserve Balance Sheet
    Published Sun, Oct 12 2008 5:15 PM by
    The Federal Reserve’s balance sheet has undergone an explosive transformation as the central bank enngages in desperate methods to keep the system afloat. I just came across this recent posting by Professor James Hamilton at r in which he provides illuminating insight into the recent machinations which the Federal Reserve has employed to keep the system awash in liquidity. It is must reading to understand the operations of the Fed.
    Click Here to Read the Full Article

  • 4:38 PM » European Leaders Agree to Inject Cash Into Banks
    Published Sun, Oct 12 2008 4:38 PM by
    European countries, led by Germany and France, pledged to take equity stakes in distressed banks and to guarantee lending for periods up to five years.
    Click Here to Read the Full Article

  • 4:37 PM » Dallas Fed Chief: Liquidity Facilities Are Temporary
    Published Sun, Oct 12 2008 4:37 PM by WSJ
    The U.S. Federal Reserve has put in place a number of temporary facilities to inject liquidity into the financial system, which will have to be unwound at some point, Federal Reserve Bank of Dallas President Richard Fisher said.
  • 4:36 PM » HBOS says takeover by Lloyds TSB still on
    Published Sun, Oct 12 2008 4:36 PM by Reuters
    LONDON (Reuters) - Britain's biggest mortgage provider HBOS Plc said the takeover of the bank by Lloyds TSB remained on, rejecting a report on Sunday that the deal had collapsed.
  • 4:35 PM » Exploring the worst-case scenario
    Published Sun, Oct 12 2008 4:35 PM by Reuters
    WASHINGTON (Reuters) - The global economy is drawing closer to a dangerous downward spiral and time may be running out for world leaders to find a way to stop it before it inflicts lasting damage.
  • 4:34 PM » Financial markets near complete freeze
    Published Sun, Oct 12 2008 4:34 PM by Reuters
    LONDON (Reuters) - Investors will be seeing this week whether policymakers found a way to pull markets away from a deeper collapse as global capital markets faced complete freeze-up.
  • 4:33 PM » Small Business Report: Credit crunch pinches more small businesses, forcing some layoffs
    Published Sun, Oct 12 2008 4:33 PM by Market Watch
    Almost two-thirds of small-business owners said in October that the credit crunch is affecting their ability to do business, and a small portion of those said they’d been forced to lay off workers as a result, according to a survey by American Express.
  • 4:32 PM » Goldman Sachs Takes on ‘Dr. Doom’
    Published Sun, Oct 12 2008 4:32 PM by
    Goldman Sachs is squaring off with Nouriel Roubini, a professor from New York University’s Stern School of Business, over his dire outlook for the investment bank. The back-and-forth began with an opinion piece of Mr. Roubini’s that appeared on The article made a host of gloomy predictions and included the claim that Goldman’s latest capital [...]
    Click Here to Read the Full Article

  • 4:31 PM » Morgan’s Market Value Falls Below Mitsubishi Deal Price
    Published Sun, Oct 12 2008 4:31 PM by
    As of early Friday afternoon, Mitsubishi UFJ Financial Group's long-awaited investment in Morgan Stanley could more than give the Japanese bank a big stake in the embattled firm. Technically, it could buy Morgan Stanley outright.
    Click Here to Read the Full Article

  • 4:30 PM » Lehman Auction Payout: 91.375 Cents on Dollar
    Published Sun, Oct 12 2008 4:30 PM by
    Updated at 3:16 p.m. Forget a dime on the dollar. The final price for Lehman Brothers debt is 8.625 cents on the dollar. That price was set at a highly anticipated auction Friday to settle derivatives related to Lehman’s bonds. It means that the financial firms, hedge funds and insurance companies that were on the losing side [...]
    Click Here to Read the Full Article

  • 4:29 PM » Democrats Call for Massive Economic Stimulus Plan
    Published Sun, Oct 12 2008 4:29 PM by CNBC
  • 4:28 PM » UK to inject £37bn into banks
    Published Sun, Oct 12 2008 4:28 PM by
    Britain was on Sunday preparing to pump more than £37bn into four of the country's largest banks in a broad-based recapitalisation that could that could see the UK government end up with controlling stakes in Royal Bank of Scotland and HBOS. The news came as world leaders scrambled to finalise rescue plans for their banking systems before stock markets opened on Monday
  • 4:28 PM » Report: EU to Guarantee Interbank Lending
    Published Sun, Oct 12 2008 4:28 PM by Calculated Risk Blog
    From Bloomberg: European Leaders Seek `One Voice' to Counter Crisis The 15 euro countries may agree to guarantee interbank loans of as long as five years to break the credit-market freeze, according to a draft statement cited by Agence France- Presse. From the NY Times: European Leaders Meet as More Measures Extended Financial and political leaders were holding meetings across the globe Sunday,
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 4:28 PM » Paulson in a State of Panic
    Published Sun, Oct 12 2008 4:28 PM by Seeking Alpha
    submits: Bloomberg sums up the disorientation of the Treasury in two articles: and . In , I wrote that the dynamic duo has shown no consistency in their rescue methodology and sent the markets into panic with the Lehman failure and doomsday predictions related to the $700B package. Thank God they are now looking to the British for inspiration. Trouble remains in that neither the Treasury nor the Brits are giving details on bank equity purchases and the associated punishments. If the Treasury learned its lesson regarding the market’s reaction to excessively punitive help, will they retroactively ease up on the 79.9% solutions to American International Group (AIG), Fannie Mae (FNM) and Freddie Mac (FRE)? Monday (10/13) Paulson’s TARP manager Neel Kashari is scheduled to give a way forward speech. The question of fairness will surely come up if Morgan Stanley (MS), Goldman Sachs (GS) and the four anointed mega commercial banks ([[BAC]], [[C]], [[JPM]] and [[WFC]]) are able to sell equity to the Treasury on less onerous terms than AIG and the GSEs.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • Sat, Oct 11 2008
  • 10:34 PM » AIG's gallows humor gives bankers a laugh
    Published Sat, Oct 11 2008 10:34 PM by Reuters
    WASHINGTON (Reuters) - Insurance giant American International Group, on the receiving end of a multi-billion dollar bailout from the Federal Reserve, was trying hard on Saturday to look on the bright side of life.
  • 10:33 PM » Paulson warns emerging markets not immune to turmoil
    Published Sat, Oct 11 2008 10:33 PM by Reuters
    WASHINGTON (Reuters) - Treasury Secretary Henry Paulson said on Saturday that emerging market countries are not immune to the most serious global economic risks in recent memory and must be careful in their policy choices.
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