Wednesday Reading
Now that I am back at my desk, here are some quick reads:
• Chanos Condemns ‘Monstrous Idea’ That Banks Love (Bloomberg)
• Under Attack, Fed Chief Studies Politics (NYT)
• Rosenberg: U.S. unemployment rate headed for 12.0-13.0% (Credit WriteDowns)
• Attention Lloyd Blankfein: The Public Purpose of Banking (Marshall Auerback, New Deal 2.0)
• How the middle class are shoplifting to keep up appearances (Times)
• Timeline: Steve Jobs’ greatest hits (Fortune)
• For whom the net tolls: Rupert Murdoch wants to remake the web as a toll both, with him in the collector’s seat, but the net won’t shift to his will
• $h*t my dad says: I’m 29. I live with my 73-year-old dad. He is awesome. I just write down shit that he says (Twitter) Hysterical!
What are you reading?
November 11th, 2009 at 3:35 pm
Wow, that article about shoplifting being on the rise takes the whole term of “keeping up with the Joneses” to a new level.
November 11th, 2009 at 3:39 pm
is Rosie right?
http://www.businessinsider.com/rosenberg-heres-why-unemployment-is-going-to-13-2009-11
November 11th, 2009 at 4:05 pm
That 73 year old guy is a hoot.
November 11th, 2009 at 4:07 pm
Key oil figures were distorted by US pressure, says whistleblower
http://www.guardian.co.uk/environment/2009/nov/09/peak-oil-international-energy-agency
November 11th, 2009 at 4:11 pm
I am reading a confirmation of my views on optimal choices in a cannibalistic society:
http://www.dailymail.co.uk/news/worldnews/article-1226694/Russian-cannibal-ate-mother-given-lighter-sentence-judge-says-starving-needed-eat.html?ITO=1490
To wit:
“Sergey Gavrilov, 27, secured reduced time in jail after confessing: ‘I did not like the meat very much. It was too fatty. But I was so hungry, I had to eat it.’”
Remember, don’t go for the empty calories. Eat the lean.
November 11th, 2009 at 4:12 pm
Rosie is correct, maybe a bit low even. Has anyone noticed the amount of layoff announcements this week and last has been rising? More announced today AH.
Full disclosure: opened SDS position at 36.60 today.
November 11th, 2009 at 4:14 pm
November 10, 2009: This year’s Leonid meteor shower peaks on Tuesday, Nov. 17th. If forecasters are correct, the shower should produce a mild but pretty sprinkling of meteors over North America followed by a more intense outburst over Asia. The phase of the Moon will be new, setting the stage for what could be one of the best Leonid showers in years.
“We’re predicting 20 to 30 meteors per hour over the Americas, and as many as 200 to 300 per hour over Asia,” says Bill Cooke of NASA’s Meteoroid Environment Office. “Our forecast is in good accord with independent theoretical work by other astronomers.”1
http://science.nasa.gov/headlines/y2009/10nov_leonids2009.htm?list1012199
November 11th, 2009 at 4:16 pm
Will Lady Justice Weigh In on The Greatest Heist in History?
http://wallstcheatsheet.com/breaking-news/will-lady-justice-weigh-in-on-the-greatest-heist-in-history/?p=3594/
Systemax Shows Strength as Best Buy’s Dark Horse Competitor
http://wallstcheatsheet.com/trading-markets/the-edge-systemax-shows-strength-as-best-buys-dark-horse-competitor/?p=3615/
November 11th, 2009 at 4:16 pm
@MRegan: Then one must avoid American meat at all costs, no?
November 11th, 2009 at 4:20 pm
That Twitter post is great.
November 11th, 2009 at 4:43 pm
Too little, too late (hey, this was five minutes worth of “stream of consciousness”) — with time I bet I could have easily listed a hundred more…
http://www.ritholtz.com/blog/2009/11/damn-annoying-traveling-the-us-by-air/#comment-233942
November 11th, 2009 at 4:55 pm
Barry’s post on internet freedom of speech/anonymity revisited:
http://www.zerohedge.com/article/more-attacks-online-free-speech-justice-department-subpoenas-sites-visitors-ip-addresses
Interesting that the US Attorney involved may not have followed DOJ policy with the subpoena.
And (SPOILER ALERT) a funny link to a summary of the Season 3 finale of Mad Men:
http://www.bestweekever.tv/2009-11-09/the-mad-men-season-finale-recap-sit-down-have-a-seat-sht-just-got-real/
November 11th, 2009 at 4:55 pm
the Bloomberg “Mostrous Idea” article- a must read-
highlights the ABA’s efforts to promote banking accounting standards to be placed in the hands of the regulators of the banks-
so- if it looks bad- the regulator can cancel mark to market and change it to mark to fantasy so bad assets can stay on the books at inflated values (sound familiar)-
the difference is- now it would be any easy decision from a regulator- not a difficult process that needs congressional action-
how would anyone know what to believe coming out of a bank if the standards are not consistent and are changed when necessary to make banks look solvent when they are not?
answer- they won’t
bad enough that congress can force the FSAB to change standards for the banks- let’s don’t make it any easier-
sheeeesh
November 11th, 2009 at 5:03 pm
this headline is so fucking stupid- from Bloomberg-
“S&P 500 Index Advances to 13-Month High on China Growth, Rate Speculation”
ok- so- is it news that ZIRP will be around for a long, long, long time? Is it news that China is building shit so people have something to do?
if someone thinks this is news they have just woken up from a 6 month coma-
headline should read- “Market Makers (who are the market) Decided to Bid Up Stock Prices Yet Again Today”
November 11th, 2009 at 5:10 pm
Op-Ed Columnist
Virtuous Bankers? Really!?!
By MAUREEN DOWD
http://www.nytimes.com/2009/11/11/opinion/11dowd.html
Goldman Sachs and the rest of the gang of criminals are not going to know what hit them. Their arrogance, greed, gross manipulation of politicians and government officials is finally reaching critical mass.
It is becoming a “cause celebre” with the Main Street Media. Blankfein’s “God’s Work” comment is right up there with John Lennon’s “The Beatles are more popular than Jesus.” remark. It really doesn’t matter if it was taken out of context or not. Its arrogance rings too close to the truth. The damage is done.
Outlandish bonuses, unconscionable financial policies and unadulterated arrogance are turning individuals from all walks of life against the investment banking elitism.
Folks who never wanted to know or understand the intricacies of investment banking regulation and the risks of Too Big To Fail banks and hedge funds are beginning to understand how America has been fleeced, who is responsible and why we will risk even worse crashes in the future if something drastic is not done to change the present fraudulent and corrupt system.
A collective realization is developing that nobody is safe as long as the banking system continues to operate in its present form. It is rapidly creeping into the psyches of the ordinary man that something is not right when a bank borrows money for free, charges its customers 30% and our leaders in Washington look the other way. How can they get away with it unless everyone is on the take?
Ordinary folks clearly understand that Goldman Sachs and the other Big Bankers do not help the economy to grow. It doesn’t take a genius to understand that one when both bank bonuses and unemployment rates are at all time highs.
While our President and his advisors may not have the courage to go up against the bankers, some of his strongest supporters apparently do. Robert Reich, Arianna Huffington, Maurine Dowd, more everyday are reaching a point of disgust. I see the decay within our governmental institutions, the corruption of our officials and the decline in values in our society that banker’s greed, money and lobbyists have wrought.
Obama may prove to be too timid to go up against the rich and power folks who hold his purse strings. He may elect to get out of the way and let others lead. Vote “Present”. A tragedy because he could have been a contender. He could have been (and still might become) the leader who takes this nation to a higher moral ground. Instead he is proving to be perhaps just another in a long line of Chicago politicians who works the system.
Watch out because the steamroller is gathering momentum. Next you will observe politicians clamoring to get on board, stating that they have supported the break up the big banks all along. They will be calling Geithner up to the Hill and make a public display of castigating him for his obvious failings and lack of courage.
Its going to happen. I can feel the momentum growing.
November 11th, 2009 at 5:16 pm
bsneath-
hope you’re right and a populist movement against the banks grows big enough to scare the politicians “straight’
re Geithner- i would like to see him just get fired and replaced w/ a non-Kool-Aid drinker
November 11th, 2009 at 5:18 pm
The Twitter guy’s Dad’s picture looks like Randy Newman, which explains everything.
November 11th, 2009 at 5:24 pm
“Kudlow: Is US Addicted to Easy Money?”
duh
November 11th, 2009 at 5:31 pm
Recommend:
http://www.boingboing.net/2009/11/11/goldwag-i-was-a-teen.html#more
Also WRT to Straussian thought-a primer
http://en.wiktionary.org/wiki/sophistry
November 11th, 2009 at 5:38 pm
@MRegan:
As in, “Senator Dodd”s Financial Reform Bill is a sophistry-cated piece of work.”
November 11th, 2009 at 5:46 pm
Mr. Neath-
Precisely.
MRegan
November 11th, 2009 at 6:36 pm
why did quality banks/institutions agree (citi, bofa vs gs, ms) with diluting accounting rules? What is the difference between them and bad ones? May be all of them are bad institutions. Is there any organization which fights for small investors?
November 11th, 2009 at 6:45 pm
“…Market Dilution via Endemic Corruption and Fraud
Definition: Dilution: A thinned or weakened state.
It seems like Matt Taibi’s recent article in the Rolling Stone has reminded everyone that we still have a problem with ‘naked shorting’ with the SEC being the biggest joke in town. Jim Puplava did a great Crime of the Century series of interviews last year with the likes of Bud Burrell and Patrick Byrne.
I would advise anyone who missed them to give them a listen to get just an inkling of the systemic corruption that pervades the markets. Bud Burrell, a very sharp guy, believes there is one naked counterfeit share for every legitimate share in the US markets. You may want to read that last sentence again. Scary indeed! Even with all the will in the world, the SEC would be farting in the wind against such endemic larceny.
Markopolos summed up the financial mafia succinctly enough during the Madoff Testimony:
“Government has coddled, accepted, and ignored white collar crime for too long. It is time the nation woke up and realized that it’s not the armed robbers or drug dealers who cause the most economic harm, it’s the white collar criminals living in the most expensive homes who have the most impressive resumes who harm us the most. They steal our pensions, bankrupt our companies, and destroy thousands of jobs, ruining countless lives.” Harry Markopolos in Congressional Testimony
Links: …”
http://www.financialsense.com/fsu/editorials/2009/1103.html
“…I mention the PMs, as interesting developments look like they may currently be coming to a head in the Comex and ETF markets. Through the work of GATA and others, it is becoming more evident that gold and silver fraud is prevalent both in the paper derivative and physical bullion markets. Some salient points that have come to light are:
- Physical Bullion Inventory Shortage; there are signs of increasing physical bullion liquidity problems at major trading exchanges such as the Comex and the LME, as evidenced by ‘significant lumpy transactions’, increasing price volatility, the reemergence of non-LBMA-purity coin melt bars and generous 25% premium cash settlement offers to futures contract holders rather than physical deliveries (Kirby, Willie). Also there have been requests for repatriation of offshore sovereign reserves. Germany and Switzerland are reportedly demanding the return of their custodial gold from the U.S. plus Hong Kong and Dubai are also planning to withdraw their bullion holdings from UK depositories.
- Growing Suspicion of ETFs; closer inspection of the GLD and SLV ETF Prospectus’ show incongruencies pointing towards the conclusion that the paper shares may not be fully backed by physical gold or silver (Kim, Mayer). Some even point to these funds being derivative paper trading tools complicit in the ongoing physical bullion price suppression. It is interesting to note that some custodians of the ETFs are also some of the main holders of substantial market short positions. Greenlight Capital has notably sold $500 million of the GLD ETF and bought physical bullion although they downplay the risk angle and attribute the action to fee cost savings.
- Double Allocation of Physical Gold; Adrian Douglas in ‘How much imaginary gold has been sold?’ (Part1, Part2) …”
LSS: if you have the majority of your ‘Wealth’ represented by digital print-outs of electronic dots-’n-dashes, remember, it’s, only, your ‘Wealth’ at risk..
November 11th, 2009 at 7:31 pm
Via Prieur du Plessis today ( http://www.investmentpostcards.com/) :
Read same article as Michael M above today at Guardian UK:
Terry Macalister (Guardian): Key oil figures were distorted by US pressure, says whistleblower, November 9, 2009. http://www.guardian.co.uk/environment/2009/nov/09/peak-oil-international-energy-agency
And started the Arlidge interview with Blankfein of Goldman Sachs “I’m doing ‘God’s work’. Meet Mr Goldman Sachs”:
http://www.timesonline.co.uk/tol/news/world/us_and_americas/article6907681.ece
November 11th, 2009 at 7:49 pm
Barry,
Shit My Dad Says should replace your “Quote for the day”
DO I HEAR A SECOND!!!!!!
November 11th, 2009 at 7:57 pm
Rock Music Quality vs. US Oil Production, 1949-2007
http://gawker.com/5402172/the-shake-rattle-decline-and-fall-of-american-empire
November 11th, 2009 at 7:57 pm
the new normal?
http://economistsview.typepad.com/economistsview/2009/11/will-there-be-a-new-normal-for-unemployment.html
November 11th, 2009 at 7:58 pm
recovery 2013?
http://moneywatch.bnet.com/economic-news/blog/maximum-utility/the-long-road-to-recovery-2/120/
maybe
November 11th, 2009 at 7:58 pm
new UE rate? 21%?
http://moneywatch.bnet.com/saving-money/blog/home-equity/recession-over-not-with-21-percent-unemployment/1194/?tag=main-edit;main-edit-river
November 11th, 2009 at 8:07 pm
job and equities?
http://econompicdata.blogspot.com/2009/11/job-market-and-equities.html
November 11th, 2009 at 8:08 pm
companies taking over the market?
http://economistsview.typepad.com/economistsview/2009/11/powerful-interests-are-trying-to-control-the-market.html
November 11th, 2009 at 8:10 pm
federal deficit?
http://delong.typepad.com/sdj/2009/11/doug-elmendorf-on-the-federal-deficit-mess.html
November 11th, 2009 at 8:27 pm
http://theburningplatform.com/economy/for-what-its-worth
November 11th, 2009 at 8:42 pm
It isn’t just your toxic Chinese house building materials….
http://abcnews.go.com/Health/MensHealthNews/bpa-linked-sexual-dysfunction-men/story?id=9048200
Plastic Bottle Chemical Tied to Male Infertility
While environmental groups have sounded the alarm about the presence of bisphenol-A, or BPA, in products such as infant formula, baby bottles and other plastics, a new study provides some of the first evidence that the chemical can be harmful to humans, linking it to sexual dysfunction in men in high doses.
A new study finds a link between the chemical and erectile dysfunction.Researchers looked at 550 factory workers in China, some of whom were exposed to BPA as part of their job, and found that men who worked with BPA were four times more likely than their counterparts who did not work with the chemical to report some level of sexual dysfunction.
…And the Chinese want our ban on certain meats lifted? hee, hee, hee…..
November 11th, 2009 at 8:44 pm
@MEH:
My wife and I will both be watching the Leonids….should be fun.
November 11th, 2009 at 8:47 pm
You can tell when Barry loses his reading glasses, we get the large print edition…
November 11th, 2009 at 10:23 pm
And we get the word “Socks” instead of “Stocks”……all day.
November 11th, 2009 at 10:24 pm
Even Forbes Magazine is getting pissed off at Goldman.
http://www.forbes.com/2009/11/10/economy-health-care-banks-opinions-columnists-dan-gerstein.html
November 11th, 2009 at 10:39 pm
@Mark E Hoffer Says:
November 11th, 2009 at 4:14 pm
November 10, 2009: This year’s Leonid meteor shower peaks on Tuesday, Nov. 17th.
———-
Says they will be better viewed over Asia but it’s still worth it, if one can to try to see some here. Back in ‘01 or 02 they were strong here in North America and the media did nice job of predicting. We were on vacation at a SC Island (no distracting lights from town or city) and got up at 3AM made some hot chocolate and went out down the boardwalk to the beach. We were surprised to find so many others who came out at the same time to view them. It started slow …but in about an hour we were treated to a realy sky show. It’s not like fireworks on July 4th…it’s more simple but lovely to watch…with the anticipation in the quiet dark of the “wee hours.”
It was a treat. I hope others will set that alarm…make some hot chocolate and venture out. It’s a commune with nature that is a real treat. It’s more spectacular if you don’t live near “city lights” …but sometimes if you are in a smaller city you can drive out away from where you live to where the real “dark” is and perhaps catch a view. If there is a hill nearby, that’s a good spot.
November 12th, 2009 at 1:01 am
very good piece by Shirky about the decline of accountability journalism, in the press mainly, but the fundamentals applies to tv and radio too. All of MSM. Brings a counter-view to the classic conspirational MSM is bought.
http://www.shirky.com/weblog/2009/03/newspapers-and-thinking-the-unthinkable/
November 12th, 2009 at 1:21 am
Large Hadron Collider: Damaged by a Time-Traveling Bird?
Sometime on Nov. 3, the supercooled magnets in sector 81 of the Large Hadron Collider (LHC), outside Geneva, began to dangerously overheat. Scientists rushed to diagnose the problem, since the particle accelerator has to maintain a temperature colder than deep space in order to work. The culprit? “A bit of baguette,” says Mike Lamont of the control center of CERN, the European Organization for Nuclear Research, which built and maintains the LHC. Apparently, a passing bird may have dropped the chunk of bread on an electrical substation above the accelerator, causing a power cut. The baguette was removed, power to the cryogenic system was restored and within a few days the magnets returned to their supercool temperatures….