An eclectic brew of reads today:

• One Year Later… (Market Talk)
• Lessons NOT to learn from anniversaries (Marketwatch)
• 43% have less than $10k for retirement (CNN/Money)
• Europe bars Wall Street banks from government bond sales (Guardian)
• Why every nation cooks its books (MSN)
• Whither securitization? (The Deal)
• Slashing the Deficit without Massive Tax Hikes (BusinessWeek)
Ack! Analyst: Dish May Have To Shut Down 8M DVRs After TiVo Legal Loss (MultiChannel)
• Vineyard Defaults Surge as Lost California Land Values Undermine Napa Wine (Bloomberg)
• Data Underload: Famous Movie Quotes  (Flowing Data)

What’s filling your visual field?

Category: Financial Press

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

25 Responses to “Tuesday Reads”

  1. Brian B says:

    CFTC Chief Calls for New Credit-Derivatives Rules

    Commodity Futures Trading Commission Chairman Gary Gensler on Tuesday said the U.S. could adopt new regulations for credit-default swaps, the derivative often blamed for the near-collapse of American International Group Inc. during the financial crisis.

    Mr. Gensler’s comments, to be made in a speech later Tuesday at a New York conference held by Markit, come as the European Union’s executive arm threatened to ban some credit default swaps in a swipe at speculators who made huge bets against the euro amid Greece’s debt crisis.

    His speech outlined several options for reining in credit-default swaps. But Mr. Gensler didn’t suggest that the U.S. would go as far as banning some speculative uses of the products.

    In addition to the central clearing and trade execution already under consideration by U.S. policy makers, Mr. Gensler said bank capital regulation should be modified to allow only credit-default swaps that are subject to collateral requirements if they’re being used for a bank’s capital-relief purposes. That idea is similar to a suggestion from the European Commission, which could require banks to hold larger amounts of capital against potential losses.

  2. Mr.E. says:

    Next shoe to drop?

    States, Cities Likely to Slash Jobs As Stimulus Dwindles

    http://www.cnbc.com/id/35777695

  3. willid3 says:

    with labor markets ,,,,’improving’ see what happens to small business?
    http://econompicdata.blogspot.com/2010/03/small-business-outlook-subdued.html

  4. NEW YORK (CNNMoney.com) — Chevron Corp., the second largest U.S. oil company, announced on Tuesday that it would cut 2,000 jobs this year amid challenging market conditions.

    The company said the cuts come as a part of its plans to boost earnings by lowering costs, exiting unprofitable markets, and streamlining its business.
    http://money.cnn.com/2010/03/09/news/companies/chevron_jobs/index.htm
    ~~
    By Kiyoshi Takenaka and Franklin Paul

    TOKYO/NEW YORK, March 9 (Reuters) – Sony and Samsung announced plans to introduce 3D televisions in coming months, betting they will become the next hot products in an increasingly crowded electronics industry.

    Sony Corp (6758.T) hopes 3D models will make up 10 percent of more than 25 million LCD TVs it aims to sell in the next fiscal year. The maker of the PlayStation 3 game console also plans to release 3D game software in time for its 3D TV launch in June.

    Samsung Electronics Co Ltd (005930.KS), the industry leader for flat-screen TVs, will begin U.S. sales of 46- and 55-inch 3D TVs this month, with other models coming over the next several months.

    “It will likely be ardent game players who will first buy 3D TVs as an early adopter,” said analyst Alex Oh of Hanwha Securities in Seoul…
    http://www.reuters.com/article/idUSN0922582320100309
    –it’ll give the unemployed a(nother) diversion?
    ~~
    By TOM MALITI, Associated Press Writer Tom Maliti, Associated Press Writer – Mon Mar 8, 3:43 pm ET
    NAIROBI, Kenya – The head of the International Monetary Fund on Monday proposed a plan for the world’s governments to pool together to raise money needed to adapt to climate change, a rare step for an organization that normally does not develop environmental policies.

    IMF Managing Director Dominique Strauss-Kahn said the Fund is concerned about the huge amount of funding needed and the effect that will have on the global economy. He added that the proposal may help efforts to reach a binding agreement on climate change later this year.

    Strauss-Kahn proposed that countries adopt a quota system similar to the one the Fund uses to raise its own money, which could bring in money faster than proposals to increase carbon taxes or other fundraising methods…
    http://news.yahoo.com/s/ap/20100308/ap_on_bi_ge/af_imf_climate_change

    “Never let a good (real, or imagined) Crisis go to waste” ~Rahm Emanuel, 44′s First Draft Pick.

  5. TakBak04 says:

    Fears Of A Second Crash Are Real, But Congress Lacks Appetite For Action
    by Danny Schechter | March 9, 2010 – 10:53am | permalink

    What will it take? What are they waiting for? What part of the reality of a systemic crisis that will get worse don’t they get?

    How is it possible that after near three years of economic turmoil, with possibly hundreds of TRILLIONs down the rabbit hole–not that anyone is counting or apparently can count–that the geniuses who run our economy still don’t “get” that the sh*t has already hit the fan? How many more jobs and homes have to be lost?

    Michael Moore is not the only one predicting a second crash. Paul Krugman is all out of words excoriating the Administration for its tepidness. Nouriel Roubini, who forecast the first meltdown, now says we are in serious danger of a “double-dip,” a lethal combo of rising inflation and deeper recession.
    This past week, the Roosevelt Institute sponsored a conference over at the Time Warner Center called “Make Markets Be Markets” (Makemarketsbemarkets.org), published a book of essays and heard from a who’s who in the world of influential economists and analysts who gave high powered presentations, one after another, each more lucid than the next.

    There was enough brainpower in the room to save the economy, but, alas, no one seems to be listening. Some business media were there collecting sound bites, but the urgency of the warnings did not transcend the limits of the bubble of financial journalism.Read More at……

    http://www.smirkingchimp.com/

  6. The Obama administration will accept no more public input for a federal strategy that could prohibit U.S. citizens from fishing the nation’s oceans, coastal areas, Great Lakes, and even inland waters.

    This announcement comes at the time when the situation supposedly still is “fluid” and the Interagency Ocean Policy Task Force still hasn’t issued its final report on zoning uses of these waters.

    That’s a disappointment, but not really a surprise for fishing industry insiders who have negotiated for months with officials at the Council on Environmental Quality and bureaucrats on the task force. These angling advocates have come to suspect that public input into the process was a charade from the beginning…
    http://sports.espn.go.com/outdoors/saltwater/news/story?id=4975762
    public input into the process was a charade from the beginning…
    ~~
    Eileen Danneman has uncovered document showing that the US Health and Human Services secretary Kathleen Sebelius has extended the pandemic emergency to 2012 on March 5th, 2010, with little or no attention from the media…
    http://www.theflucase.com/index.php?option=com_content&view=article&id=2944%3Aus-extends-pandemic-emergency-to-2012&catid=1%3Alatest-news&Itemid=64&lang=en
    ~~
    (Reuters) – The Dutch government wants to sell 21 million unused H1N1 flu vaccine doses back to their manufacturers after they proved unnecessary and no other country wanted to buy them, the Health Ministry said on Saturday.
    A spokeswoman for the ministry said it had approached manufacturers GlaxoSmithKline and Novartis about buying back the doses.
    She added that it was not clear what their total value was. She also declined comment on the status of the talks, saying the ministry would inform parliament of the details at a later date.
    At the height of the H1N1 scare, the ministry ordered 34 million doses of pandemic flu vaccine — enough to give two shots to every person in The Netherlands.

    Of the original order, about 11 million doses were administered and another 2.2 million are being kept in reserve for emergencies…”
    http://www.reuters.com/article/idUSTRE6251NW20100306
    ~~

    Are We being lied to? What part of Executive Branch totalitarianism fits w/ ‘Partcipatory Democracy’ and/or ‘Representative Republic’?

  7. Aaron says:

    BR: I cam across this article by Mary Walsh in today’s NYT on how public pension funds are shifting their assets into riskier investments in order to raise returns based on overly optimistic assumptions (i.e., 8% returns):

    http://www.nytimes.com/2010/03/09/business/09pension.html?pagewanted=2&em

    Public pension funds should put their money to work in domestic oil and gas MLP’s with high paying dividend yields. That’ll solve their return problem right there. Obviously, that’s my opinion and I could be wrong.

  8. http://finviz.com/screener.ashx?v=111&f=fa_div_o8,sec_basicmaterials,sh_opt_option

    Aaron,

    yours is a good Q:. simple Buy/Writes, on those issues, should get them deep into the ‘teens, return-wise..

    add that to fading some Calls off their USTreas-complex Bond holdings and they could take some of ‘risk’ out of the equation and, still, be +xx%/annualized..

    maybe I’m mis-remembering, but wasn’t this s**** the basis of a Cub Scout merit badge?

    differently, the pension funds are nothing more than fee-udders, at the min., for the Street to suckle..

  9. OkieLawyer says:

    Crystallized Natural Gas Holds Huge Potential

    The big advantage to these crystals, known as methane hydrates, are their abundance. They are found beneath the sea floor off every continent, and under the arctic tundra.

    Plus, they’re estimated to hold twice as much carbon as all the known reserves of oil, coal and natural gas combined.

    “The potential is enough to power humanity from now until the asteroid hits,” said Peter Tertzakian, chief energy economist at ARC Financial, a Calgary-based private equity firm.

  10. Proof that hockey is an obsession in Canada:

    Bathroom breaks could wait during gold-medal match

    Edmonton’s water levels saw major spikes and drops during big game

    http://www.theglobeandmail.com/news/national/bathroom-breaks-could-wait-during-gold-medal-match/article1494358/

  11. @Mark E Hoffer

    yours is a good Q:. simple Buy/Writes, on those issues, should get them deep into the ‘teens, return-wise..

    Doesn’t somebody have to take the other side of that trade though? You have to remember that these are the elephants in the market and there are only so many stupid elephants that they can sell to

  12. [...] – Further, further reading. [...]

  13. Assassin says:

    The “Whither securitization?” article was very good and understandable; thanks for the suggestion.

  14. ToNYC says:

    New Credit Derivative rules? No worries…CDS swaps are easily self-regulated. All participants get P-I-K’d.
    They will live by eating their own dogfood and collect their pensions by swapping their USTs for the HELOCs backing underwater Firsts. It’s only fair that they clean up their mess. Take a page from parole violator and scofflaw capture trick..hold a meeting o give out the bonuses, then grab their swag to replace the trash they invented. GS and JPM’s BSDs should step up to the head of the line….

  15. HTCMSI,

    yours is good Q:, too..

    if you see http://finance.yahoo.com/q/op?s=BPT the Options Chain is lightly traded..

    but, with Options (like the Underlying, itself) there are Pricing formulae.

    and, if they so chose, they could Offer ‘more attractive’ pricing, at the min., to stimulate Demand..

    also, note, I mentioned, as well, ” fading some Calls off their USTreas-complex Bond holdings and they could take some of ‘risk’ out of the equation and, still, be +xx%/annualized..”

    part of the ‘risk’, alluded to, but not specified, is ‘Market Liquidity’..

    the deriv.s Mkt. for USTreas-complex Securities is the deepest one known..
    ~~
    past that, you bring up the Q: “Why do they, even, need “the Mkt.”, at all?

    why couldn’t these ‘Elephants’ buy an ‘Oil Producer’, a ‘Utilty’, a ‘Home Builder’, a ‘Long-Term Care Provider’, a ‘Generic Drug Manufacturer’, etc. to, more directly, provide the ‘benefits’ to their ‘beneficiaries’? Cash, as we know, comes at a Cost..

    this: “the pension funds are nothing more than fee-udders, at the min., for the Street to suckle..”, may be one of the Answers..

  16. @MEH

    That is what the Canada Pension Plan is doing. Buying things like ports and airports outright for the cash flow. They are getting a good return from it too. The US SS should be using their formula

  17. Investradamus says:

    Body of Sequent Energy Management President, Doug Schantz, found in Mississippi River
    http://abcnews.go.com/Business/missing-houston-executive-douglas-schantz-spotted-orleans/story?id=10052583

    Sad story. I met him last month at UH. Sequent is sponsoring the Distinguished Leaders Series there where successful executives from large O&G companies come to speak and also provide a networking opportunity for students. It’s a great program. CenterPoint Energy’s CEO was supposed to speak tonight and I would have seen Mr. Schantz there. The event has been understandably canceled though. He seemed like a genuinely really nice guy.

  18. flipspiceland says:

    I can’t bear to read Paulson’s excuses, lies, hedges, and revisions of his history so I read this guys review
    to much better use of my time:

    http://www.tnr.com/book/review/inside-man?page=0,1

  19. VennData says:

    You won’t see this in the MGM (“Mainstream” Gold Media…)

    Fed Positions to Pare Back Assets

    http://online.wsj.com/article/SB20001424052748704869304575109492345318442.html

    N.Y. Fed’s Repo Move Clips Gold

    http://online.wsj.com/article/SB20001424052748704869304575109191726982532.html

    Money Funds Cheer Reverse-Repo Shift

    http://online.wsj.com/article/SB20001424052748703954904575109930532369018.html