Patience + Humility + Study = Success
Cesarnc's market talk, gossips, rumours & fun
- #6,121
- Mar 9, 2008 10:04am Mar 9, 2008 10:04am
- | Joined Mar 2007 | Status: Fundamentally Technical | 4,446 Posts
- #6,122
- Mar 9, 2008 10:44am Mar 9, 2008 10:44am
- Joined Jul 2007 | Status: Never Give In | 2,518 Posts
Midterms, probably won't trademuch this week at all, and I've got interviews as well. Good pips to all.
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- #6,123
- Mar 9, 2008 10:47am Mar 9, 2008 10:47am
- Joined Jul 2007 | Status: Never Give In | 2,518 Posts
Banks face "systemic margin call," $325 billion hit: JPM 
updated 9:24 a.m. ET, Sat., March. 8, 2008
Reuters
updated 9:24 a.m. ET March 8, 2008
By Walden Siew
NEW YORK (Reuters) - Wall Street banks are facing a "systemic margin call" that may deplete banks of $325 billion of capital due to deteriorating subprime U.S. mortgages, JPMorgan Chase & Co <JPM.N>, said in a report late on Friday.
JPMorgan, which sent a default notice to Thornburg Mortgage Inc. <TMA.N> after the lender missed a $28 million margin call, said more default notices and margin calls were likely. The Carlyle Group's mortgage fund also failed to meet $37 million in margin calls this week.
"A systemic credit crunch is underway, driven primarily by bank writedowns for subprime mortgages," according to the report co-authored by analyst Christopher Flanagan. "We would characterize this situation as a systemic margin call."
The credit crisis that began about a year ago will likely intensify after Friday's weak February U.S. employment report "that most definitely signals recession," JPMorgan said.
Indeed, corporate bond spreads widened to a new record on Friday, surpassing levels seen in October 2002 during a boom in bankruptcies following the dot-com crash. U.S. employers cut payrolls in February for a second consecutive month, slashing 63,000 jobs, the biggest monthly job decline in nearly five years, the U.S. Labor Department reported on Friday.
"The weak February employment report points to an economy in recession," JPMorgan said.
The JPMorgan report included a revised bleaker forecast for subprime-related home prices. The bank now sees prices falling 30 percent, from its prior 25 percent forecast. Those prices have declined 14 percent since mid-2006, JPMorgan said.
The U.S. jobs results also came after the Federal Reserve expanded the amount of its short-term auctions to $100 billion in total in the central bank's latest effort to ease credit concerns. Ongoing concerns about bond insurers, known as monolines, and their effort to save their top ratings also are weighing on market sentiment.
(Editing by Eric Beech)
Copyright 2008 Reuters. Click for restrictions.
URL: http://www.cnbc.com/id/23534170/for/cnbc/
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- #6,124
- Mar 9, 2008 12:24pm Mar 9, 2008 12:24pm
- | Joined Mar 2007 | Status: Fundamentally Technical | 4,446 Posts
Patience + Humility + Study = Success
- #6,125
- Mar 9, 2008 3:19pm Mar 9, 2008 3:19pm
- Joined Jul 2007 | Status: C.E.O of BWR Investment firm | 4,736 Posts
Just Trade It
- #6,126
- Mar 9, 2008 3:28pm Mar 9, 2008 3:28pm
- Joined May 2007 | Status: 2 + 2 = 5 | 1,031 Posts
USD Est Non Mortuus
- #6,127
- Mar 9, 2008 3:49pm Mar 9, 2008 3:49pm
- | Joined Mar 2007 | Status: Fundamentally Technical | 4,446 Posts
Dude that is just nasty. Straight up NASTY.
but so goddamn hilarious. Check your PM
Patience + Humility + Study = Success
- #6,128
- Mar 9, 2008 3:53pm Mar 9, 2008 3:53pm
- Joined Jun 2007 | Status: Be yourself, everyone else is taken | 2,734 Posts
I think the bears are in trouble!!! here's one facing SL big time.
- #6,129
- Mar 9, 2008 4:03pm Mar 9, 2008 4:03pm
- Joined Jul 2007 | Status: Never Give In | 2,518 Posts
LMAO
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- #6,130
- Mar 9, 2008 4:04pm Mar 9, 2008 4:04pm
- Joined Jul 2007 | Status: Never Give In | 2,518 Posts
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- #6,131
- Mar 9, 2008 4:09pm Mar 9, 2008 4:09pm
- | Joined Mar 2007 | Status: Fundamentally Technical | 4,446 Posts
That ain't hot, that's dirty, nasty, skanky....whatever you want to call it!
@MPP's bear pics
Patience + Humility + Study = Success
- #6,132
- Mar 9, 2008 4:13pm Mar 9, 2008 4:13pm
- Joined Jun 2007 | Status: Be yourself, everyone else is taken | 2,734 Posts
How the "F" did that bear get up there? :surprised
This bridge is on the Old Donner Pass Highway. It has a spectacular view of Donner Lake and Donner Pass on Route 80.
A bear was walking across Rainbow Bridge (Old Hwy 40 at Donner Summit,
Truckee) on Saturday when two cars also crossing the bridge scared the bear into jumping over the edge of the bridge. Somehow the bear caught the
ledge and was able to pull itself to safety. Authorities decided that nothing
could be done to help Saturday night so they returned Sunday morning to find the bear sound asleep on the ledge.
After securing a net under the bridge the bear was tranquilized, fell
into the net, lowered, then woke up and walked out of the net.
There is a moral to this story you know; this old bear made a wrong move and found he was hanging by his nails. Somehow he was able to pull himself up onto the ledge where he saw he was in a very bad, impossible situation and what did he do? Yep, he took a nap and sure enough the situation took care of itself while he was asleep.
The moral is that when confronted with a bad situation sometimes the best solution is to take a nap...
- #6,133
- Mar 9, 2008 4:14pm Mar 9, 2008 4:14pm
- Joined Sep 2006 | Status: Trader | 2,272 Posts
How the "F" did that bear get up there? :surprised
its just money
- #6,135
- Mar 9, 2008 4:42pm Mar 9, 2008 4:42pm
- Joined Jun 2007 | Status: Be yourself, everyone else is taken | 2,734 Posts
- #6,136
- Mar 9, 2008 5:16pm Mar 9, 2008 5:16pm
Talk about market gossip, rumors and well, not so much fun for these guys
http://www.bloomberg.com/apps/news?p...syw&refer=home
http://www.bloomberg.com/apps/news?p...syw&refer=home
Carpe Divitiae
- #6,137
- Mar 9, 2008 5:27pm Mar 9, 2008 5:27pm
- Joined Nov 2006 | Status: Shoot all the clowns.. Shoot'em all | 14,520 Posts
Yo! WASSUP everybody?
Damn!!!! Two beautiful sunny 30ºC days, crowded beach, arctic caipirinhas and so many bikini well shaped girls that it could convince an atheist that there MUST be a God somewhere
Ready to rock and roll this week. Starting negotiations with a company I'm bound to buy. Challenge: To buy a $500K company with no upfront money whatsoever and make the seller thank me for the excellent deal.
Well, some guys were convinced that lending money to people who can't afford paying back is GOOD IDEA!!! Why shouldn't I?
:
Cya'round
Damn!!!! Two beautiful sunny 30ºC days, crowded beach, arctic caipirinhas and so many bikini well shaped girls that it could convince an atheist that there MUST be a God somewhere
Ready to rock and roll this week. Starting negotiations with a company I'm bound to buy. Challenge: To buy a $500K company with no upfront money whatsoever and make the seller thank me for the excellent deal.
Well, some guys were convinced that lending money to people who can't afford paying back is GOOD IDEA!!! Why shouldn't I?
:Cya'round
- #6,138
- Mar 9, 2008 5:37pm Mar 9, 2008 5:37pm
- Joined Jul 2007 | Status: Never Give In | 2,518 Posts
20:56 Trichet To Hold News Conference Today To Address Credit Crisis Sydney, March 10: The International Herald Tribune is reporting that ECB President Trichet is expected to hold a press conference later today in Basle Switzerland after meeting with G 10 central bankers. The report says that it is the same group that masterminded the joint cash injection plan last year.
Last week money markets tightened to levels not seen since December when year-end funding problems pushed up lending costs and forced central banks to take extraordinary action to resolve the credit log-jam. Analysts are saying that we are now in round three of the credit crisis, which forced the Fed to unveil new measures to ease liquidity strains on Friday. The vice chairman of the Swiss National Bank, Philipp Hildebrand warned last week that the world might be in a new, more dangerous phase of the crisis.
The IHT quoted Jesper Fischer-Nielsen, interest rate strategist at Danske Bank in Copenhagen as saying: "It"s another round of the credit crisis, some markets are getting worse than January this time. There is fear that something dramatic will happen and that fear is feeding itself." ---
Humble Lifetime Member
- #6,139
- Mar 9, 2008 5:39pm Mar 9, 2008 5:39pm
Ready to rock and roll this week. Starting negotiations with a company I'm bound to buy. Challenge: To buy a $500K company with no upfront money whatsoever and make the seller thank me for the excellent deal.
.I've got an interesting doc I can send ya on a cheeky strategy for just such an occasion if you're interested.
Carpe Divitiae
- #6,140
- Mar 9, 2008 5:40pm Mar 9, 2008 5:40pm
- Joined Jul 2007 | Status: Never Give In | 2,518 Posts
Yo! WASSUP everybody?
Damn!!!! Two beautiful sunny 30ºC days, crowded beach, arctic caipirinhas and so many bikini well shaped girls that it could convince an atheist that there MUST be a God somewhere
Ready to rock and roll this week. Starting negotiations with a company I'm bound to buy. Challenge: To buy a $500K company with no upfront money whatsoever and make the seller thank me for the excellent deal.
Well, some guys were convinced that lending money to people who can't afford paying back is GOOD IDEA!!! Why shouldn't I?
Cya'round
Humble Lifetime Member