"The game is over”: collateralized loan obligations not wanted; record defaults loom

Discussion in 'Wall St. News' started by ByLoSellHi, Mar 15, 2009.

  1. Thus the "hangover" becomes real....

    Makes one wonder what the politicos will try to " sell " US creditors such as China....when items such as this are "front page news" everyday....

    ie Summers tried to sell CDOs to other Sovereign Funds after CDOs began to fail....just before commencing in govt....

    Why should any foreign govt. believe anything Summers is involved in ?
  2. zdreg


    why should any american or Europeans buy their government paper?
  3. When the "hijacking" of individual retirement accounts comes into law, (within 18 months or so), there will be a wider choice of mandatory instruments! I said hijacking, not confiscation: Only some percentage of retirement account assets will be required to be allocated to the mandatory instruments.

    Once unthinkable, now unstoppable
  4. It´s worth to take a look at Net Interest Margin for U.S. Banks during recessions with average assets greater than $15B :


    What do you think is BOFA´s Ken Lewis refering to, if he is predecting expected $50 billion profit this year ?

    You got the answer right in front of you.

    Banks’ net interest margin rises during recessions because

    1) the central bank reduces their cost of funds and

    2) spreads widen. That is what happened during the past two recessions,

    CLO´s will be refinanced but with much higher "risk premium". Defaults are not to be ruled out but the time to make it look armageddon like is over !
  5. amazing, and it hasn't finished falling

    S&P/LSTA U.S. Leveraged Loan 100 Index http://www.lsta.org/
  6. Bloomberg is always a little bearish.
  7. Lately, I am reading headlines like the following :

    Moody's Sued Over Bad Ratings - Teamsters class action lawsuit ...

    Moody's, S&P and Fitch Are Sued by Connecticut...

    Moody's sued over inaccurate subprime-backed bond ratings ...

    Moody's Investors Service and Fitch Ratings sued by the National Community Reinvestment Coalition ...

    Moody’s Investors Can Pursue Securities Fraud Class Action Lawsuit Accusing the Credit Rating Agency of Falsely Claiming Independence....


    When will finally these rating agencies be wiped off this planet ?:mad:
  8. Of course....goes back to the old addage that bad news sells newspapers.

    And we all can count on ByLo to copy every single fatalistic article he can find (does he have any time for trading or anything else) into a new thread on ET.

    It's actually becoming laughable.....I can pick out a ByLo thread just by reading the sensationalistic headline.

    "S&P going to 0!!!"

    "The U.S. to slide into chaos and anarchy!!"

    I guess hell will freeze over before he posts something bullish, or posts something relevant to trading on Elite Trader (evidently, he hasn't found EliteAnalyst.com or Elitecutandpaste.com yet). :D
  9. you're implying that newspapers are intentionally not reporting the good news. so tell me, what's the good news out there that they're withholding from us?

    i sure don't remember it like this back in 99-2000 when almost every article was bullish.
    #10     Mar 15, 2009