lazzybum

Monday Options Recap

Whoever follow the bullish flow of MBI were in deep dodo.

Ken Lewis and the Regulators

Felix may be a Monday morning quarterback, and he may not have the first hand experience. Are you saying all movie critics must be an actor or a director before he writes anything.

On Nov 10 10:35 PM User 445568 wrote:

> richardmaxson@sbcgloba...
>
> Felix:
> I find that the easiest thing one can do is sit back and play Monday
> morning quarterback. All things considered, could you imagine the
> stress Mr. Lewis was under as the banking system was coming down
> around our collective ears. Even with all that was happening, Lewis
> managed to acquire two major companies that will prove to be major
> assets to the bank. Perhaps, when you choose something to write about
> in the future, do so with respect to something with which you might
> have had some first hand experience.

Fannie's Tax Credit Sale to Goldman: No Deal

Bruce think we are idiots with this blog. Based on the comments, there is only one idiot among us.

Time for FDIC to Back Off Citi

How about Obama ?


On Oct 10 03:09 PM Fourpenny Guy wrote:

> We are a society that seems to like the least experienced individuals
> in positions of power. Palin and Pandit are two examples. Citi fans
> will say that Pandit inherited Citi's problems. However, Pandit has
> no CEO experience, or the rolodex that a Clinton or Kennedy would
> have. As a result:
>
> -Pandit lost Wachovia and ultimately Smith Barney because he is not
> a seasoned leader. Wells Fargo outfoxed Citi in that deal.
>
> -Pandit turned down an opportunity to acquire Goldman Sachs. Again,
> Pandit failed to see the big picture, and turned down that opportunity.
>
>
> -Citi sold 51% of Smith Barney to the much smaller Morgan Stanley,
> which has zero experience running a large brokerage firm. The deal
> is marketed as a joint venture, but Morgan will ultimately own Smith
> Barney. Pandit's sale of Smith Barney to Morgan Stanley jeopardizes
> clients, because Morgan does not have the depth or expertise that
> Citi has, nor do they have a bank. Morgan also lags in client service,
> and technology as well. In two years, when the platform is built,
> and the overconfident Morgan Stanley tries to run a business it never
> has, I would guess clients will run for the exits. Thus, smaller
> regional firms should prepare for that day.
>
> -Citi cannot repay TARP. If Pandit were the leader everyone says
> he is, Citi would be able to repay that investment. I wonder...when
> Citi will sell Citibank, since anyone can see that slowly, the Feds
> are dismantling Citi. First, Smith Barney, then Phibro...and these
> are profitable, and meaningful to the bottomline. Ultimately, Citi
> will be parceled off, Morgan will fail with Smith Barney, maybe not
> right away, but over time, and the Feds may ask, "why didn't we just
> let them fail in the first place?"
>
> Indeed. Why not?

Federal Judge Rakoff Slams SEC Complicity in the Bank of America Fraud Case

As a BAC investor, I Believe Judge Rakoff is on the right. The argument that the stock price ihas gone down since his decision is bogus. The stock price can easily be shorted by those bankers to create a false damage to the stockholders. I'll rather see the stock price go to zero than to let those cheaters go free. Judge Rakoff is protecting us in the long run. Let Ken and other involved liers take the lesson. They may finally learn to protect stockholders' interest and do the right thing in the future.

Morgan Stanley's Wang Misreads China

To James Lewis

China's export droped over 21% last month. US and Europe are not buying. China is still doint fine. Thank you. The truth is that US consumer sector accounts 70% of the GDP. This is ridicules. We need to save more, like the Chinese people. We need to produce more, like the Chinese. Envy will not get you out of poor house.

China's Growth: Far Less than Meets the Eye

I was traveling on a two lane highway in China ten years ago. The workers were working to add thee lanes on each side. The high way didn't have a lot of traffic then. I traveled the same road two years ago. The 5 lane highway was full of traffic. They may be digging holes and filled them with cement today. I would not doubt the growth in China.

Will Fundamentals Improve Fast Enough to Keep Up with Markets This Week?

The comments of this article and many others are mostly negative. I like this phenomenal. It means more bears at this time. More people are not in the market with their cash. What goes up must come down. What goes down will go up. March 9TH may or may not be the bottom. What I do know is that when more people realize cash means shranking asset, the market will benefit.

Markets Reverse Back to Top of Trading Range

The glass is half empty. The market expected an empty glass in March. May be not entirely empty. Just 90% empty. Most of the traders and Bears want you to believe the glass is broken. Do we expect CSX to increase its revenue ? Do we believe BAC and C are not zombi banks ? Do we expect the retail sector come in with great profit ? Do we expect the unemployment rate will stay below 10% ? Of course not. If we do, why are the stocks are priced so low ?

GS's trading profit may or may not be sustainable. It is not a great investment for average Joe. When the company makes maoney the majority of the profit will be paid out in salaries and bonuses. When it lost money, we pay for it. All those great and almighty traders almost drove the company into bankruptcy when the time is not right. Why do we think those great and almoight traders and managers should be paid in 7 figuer bonuses ?

The housing data is turning up in California two months in row. GOOG, IBM, BAC,INTC, and countless other companies turn in better than expected result. The market went down since June 11 with little expectation. Now we got one week of up market and the bears are complainning !

Can China Do Without the U.S. Dollar?

Poverty is not an embrassment. It is how we become poor that is embrassing. USA will be poorer relative to the other countries. However, I doubt USA will stay poor. As other countries' cost of living continue to rise, our competitiveness will pull us out of this so called emprassment.

Can China Do Without the U.S. Dollar?

China's internal demand will eventually replaces the export based system. The trouble is that the huge internal demand will also push up the cost of commondity. It will also push up the China's labor cost. There will be less demand wroldwide for China's expensive goods. I welcome this development. US manufacturers will finally have a chance to compete. Americans' service based economy will be balanced with manufacturing industries. It means our grandchildren will have jobs. There is no need for US to play world cop, and world banker. All we have to do is to mind our own business. Our children and grandchildren will not risk their lifes to save the world. Let the rest of the world to fight it out.

The BofA / Merrill Mess - A Misguided Mob Goes After the Wrong Guy

All three officials mentioned by have had little time in their offices. The problem started back during the Clinton times. You can't blame them for not doing their duties. Paul and Ben did break the law to save the economy. I give credit to Ben but not to Paul. Paul tried to hard to save his GS budies. He should tell those Greedy Bunch to stop undermine the whole economic system.


On Jun 28 04:56 PM User 437862 wrote:

> "Maybe we ought to forget about the law for a few minutes and just
> stop this thing before it's to late. Because before you know it the
> people will become disenchanted with capitalism and they will start
> believing in the historic lies of socialism.
>
> Two things are important here:
> 1. The Federal Reserve, FDIC, SEC and Treasury were not doing their
> jobs in overseeing the financial markets.
> 2. When the crisis started the Federal Reserve, Treasury, and FDIC
> thought that they were above the law. This country was founded upon
> having a rule of law and no one should be above the law.
>
> Ben Bernanke, Hammering Hank, and Shelia should be held accountable
> for the financial injuries they caused by breaking the laws and for
> being slothful in their duties to prevent this meltdown.

The Shadow Banking System Will Not Die

The shadow banks also print money, more so than Fed. Why do people worry about Fed and not the shadow banks. Let's regulate those shadow banks to the best of our knowledge.

The BofA / Merrill Mess - A Misguided Mob Goes After the Wrong Guy

Mr. Lewis did the best under the circumstances. It is the stockholders of BACV and Mr. Lewis who are the ones got the short end of the stick. Uncle Ben also did the right thing as the general at the dire moment. The ones who escaped the blame are all those GS guys who shorted the CDS, MBS, all those derivatives and the stock market in general during the blackest time. Of course, they did nothing wrong. People from GS will sell the rope that hang them.

How Much Is TARP Costing American Taxpayers?

US tax payers lost on Housing, insurance and Auto industry. The banks got major blame and headlines. Yet, it is the only industry will pay back the money with interest and warrants. There is no subsides to the banks. CBO's figuer is highly suspected.