Nate C

Will 'Dark Pools' Be the Capital Markets' Next Black Holes?

Amazing article. I had never heard of these "dark pools" before. Thanks for sharing the information.

3 Reasons To Be Bullish on the Investment Banks

David--keep drinking that kool-Aid. The investment banks are insolvent thanks to their highly leveraged business models. Why is GS, LEH, and MS going to the fed to get money? Do you actually believe their bogus reasons such as "we are testing the new Fed facility" which GS claimed or do you believe LEH's excuse that they were "demonstrating strength and leadership." The banks are facing collapse. No one in the world is willing to enter into repo agreements with the investment banks because word is out that the investment banks are going insolvent. The only way they can postpone their collapse, is to borrow directly from the Federal Reserve.

Just because the shares of LEH, MS, and GS all went up last week does not mean all is well. Remember two weeks ago when the Fed announced their latest attempt to bring $200 billion in liquidity (it happened on a Tuesday). By Thursday night Bear Stearns was calling the Fed and the SEC, telling them that they were going to be forced to file for bankruptcy Friday morning.

Do not invest in the Investment banks. Last week's rally was short covering and idiot institutions who believe that the Fed will save the financial markets yet again. Dont be a sheep and follow their lead.