donethat

Will China's Ideological Crisis Overwhelm Stimulus Spending?

Rakesh Saxena is reportedly in hospital, with extradition proceedings occurring in the latter half of April.

www.theprovince.com/ne...

Panic in CDS Market to Cause Next Collapse in Equities

Regarding the BRK CDS example. My limited understanding is that BRK is required to put up more collateral on the PUTs they sold when the market moves against them, and has put up about the 6B that they sold the PUTs for in the first place. So it is reasonable to assume that BRK could face the same fate as AIG given a severe enough market move.

Memo to Warren: AmEx Preferred at 15%, Warrants at $12

AMEX will be offering CDs now and selling commercial paper to the Fed.
That big sucking sound you hear is from depositors buying CDs from AMEX, GE, C, etc instead of main street banks, or buying money market funds. As others have pointed out, the victims will be small banks first as the FDIC and the Fed support the larger banks and keep a lid on the CP rates for the both banks and non banks. Banks deposited another 90 billion in the Fed last week keeping the conduit full. What will be interesting is when if ever the banks pull their deposits from the Fed.