dkp

One Year Since the Banking System Collapsed. Has Anything Really Changed?

I am preparing for the next crisis, say OCT 2013, when the Fed?Treasury refuses to bail out a major American bank.

If Asset Prices Are Dropping, Why Are Bank Stocks Rising?

banks believed all along that they would be bailed out, as the authorities cannot allow all depositors down the drain......now it is the turn of hedge funds, they will be bailed out in the name of promoting financial innovation and protection of investors...dont you think I am getting cynical?

What's To Be Done About Citigroup?

Such behemoths are unmanagable and uncontollable. The only protection for shareholders and taxpayers is to sell Citi piece by piece
and realize the best possible price.

Another AIG Scandal?

the future of capitalism is safe!

Why Are We Wasting Our Energy on the Bonuses?

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Jim Rogers' Recent Portfolio Moves

The lesson of the present crisis is ; keep no cash in banks, but buy bricks and mortar, at least you are the master of your assets.

Shorting U.S. Government Risk

Iceland's debt was in foregn currency, it could not print dollars. Treasury's debt is in domestic currency.

Shorting U.S. Government Risk

Those who are buying CDS on US treasuries, do they really believe that their counterparties will honor their
commitmrnts whren the US itself has failed? They would have been buried long before the death of US Treasury.

The stupidity of the CDS market becomes evident when you consider that the government can always give you cheque in USD to repay its debt..What would you do with that cheque? Deposit in your bank account and put
the amount in the hands of treasury via your bank.

Buy the CDS treasury and you buy snake oil. How clever!

Number of U.S. Homes With Negative Equity Is Stunning

30% homeowners have negtive equity? So what? It does not mean that 30% of loans are diliquent. Property prices fluctuate all over the world all the time, but that does not result in bank failures.

There seems to be some kind of massive fraud somewhere
along the line.What we need is CIA to tackle this problem,not Federal Reserve.

CDS Prices Due for Sharp Adjustment Today

I think what we have found is that people selling credt protection have themselves very little credit worthiness, and ultimately they are relying on the govt bailouts. I cannot understand why investors are buying securities in which they have no confidence, and then rush to buy credit cover.

CDS market is pure speculation and must be banned as a market.

What Is Citi Stock Worth?

Pls remember two things from the latest qoarterly results,(1) write-offs of $ 12 billions cover the entire spectrum of citi's business, not just subprime book;(2) the revenue was down 50%.

So the questions about the future price are (1) how will economic slowdown affect the future revenue?,(2)Where will citi find the sources of increased earning with a declining asset base?

Question of Solvency at Citigroup

If Citi is or becomes insolvent, it will affect the entire banking and financialsector worldwide.A general and universal lack of confidence in the banking system is not just the question of fall in stock prices,it has wider consequences for the economy.

Are we really near this doomsday scenario? Or analysts are trying to frghten their clients?