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There's something else that's different too , this time Asian Banks , not referring to the Japanese banks here , are cashed up . They learnt from the 90's , Japan kept on printing and hasn't stopped . A look over the majority of Chinese banks shows their ledgers in far better shape , capital wise , than their western counterparts .
Any bank caught holding the former AAA issues will find they've either dropped to AA or A , yet we still are not clear on the values , as the same entities have rerated them . Bonds were on the exit last week , the week before and so on .
I keep hearing the same sickening cue card rhetoric from nearly every so called analyst ( which desperately need rerating themselves ) , " if you can stand some pain look long term " , we need to rephrase this , because it really means , " if you can afford to lose value on an asset in terms of pricing and wait for that value and maybe a premium to return " . That's what they really mean .
Those rerated issues , dependant on which rating is gets placed , will see further writedowns , it will be in the billions though and all with a minimum in double digits , it gets an A rating make it the high doubles to triple digits .
That's still to come , it is in the process right now , but we won't see those figures for a little while longer , then there's the resets , there to come also .
Many spinners would have us all believe the bad news of the bad news is already out there .
Bollocks to that , the SEC has only just started to inform banks of their need to co-operate with enquiries , you see there's this thing called massive fraud and deception to be accounted for yet . If not that then the only other plausible excuse is negligence . Either outcome will see legal action that will take years and years to see a point of closure reached . There will be a huge reduction in the funds sector and that's not a maybe , it too is yet to come .
Add to all this the matter of nationalism that has only started to re-emerge and we will see an entirely new financial sector with a whole new list of meaningless reforms paraded out for the markets . With all the old promises renewed taboot , in short more spin , from a different angle .
The laugh I had was when it was spruiked that manufacturing can make up for any slack in the ISM as it fell to 41.9 for Jan . That's a massive contraction from the previous 54.4 in Dec and the December numbers looked bogus anyway .
No it's going to take investors a little longer to get over the last round of inaccurracies dished out . The data flows that were used to flood markets are now in question also , that lays squarely at the feet of the cash for comment programs ............ and they would know it too .
These type of events in markets always see a line up of litigation and incarceration , some of which will be scapegoats , a small portion will be those directly responsible , but only those who no longer have friends and are considered a contagian all on their own . No-one wants to be associated with infectious persons .
All these events will move the markets further , and that pain story will be bought out again , but who needs pain when you can find comfort .
Any bank caught holding the former AAA issues will find they've either dropped to AA or A , yet we still are not clear on the values , as the same entities have rerated them . Bonds were on the exit last week , the week before and so on .
I keep hearing the same sickening cue card rhetoric from nearly every so called analyst ( which desperately need rerating themselves ) , " if you can stand some pain look long term " , we need to rephrase this , because it really means , " if you can afford to lose value on an asset in terms of pricing and wait for that value and maybe a premium to return " . That's what they really mean .
Those rerated issues , dependant on which rating is gets placed , will see further writedowns , it will be in the billions though and all with a minimum in double digits , it gets an A rating make it the high doubles to triple digits .
That's still to come , it is in the process right now , but we won't see those figures for a little while longer , then there's the resets , there to come also .
Many spinners would have us all believe the bad news of the bad news is already out there .
Bollocks to that , the SEC has only just started to inform banks of their need to co-operate with enquiries , you see there's this thing called massive fraud and deception to be accounted for yet . If not that then the only other plausible excuse is negligence . Either outcome will see legal action that will take years and years to see a point of closure reached . There will be a huge reduction in the funds sector and that's not a maybe , it too is yet to come .
Add to all this the matter of nationalism that has only started to re-emerge and we will see an entirely new financial sector with a whole new list of meaningless reforms paraded out for the markets . With all the old promises renewed taboot , in short more spin , from a different angle .
The laugh I had was when it was spruiked that manufacturing can make up for any slack in the ISM as it fell to 41.9 for Jan . That's a massive contraction from the previous 54.4 in Dec and the December numbers looked bogus anyway .
No it's going to take investors a little longer to get over the last round of inaccurracies dished out . The data flows that were used to flood markets are now in question also , that lays squarely at the feet of the cash for comment programs ............ and they would know it too .
These type of events in markets always see a line up of litigation and incarceration , some of which will be scapegoats , a small portion will be those directly responsible , but only those who no longer have friends and are considered a contagian all on their own . No-one wants to be associated with infectious persons .
All these events will move the markets further , and that pain story will be bought out again , but who needs pain when you can find comfort .