Monthly Archive:: April 2010

Chatter About the Fed/ECB CCY Swap Line

This one’s for the bloggers- Dollar swap lines are functionally unsecured loans to foreign govts. that the Fed can do unilaterally. Congress only finds out well after the fact. Last time around they did $600 billion, including lending (unsecured) to nations Congress never would have approved. The problem is the Fed Chairman ...Read More

what is gong on with swap spreads this am?

Fed also re opening swap lines to ECB – looks ready to do more unsecured dollar lending to them and maybe others. They look to be doing what they did last time around to keep libor down – lend unsecured to bad credits. High risk but it does get rates down. On ...Read More

OPEC April Crude Output Up 25,000 Bbl/Day to 29.19 Mln

No sign the price hikes are coming from demand pressures. It’s just the saudis hiking price, thinly masked by the news headlines and passive commodity buyers they use for ‘cover’ so no fingers get pointed in their direction — Original Sender: NLRT ALERT, BLOOMBERG/ 731 LEXIN — —– Original Message —– From: ...Read More

It’s not too late for Greece

It remains my contention that Greece can dramatically upgrade its new securities simply by putting a provision in the default section that states that in the case of default the bearer, on demand, can use the securities at maturity value plus accrued interest to pay Greek government taxes. This makes the debt ...Read More

Tea Party Protest Sign

...Read More

Moody’s likely to downgrade Greece and Brazil buying more $

Seems no one wants a strong currency anymore, but instead wants to keep their real wages down. So fears of a dollar crash seem again to be overblown. Nor is there any immediate risk of inflation from excess demand. The cost push risk from the Saudis hiking prices remains, and so price ...Read More

Claims/Eur Gwth Surprise?

Karim writes: Initial claims fell 11k to 448k, lowest level in 1mth. Anecdotes supporting further declines ahead: VIACOM CEO SAYS ECONOMY IS GROWING STRONGER EACH DAY Caterpillar CEO: “We enjoy hiring people and growing our business, and we’re delighted to see that opportunity coming back” EU Sentiment and Manufacturing surveys for April ...Read More

US housing

yes, thanks! On Thu, Apr 29, 2010 at 7:46 AM, wrote: —–Original Message—– Great chart on US housing…got this earlier in the week but the world been moving far too quickly since…shows the momentum in the LoanPermance Index vs CaseSchiller house prices…chart speaks for itself as to the risks? ...Read More

Re: Run on European Banks?

>    >   (email exchange) >    >   On Wed, Apr 28, 2010 at 8:23 AM, wrote: >    >   Given this view warren, do you think Natl Bk of Greece goes to zero here? >   Or do you think Europe will do a “shock an awe” 100b package that makes >   greek banks a buying opportunity? >    Wish I ...Read More

gold priced in euro

Scares any central banker: Gold in euro’s: UE Rate->FF Rate”> ...Read More