Super-SIV sunk
The plan to offload all those sinking SIVs into a a special fund where they could be hidden (AKA The Save Citi plan) is dead. No investors could be found for the estimated $350 billion of now toxic SIVs. So…
Politics in the Zeros
"A republic, if you can keep it." Vegas, taxes.
Politics in the Zeros
"A republic, if you can keep it." Vegas, taxes.
Category Credit crisis
When income and housing prices diverge
The black arrows in 1979 and 1989 indicate real estate bubbles. But they were just little bitty things compared to the whopping divergence between income and housing prices we have now. So, onto the primary question, “what would be required…
Commercial real estate. The next to fall
Commercial real estate will be the next domino to fall. Portfolio explains why. Lending standards fell, starkly. Or as I prefer to see it, they were thrown out of the 60th-floor window of that gleaming office tower in downtown Atlanta/Phoenix/New…
Not if a recession but how bad
Thus, at this point the debate is less on whether the US will experience a soft landing or hard landing but rather on how hard the landing will be, i.e. whether the coming recession will be “mild” or “severe”. That…
Financial castles of sand
The Financial Times has a quite understandable, informative article about the collapsing shadow banking system and how it is impacting real banks and the financial world at large. How crazy did it get? Satyajit Das, an author and derivatives industry…