Insiders are buying
Worst credit crisis risks averted
EU may boycott China Olympics
China’s Olympic nightmare

Comments Off | Filed under: General
Posted on March 24th, 2008 by Bob Brinker

Comments Off | Filed under: Federal Reserve, General
Posted on March 22nd, 2008 by Bob Brinker

Central banks float rescue ideas
S&P Flags Goldman, Lehman
Buy Bank Stocks Now

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Posted on March 22nd, 2008 by Bob Brinker

Through the close on 3/19 the 60-day put/call just reached a new all-time record high level of 1.09. The chart below illustrates the 10-day and 60-day put/call data versus the S&P 500. In recent years, spikes in the 60-day put/call have occurred following major market lows.
RED = 10-day put/call
GREEN = 60-day put/call
Black = S&P 500

Comments Off | Filed under: General
Posted on March 20th, 2008 by Bob Brinker

One has to wonder if the mark-to-market accounting method is the appropriate method to use when evaluating the balance sheets of the largest financial institutions in the world. This article offers some interesting viewpoints.

Comments Off | Filed under: General
Posted on March 19th, 2008 by Bob Brinker

The announcement today from the Office of Federal Housing Enterprise Oversight (OFHEO) is welcomed news to the mortgage bond market. This effectively produces a $200 billion increase in demand for agency mortgage paper.
For Immediate Release
March 19, 2008
OFHEO, FANNIE MAE AND FREDDIE MAC
ANNOUNCE INITIATIVE TO INCREASE
MORTGAGE MARKET LIQUIDITY
Washington, DC [...]

Comments Off | Filed under: General, Ginnie Maes
Posted on March 19th, 2008 by Bob Brinker

Another interesting take on the Fed’s aggressive action.

Comments Off | Filed under: Federal Reserve, General
Posted on March 18th, 2008 by Bob Brinker

The Wall Street Journal has a detailed recap of events with insight into last week’s demise of Bear Stearns.

Comments Off | Filed under: Brokerages, Federal Reserve, General
Posted on March 18th, 2008 by Bob Brinker

The Fed has been busy the past eight months improving their toolkit. Today we have the new Term Securities Lending Facility (TSLF).
Press Release
Release Date: March 11, 2008
For immediate release
Since the coordinated actions taken in December 2007, the G-10 central banks have continued to work together closely and to consult regularly on liquidity [...]

Comments Off | Filed under: Federal Reserve, General
Posted on March 11th, 2008 by Bob Brinker

The Economist has an excellent article identifying flaws with mark-to-market accounting which prices securities against illiquid, small indexes such as ‘Markit’ during periods of turmoil. It remains a distinct possibility that we could have massive ‘write-ups’ down the road as this turmoil is resolved in the future. The point is, these are not operating losses. [...]

Comments Off | Filed under: General
Posted on March 7th, 2008 by Bob Brinker

A glance at the Vanguard website shows that tax-exempt money markets are once again very attractive relative to their taxable brethren. Today, the Vanguard Prime Money Market has a 7-day yield of 3.58%. The Vanguard Tax-Exempt Money Market has a 7-day yield of 3.30%. The 3.3% tax-exempt yield translates into the following tax-equivalent yields:
25% Fed [...]

Comments Off | Filed under: General, Money Markets, Mutual Funds
Posted on March 6th, 2008 by Bob Brinker

The Cleveland Fed provides this chart updated daily.

Comments Off | Filed under: Federal Reserve, General
Posted on March 5th, 2008 by Bob Brinker