Interview with an investment banker

Just in case you missed it. Investment bankers bet and speculate. In other words they are making money with money. When the banking world was about to collapse because the bet on packets of junk bonds, and were about to be caught out on it they changed their tack. They now bet and speculate on […]

Baghdad Green Zone Blasted Under Cover of Storm

BAGHDAD—Militants bombarded Baghdad’s Green Zone with rockets on Sunday, taking advantage of the cover of a blinding dust storm to launch one of the heaviest strikes in weeks on the fortified compound. The strikes appeared to defy a renewed call for a ceasefire by Shi’ite cleric Moqtada al-Sadr, which has seen many of his masked […]

Iran is next

Contrary to what is published in the mainstream press Iran has every right to build nuclear facilities for peaceful purposes. It signed the non-proliferation treaty and has opened its facilities to the IAEA in compliance with the treaty, even the Washington post had to admit to that. Compare this to Israel who has never signed […]

Allco’s Value Getting Close to Zero

Oh oops, another one bites the dust. Terry McCrann of the Herald Sun referred to Allco Finance Group (ASX:AFG) as “Mini-Mac” the other day. What he meant was that the company has similarities to Macquarie Group (ASX:MQG). If we were Macquarie Group, we’d be downright insulted. How are the two similar? Well they’re both leveraged […]

FBI documents contradict 9/11 Commission report

Hijacker had post-9/11 flights scheduled, files say Newly-released records obtained through a Freedom of Information Act request contradict the 9/11 Commission’s report on the Sept. 11, 2001 attacks and raise fresh questions about the role of Saudi government officials in connection to the hijackers. The nearly 300 pages of a Federal Bureau of Investigation timeline […]

U.S. banking sector headed for meltdown, official says

Banks face massive loan losses because of defaults on debts and housing-price slide Duncan Mavin Toronto — The U.S. banking sector is headed for a credit downturn that will be “the worst in generations,” featuring widespread defaults on a range of debts and a national housing price slide not seen since the Great Depression, one […]

Another finance company hits wall

A 15th finance company has hit the wall and is asking its debenture holders to vote on a 20-month wind down to stop it from going to the receivers. New Zealand property finance firm MFS Boston, an indirectly owned subsidiary of troubled Australian firm MFS, announced the moratorium proposal yesterday and will hold a meeting […]

Wall Street Bank Run

It doesn’t look like an old-fashioned bank run because it involves the biggest financial institutions trading paper assets so complicated that even top executives don’t fully understand the transactions. But that’s what it is — a spreading fear among financial institutions that their brethren can’t be trusted to honor their obligations. Frightened financiers are pulling […]

America’s economy risks mother of all meltdowns

“I would tell audiences that we were facing not a bubble but a froth – lots of small, local bubbles that never grew to a scale that could threaten the health of the overall economy.” Alan Greenspan, The Age of Turbulence. That used to be Mr Greenspan’s view of the US housing bubble. He was […]

Wall St. Banks Confront a String of Write-Downs

Wall Street banks are bracing for another wave of multibillion-dollar losses as the crisis that began with subprime mortgages spreads through the credit markets. In recent weeks one part of the debt market after another has buckled. High-risk loans used to finance corporate buyouts have plummeted in value. Securities backed by commercial real estate mortgages […]

Bernanke’s State of the Economy Speech: “You are all Dead Ducks”

Oh oops, you know what this means? It means get yourself a bag of seeds and start growing your own veggies, because it’s downhill from here, and it’s not just limited to the US Folks.(Travellerev) By Mike Whitney  Even veteran Fed-watchers were caught off-guard by Chairman Bernanke’s performance before the Senate Banking Committee on Thursday. […]

World bourses lost 5.2 trillion dlrs in January: credit rater

PARIS (AFP) — World stockmarkets lost 5.2 trillion dollars (3.6 trillion euros) in January thanks to the fallout from the US subprime crisis and fears of a global economic slowdown, Standard & Poor’s said Saturday. “If investors thought the market could only go up, January’s wake-up call pulled them back into reality,” the independent credit […]

Who is John Key?

Special report on National leader John Key By GILLIAN TETT and RUTH LAUGESEN – Sunday Star Times | Sunday, 03 February 2008 FIRST LIFE: As a money trader in London it’s speculated John Key was earning $5 million a year – that’s $96,000 a week. AdvertisementHe used to work hand in glove with the foreign […]

Another light introduction to 9/11 truth

By Dr. Crockett Grabbe and Lenny Charles 09/08/07 “ICH” — – The majority of us accept as fact that the current administration manipulates science for political ends. Few were surprised to hear experts from industry challenge overwhelming evidence of man-made climate change. Frustration within the scientific community had grown so much that by Dec. 2006 […]

Massachusetts Accuses Merrill of Fraud

The top securities regulator in Massachusetts accused Merrill Lynch on Friday of defrauding the city of Springfield with subprime-linked investments, casting light on how Wall Street banks sold complex mortgage securities that are now plummeting in value as the housing slump deepens. Skip to next paragraph Stephan Savoia/Associated Press William Galvin, Massachusetts secretary of state, […]

Paulson says U.S. housing correction “necessary”

By Glenn Somerville WASHINGTON (Reuters) – A slump in U.S. homebuilding that slowed growth at the end of 2007 will help wring out excesses and the Bush administration is not trying to ward it off, U.S. Treasury Secretary Henry Paulson said on Wednesday. “After years of unsustainable home price appreciation, this is a necessary correction,” […]

FBI quizzes companies over sub-prime collapse

The FBI is investigating 14 corporations for possible accounting fraud and other crimes related to the sub-prime lending crisis. Neil Power, chief of the bureau’s economic crimes unit, would not identify the companies, though he said the cases involved “valuation-type stuff”. The probes included reviews of sub-prime lenders, housing developers and Wall St banks that […]

Fed cuts rate for 2nd time in 8 days

WASHINGTON (AP) — The U.S. Federal Reserve on Wednesday cut a key interest rate for the second time in just over a week, reducing the federal funds rate by a half point. It signaled that further rate cuts were possible. Ben Bernanke, chair of the Federal Reserve, which Wednesday cut its key rate for the […]

Borrowers stretched to the limit

In 24 years as president and chief executive officer of Sacramento’s Safe Credit Union, Henry Wirz said he’s never seen such “widespread credit problems in the Sacramento region.” It began last September with rising delinquencies on car loans. By December, the late payments spread to real estate loans. Now, increasingly, borrowers have maxed out their […]

Update: Crash! Biggest fall in shares since September 11

Recession fears wipe £84bn off the value of Britain’s biggest companies as stock markets tumble across the globe By Nick Clark Published: 22 January 2008   It was the day that the fear factor took over. From Asia to South America, share prices tumbled yesterday as the world’s investors gambled that a US recession was now […]