Archive for the 'Economy' Category
Oil Drops 10 Percent
October 11th, 2008Via: Reuters: Oil prices dropped more than 10 percent on Friday and touched 13-month lows in a global flight from risk amid concerns of a worldwide recession and further signs of slumping energy demand. The International Energy Agency slashed its estimate of worldwide 2008 oil demand growth to its lowest rate since 1993, and lowered […]
American Taxpayers Buying Bank Stocks
October 11th, 2008The eye atop the pyramid seems to be glowing a bit brighter than usual. Via: Bloomberg: U.S. Treasury Secretary Henry Paulson said the U.S. will buy equity “as soon as we can” in banks and other financial institutions to restore market stability and revive economic growth. The Treasury is “working to develop a standardized program […]
BERLUSCONI: LEADERS MAY CLOSE WORLD’S MARKETS
October 10th, 2008Via: Bloomberg: Italian Prime Minister Silvio Berlusconi said political leaders are discussing the idea of closing the world’s financial markets while they “rewrite the rules of international finance.” “The idea of suspending the markets for the time it takes to rewrite the rules is being discussed,” Berlusconi said today after a Cabinet meeting in Naples, […]
Lehman Swap Auction Initial Results Show Payout of 90.25 Cents
October 10th, 2008What antics await us over the weekend?! Via: Bloomberg: Sellers of credit-default protection on bankrupt Lehman Brothers Holdings Inc. would be forced to pay holders 90.25 cents on the dollar under initial results of an auction today, setting up the biggest-ever payout in the $55 trillion market. Preliminary results of the auction to determine the […]
Lehman Credit Default Swap Auction Bomb Drops This Afternoon
October 10th, 2008Holy crap. Somehow, I hadn’t heard about this until just now. This could get very interesting over the next several hours. Via: Guardian: A major factor behind today’s plunging stock markets is anxiety before a settlement pricing tonight for an estimated $440bn of credit derivatives linked to failed US investment bank Lehman Brothers. Analysts have […]
The Mystery of the Missing Opium
October 10th, 2008Ask MI6 where it is. Via: BBC: It’s a mystery that has got British law enforcement officials and others across the planet scratching their heads. Put bluntly, enough heroin to supply the world’s demand for years has simply disappeared. The United Nations Office on Drugs and Crime (UNODC) describes the situation as “a time bomb […]
The Gold Disconnect
October 10th, 2008Via: Minyanville: Professor Lewis, How do you explain the open interest drop at the Comex? The open interest is at a 2 year low? Why don’t people understand the disconnect? Are all the central banks working to silence the canary? How else do you explain the explosion of tons on the Gold ETF (GLD), the […]
Perth Mint Doubles Gold Output on Haven Buying
October 10th, 2008Via: Bloomberg: The Perth Mint, producer of 10 percent of the world’s bullion, doubled output in the past six months, joining a global push to boost production as investors seek protection from the credit crisis. Perth Mint sold so-called Kangaroo and Nugget coins weighing a total of 62,630 ounces in the three months to Sept. […]
What Would it Take to Halt Trading of the Dow Jones Industrials?
October 10th, 2008Via: AP: As harrowing as the stock market’s plunges have been in recent days, they still haven’t been enough to trigger the “circuit breaker” mechanisms that result in an automatic timeout in trading. The Big Board implemented the automatic halts after the stock market crashed in the late 1980s to force traders to take a […]
PANIC SELLING CONTINUES ACROSS EUROPE
October 10th, 2008Austria is halted. Germany, UK and France are all sharply lower. I’ll post some other updates and then come back to economic info as we head into the open in New York—which will be sharply lower according to the futures.
