Financial alchemists

In light of the near-fatal collapse of the world financial system, let us banish the term “Financial Engineering” from here on, and refer to it as it really is.

al·che·my
1 : a medieval chemical science and speculative philosophy aiming to achieve the transmutation of the base metals into gold, the discovery of a universal cure for disease, and the discovery of a means of indefinitely prolonging life
2 : a power or process of transforming something common into something special
3 : an inexplicable or mysterious transmuting

A recipe for disaster. [Janet Tavakoli on Busniess News Network]

The Great Panic of 2009
Has Barack Obama’s presidency already failed? In normal times, this would be a ludicrous question. But these are not normal times. They are times of great danger. Today, the new US administration can disown responsibility for its inheritance; tomorrow, it will own it. Today, it can offer solutions; tomorrow it will have become the problem. Today, it is in control of events; tomorrow, events will take control of it. Doing too little is now far riskier than doing too much. If he fails to act decisively, the president risks being overwhelmed, like his predecessor. The costs to the US and the world of another failed presidency do not bear contemplating.

What is needed? The answer is: focus and ferocity. If Mr Obama does not fix this crisis, all he hopes from his presidency will be lost. If he does, he can reshape the agenda. Hoping for the best is foolish. He should expect the worst and act accordingly.

[Martin Wolf, FT]

Riddle me this…

  • Why does Turbo Timmy wrinkle his smug mug when it is suggested that “his” plan is exactly the same as the Paulson plan?
  • Many corporations are “temporarily” suspending 401k matching contributions. Are there plans afoot (see three items down)?
  • Can stop the Muzak.
  • Credit Union’s Credit Unions (Coporate Credit Unions) are rumored to  have their ratings slashed by S&P, impairing their liquidity, as well as your local Credit Union to roll debt. Are the Piggies using scare tactics, herding people to put their money in (fucked) banks instead?
  • A Proposal to Shore Up Banks With Pension Funds [NYT] How reassuring. First Argentina nationalized all private pension funds last October… and now Bankers Love Toy[tm] Turbo Timmeh and his circle jerk-buddy Benron Bukkake are thinking the USA should go the same way. “My, those 401k’s are looking mighty tasty too.” -Turbo Tax-cheat Timmeh, sizing up your checking account for dessert.
  • There is no sound place to invest your money today. Maybe a mattress?
  • Can a black swan carry bird flu? Yep.
  • TARPII shall henceforth be known as Porkfest 2009.
  • “Yes! Yes! Yes! An emphatic Yes! to everybody!” -Barry Hussein


“I don’t think a Junior Senator with less that one term in the US Senate wins his party’s nomination and then the Presidency of the US withouth owing a lot of people a lot of favors.. and at some point, he’s going to have to pay them back.”

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: