Cancel the fucking debt, allow U.S. corporations to repatriate earnings overseas, without it being a tax event. And, finally, tell the bond, preferred and equity holders to “go fuck themselves.”
Bankruptcy is the only viable option.
If you enjoy the content at iBankCoin, please follow us on Twitter
Fuck those Banks.Buy NOV
Agreed.
So Fly, why isn’t bankruptcy even on the table? Why isn’t a controlled resolution of even one of these zombie big banks being considered as a serious alternative? Is it simply because the Fed and Treasury are in the Street’s pocket?
Zombie missed another one
Exactly Fly- I thought you were asleep
This Keynesian shit is killing me. Government Spending has never fixed recessions and it won’t work now.
What is the government going to back stop all the CDS contracts out there too?
I see bank holidays?
Is there an etf for mattress cash?
CDS will be declared “insurance products” and therefore they will be voided due to fraud … or something like that. Remember we’re making this up as we go
Asia didn’t crap the bed tonight too bad … Gotta love the HK mkts, still 30% off the 52 low
True
That’s a way of clearing up the mess. For example Pandit reckons the old Citibank (not citigroup) was still making $10 billion a year even in 2008.
Here’s the question though. Is the tangible equity in BAC and C say reflecting their true worth or is it the threat of nationalization that’s doing it?
The US has pretty good bankruptcy laws.
Asian magic.
Got to love those bastards.
Great idea! After all, the Lehman bankruptcy worked out really well.
Now Buffet is going to give money to Swiss RE. Buffet’s take will be in the form of a convertible instrument with a 12 percent coupon, Swiss Re said. Berkshire has the option to convert it into Swiss Re shares after three years, at a price of 25 francs per share.
12% coupon. How in the hell can they pay that shit.
Buffet can sure strike a deal. I guess its easy when they need more money like a whore who just ran out of coke after a three day bender
Margin-
What was the problem with the LEH bk in your view?
The LEH bankruptcy ended exactly as it should.
What we are lining up for now is something far worse.
How do you think the markets will respond when banks go out, despite government help?
There is not enough money to save every bank, damn it.
Cancel the fucking debt. Problem solved. The whole hidden agenda here is to protect the fucking bond holders. It’s a fucking crime.
FLy-
your time machine was fucking golden today on the China picks
CHL, LFC, EDU
Great calls
And who do you think holds most of the bonds????
The fuckers in “The Club”
No j
Don’t you know anything?? Cramer says it is the SKF and the shorts that are to blame for BAC and C. Ha! Ha!
MOre good news for BAC and JPM and COF
http://www.ft.com/cms/s/0/b1e100fe-f30e-11dd-abe6-0000779fd2ac.html
don’t forget changing the accounting regs to kill off any mark-to-model bullshit.
(FASB 157 can go suck it)
Fly, the problem with cancelling the debt is you become Argentina.
Remember what happened when they defaulted on $95B of debt in 2001?
The country became an international renegade state. No one would import from them or extend credit lines. Export and international capital markets ceased to exist for Argentina.
The country largely relied on its own internal demand to ressurect GDP. A massive depression ensued. The rebound only really began in in 2003. At that point, 40% of the country was technically below the povert line, living on less than $50 a month.
Starting from a very low GDP base, after sequencial double digit drops in GDP for 3 years in a row, Argentina began to grow again. Of course, that ended last year.
Inflation is running at double digits now and the government recently nationalized the $30B pension system in order to plug a $30B hole in their budget over the next 2 years.
Seriously, you don’t wanna go there.
Sure America is fucked. But I like my train-wrecks in slow motion. If America defaults on its debt, we won’t be chatting on this blog. For starters, IBC will be off the air. Your tech guy will be in hiding.
And you’ll be turning sharp corners in the posh streets of Westchester at 70 miles/hr with your Z5, trying to steer clear of the scattered mobs of commoners trying to take a swing at your windshield with their shovels.
I did not say American sovereign debt. I said cancel the debt of Citi, BAC and others.
Restructure the banks. Convert debt to equity, reissue shares from scratch.
It’s been done many times people.
The fact of the matter is: they will not do it because the owners of the 100’s of billions of bank debt are our creditors.
Nonetheless, our creditors need to come to grips with reality and accept steep haircuts and equity.
We should do what Sweden did in the 1990s. They came out OK.
I’m showing bid/ask on FAZ in the low 50.xx (-10%) – what gives…is something afoot or is just ToS having overnight issues??
last trade on faz was @ 19:58 pm 100shrs@ 54.71.
bid is 600shrs @52.12 ask is 500 shrs@ 55.1
DEVILDOG – how’s that DeeZeeZee treating ya, big guy? 😉
I whispered in thine ear, sweetly …. but no, you had to go with mine enemy. 8)
Now you shall pay for thy transgressions. You are one fucktarded-up bear. 😛
kim warns for the year. sees 1.45-1.55 vs. 2.22.
Interesting idea.
Won’t work of course but interesting none the less.
Aaaaaaaaaaaaaaahhhh! (falling into abyss)
zzzzzzzzz…..Fly for President!……zzzzzzzzz
No. I don’t want to fix the banks. I like things the way they are, thank-you-very-much.
@Boca – Tomatoes and cukes??? all we have is a bunch of snow and ice. Autumn’s garlic is under at least a foot of snow. Two degrees above zero Fahrenheit. Oh Well, nine days until pitchers and catchers…
http://video.google.com/videoplay?docid=1070329053600562261
No name change necessary – Bank of America will become…..Bank of America……what else? Maybe Hank Paulson will be CEO.
Thursday, February 05, 2009 07:11:23
Preview: US initial jobless claims data due out at 8:30 am ET
– Expectations for initial claims are 580K v prior release of 588K (range seen from 480K to 620K)
– Continuing claims seen at 4.795M v prior 4.776M. (range seen from 4.695M to 4.860M)
hursday, February 05, 2009 07:31:56
Saks Inc Reports Jan SSS -23.7% v -16.2%e
– Based on the degree and amount of markdowns taken during the fourth quarter and the fact that customers continued to shift purchases from regular price to promotional and clearance priced merchandise, the Company will report a significant year-over-year decrease in the gross margin rate for the fourth quarter.- No Revisions
Thursday, February 05, 2009 07:25:23
Target Corp Reports Jan SSS -3.3% v -6.1%e
– Q4 EPS to be somewhat lower than the current median estimate of $0.86
– As stated in our sales release last month,we expect our holiday season markdowns and anticipated additions to our accounts receivable allowanceto put additional pressure on our fourth quarter profitability.
Bennet Sedacca
08:04:55 AM
No positions in stocks mentioned.
More downgrades in Alt A
Editors Note: This is a repost from the buzz yesterday.
Moody’s just weighed (last night) in with some more Alt-A downgrades.
How many? 2,447 tranches. Yep, two thousand four hundred forty seven.
This Alt-A train is leaving the station.
And it’s likely to run some folks over.
Thursday, February 05, 2009 07:30:17
*INITIAL JOBLESS CLAIMS: 626K V 580KE; CONTINUING CLAIMS: 4.788M V 4.795ME
– Prior jobless claims revised from 588K to K
– Prior continuing claims revised from 4.776M to M
February 05, 2009 07:38:49
Euro vs US Dollar Euro at session lows at 1.2770 as Trichet remarks viewed as ‘dovish’
@Chart Addict said
We should do what Sweden did in the 1990s. They came out OK.
Chart, what did they do? That was before my financial awakening.
Tomorrow’s jobless number will be a big number, and Feb. will probably be even bigger. Earnings estimates are being lowered around the world. Ratings cuts are next for some of the biggest companies. The new lows are coming. There may be a small glimmer of hope with the stimulus pork fat bill, but that hope will be castrated as more people realize that it won’t put people back to work fast enough. I usually stay aay from braod market predictions but if something does not turn the tide fast. We could see the S&P fall to 500. DevilDog’s S&P 150 may be a stretch, but the way things are looking who the fuck knows?
Is there an etf for mattress cash?
Chortle.
No, but there’s one for “coffee can inna backyard” — CCB.
_________
Prepare for certain wins in gold. DEVILDOG you still shorting gold? Looks like the retail numbers were decent but those jobs numbers, good god. The messiah better get busy if he is going to save us with his upper powers.
Goldman raises 3-month gold price est to $1,000/oz from $700/oz, 6-month forecast is $950/oz
– Goldman notes that the rally in gold prices has been driven by rising demand for gold in all forms, as investors seek a safe haven amid the financial problems and risks of inflation.
– Goldman added that the strong relationship between the price of gold in US dollars and the exchange rate of the dollar against other currencies has begun to break down.
And they want to ban SKF-the only way to play the banks debacle
From
http://stage.theflyonthewall.com/entry.php?symbol=SKF
UltraShort Financials ProShares-SKF February volatility Elevated at 160
UltraShort Financials ProShares is recently up $2.56 to $153.70 in pre-open trading. SKF is an exchange traded fund seeking daily investment results that correspond to twice (200%) the inverse (opposite) of the daily performance of the Dow Jones U.S. Financials Index. SKF February option implied volatility is at 160, March is at 150; above its 26-week average of 121, according to Track Data, suggesting larger price movement
SRS Cup with Handle 10 day- 15 minute chart
.
Fly you are right…(no sychophant here, believe me) Cram it all down, beginning with the bondholders. Time for the scacrifice pop fly. Will it happen? Forget it. Why? Just as Peter Lynch used to say, “go to the mall to pick your stocks.” I say go to the mall to see why we are in the mess we are in, or better, pull you tube up. http://www.youtube.com/watch?v=PUaY3LhJ-IQ Our population is the problem and of course the mirror image of their attitude now sits in Washington (See Maxine Waters clip above). Folks, we are going to nationalize everything. We are just not going to call it nationalization. The current wall street bashing is deliberate ($500k cap, ponzi hearings, etc., etc.). The street has now been effectively villanized! So, now the people hate you! Don’t believe me, ask em. The government is their answer–TO EVERYTHING! That’s why there will be no repatting of any foreign juice, period! Corporations are not allowed to make “windfall profits”, remember. My wife is a physician and she tells me we are fucked as well and the wall street folk aren’t even talking about it. Hell, yesterday Obama effectively said we are fucked when he said SCHIP is just the first step. No one pays their co pay anymore and all others have medicaid cards, which means you and I pay. She also said alomost every person she sees is obese. Does anyone have an idea of what its going to cost us to fund health care over the next 18 months for a skill-less jobless population that is 60% obese and 23% morbidly obese? Did anyone hear the cheers yesterday when Obama said his SCHIP program was going to include immigrants as well? Congress is going grab up ever dollar they can muster to give away health care, mortgage forgiveness and fund every elderly need that manifests. So, it doesn’t matter. Its the social service give away thats going to get us. The banks are just a distraction. Listen to Obama carefully. When ever he says, “We cannot afford to let (insert social giveaway here)…”, open your wallets. Oh, this morning statisticians are saying we need 28 million new smokers to fund Obama’s new SCHIP program he signed yesterday. Wow! Again, its the social giveaways folks that is going to doom us.
USA. Land of the(spending) Spree
Home of the …(grave)Entitlements