World economy talk

[uls]

eto na

here's a letter sent to Bank of America by holders of residential mortgage backed securities (RMBS)

http://www.scribd.com/doc/39709738/3...ans-Inc-NY-Fed

the bondholders want BofA to repurchase billions of dollars of RMBS

the RMBS contain mortgages originated by Countrywide

Countrywide was bought by BofA in 2008

the bondholders are Maiden Lane (NY Fed), Freddie Mac, Pimco, Western Asset Mgmt, Neuberger Berman, Kore Advisors

BofA stock

[tidus1203]

Trader sleeping cause he is SHORT DA'RA/EN!

[uls]

dara/en!

[uls]

Niall Ferguson on Keynesian economics

"I wonder if it's worth revisiting the now familiar debate about whether or not Keynes can save us. Because I have some doubts about this."

[ame="http://www.youtube.com/watch?v=qa3BiujaI3M"]YouTube - Niall Ferguson on the Pitfalls of Keynesian Economics[/ame]

[uls]

AUD/USD

[uls]

Niall Ferguson said something about leakage

US fiscal and monetary stimulus didnt create jobs in the US

the liquidity leaked out -- went to commodities and emerging markets

check out the price of cotton this morning

cotton Dec 2010


other commodities will follow

[safeorigin]

heh, I'd like to see a Krugman-Murphy debate though...

[Monseratto]

dara/en!

Yen is fast approaching 80.00...

[uls]

^^

to see the USD/JPY at that level in the past, you need to go back 15 years

[tidus1203]

DEARBORN, Mich. (AP) -- Ford Motor Co.'s third-quarter net income rose 68 percent as it grabbed a bigger share of the U.S. auto market and buyers paid more for its highly-rated cars and trucks.

It was Ford's sixth straight quarterly profit and the company's best third-quarter performance since at least 1990.

Ford CEO Alan Mulally said popular new cars, such as the Ford Fiesta subcompact and Ford Edge wagon, and aggressive cost-cutting helped the company make money despite lower global sales.

The automaker said it expects to end the year with as much cash as it has debt, a year earlier than it had previously forecast.

Ford, which four years ago mortgaged its factories, blue oval logo and other assets to fund a huge restructuring, said it paid off $2 billion in debt in the third quarter and expects to pay off an additional $3.6 billion for retiree health care on Friday. Ford's debt will stand at $22.8 billion after those two actions. It has $20.3 billion in cash.

When Ford pays its debt to the United Auto Workers health care trust, it will no longer owe any money to the trust. The UAW agreed to the trust in 2007, and it began paying health care benefits for thousands of retirees and spouses in January.

Ford also said it is launching an offer to convert $3.5 billion in debt to common stock. The offer closes Nov. 23.

Ford's earnings of $1.7 billion, or 43 cents per share, beat Wall Street estimates.

Without one-time items, which included a $102 million charge related to Ford's sale of Volvo, Ford would have earned 48 cents per share. Analysts polled by Thomson Reuters had forecast earnings of 38 cents per share. Those estimates typically exclude one-time items.

In the same quarter a year earlier, Ford earned $1 billion, or 26 cents per share.

Ford's quarterly revenues fell $1 billion, or 3 percent, to $29 billion for the quarter. But Ford said if Volvo's 2009 revenues were excluded, revenues rose $1.7 billion.

http://finance.yahoo.com/news/Ford-e...&asset=&ccode=

Did I just say about 3 weeks ago to buy Ford stock?

[safeorigin]

^I see what you did there

[uls]

US 10 yr treasury yield breaking downtrend

[CVT]

Quick question to our experts: bros uls and tidus.

Is our local stock market at the point of overheating?

TIA.

11.0K:dunno:

[tidus1203]

It will overheat eventually but when who knows? As I said its easy to spot a bubble, pero mahirap sabihin kailan ang putok... Basta if you see people who are now interested in the markets pero were not interested before because he read from the news and seeing the markets go higher and higher, then we have a bubble...

[Monseratto]

Republican China Bashing

[ame=http://www.youtube.com/watch?v=agoelZyV7nE]Thank You[/ame]

http://www.salon.com/news/feature/20...=/news/feature

Ad attacks on China cross the line
Racial battle lines are being drawn, and campaign ads from both parties have sunk to parallel, poisonous lows

With less than a month before Election Day, Americans are being whipped up into a xenophobic froth. On Friday, the Wall Street Journal headlined a story “China-Bashing Gains Bipartisan Support”, noting that “China is emerging as a bogeyman… with candidates across the American political spectrum seizing on anxieties about the country’s growing economic might to pummel each other on trade, outsourcing and the deficit.”

Unafraid, apparently, to be mocked for mimicry, the Times led off yesterday’s paper with a dangerously identical story entitled “China Emerges as a Scapegoat in Campaign Ads”, pointing out “With many Americans seized by anxiety about the country’s economic decline, candidates from both political parties have suddenly found a new villain to run against: China.”

There’s a reason, of course, for this campaign focus. Americans are scared. A Washington Post/ABC News poll earlier this year found that Americans “divide evenly” in terms of whether this will be more of an American Century or a Chinese Century.

China, of course, is a force to be reckoned with. But we’re seeing some irresponsible posturing going on; from where I sit it’s damn close to racial and cultural demonizing, and it can’t exactly help our country as we deal with the global complexities of our largest debtor nation.

Elections are always ugly, but the ugliness is usually short term. In this case, by appealing to our worst instincts, both parties are conspiring to leave some enduring cultural poison with a very long half-life.

[uls]

Quick question to our experts: bros uls and tidus.

Is our local stock market at the point of overheating?

TIA.

11.0K:dunno:

not an expert...

when you hear people talk about local stocks, everyone's so optimistic

even people who werent active in stocks, they're going in

local stocks looks bubbly

[uls]

$1T of QE2 has been priced into the USD

now it seems the amount will be smaller

around $500B

the oversold dollar is bouncing back

[uls]

EUR/USD

[uls]

the market was expecting shock and awe QE2

but QE2 will be much milder

all bets reverse

dollar up, everything else down

[uls]

8:30am NY -- GDP-Adv Q3 expected 2.0%