Tuesday, October 27, 2009

Latest News I am following today 10/27/09 Part Two

As discussed in Part One here are some stories those who really are addicted to the news (lol) news junkies like myself will want to read! I do ask if you find the news here and want to share it you mention where you found it. Boy do I have the news today this may take another two blogs to cover.

BP shares jump as oil company aims to cut $4bn

BP shares jump as oil company doubles cost cuts to $4bn

Investors are cheered after Europe’s second-largest oil company unexpectedly doubles cost-cutting target to $4bn this year.

Back-Door Taxes Hit U.S. With Financing in the Dark

New York Fed’s Secret Choice to Pay for Swaps Hits Taxpayers




The Wall Street Circle (Jerk) Of Trust

Many readers have expressed their incredulity, frustration and, at times, outright anger, with what can be classified simply as a mutual circle jerk among Wall Street's financial analysts, rushing to upgrade each others' stocks with impunity. These analysts have been operating with an S&P and Moody's like tendency to ignore any and all pitfalls associated with skyrocketing loan losses, coupled with tepid increases by the banks' taking on necessary reserves to account for what will likely be a collapse in the CRE market, which we at Zero Hedge have been documenting for the past nine months. Hereby we demonstrate the circular nature of all these activities: the attached graphic shows just how prevalent the ponzi upgrade game has become - among the top 7 banks which have staggering (and in many cases taxpayer subsidized) balance sheets and hold all the keys for the next major leg down, there is just one sell rating (and even that is simply between a European analyst and a European firm). Which begs a new spin on an old question: if a ponzi scheme develops before our eyes and everyone is blissfully ignoring it, has a ponzi ever occurred (we refer you to the SEC for the answer)?

Sprott Surreality Check Part Two: Dead Government Walking

The latest must read from Eric Sprott: "We believe the US government’s current trajectory presents one of the greatest macro-economic risks at play today. The Federal Reserve and the US government have assumed the toxic financial trash that brought the banking system to its knees a year ago. By monetizing debt to support their budget deficit and ‘save the system’, both entities have chosen to walk a well worn path traveled by so many governments before them. Like dead men walking, the US government is merely biding its time until the moment of truth. Unlike Fannie Mae, General Motors or Citigroup, however, there is no one left to grant a reprieve."

Looks like I may have to start a site devoted to just the news like minded individuals want to read about again check back I have more coming today!

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