Links and Reading for August 25th
August 25, 2011 11:00 pm
Some of the more interesting and important items for August 25th :
- Bonds Are Most Expensive Since Lehman Collapse Versus Stocks: Japan Credit – Bloomberg – Japanese bonds are the most expensive relative to local shares since the collapse of Lehman Brothers Holdings Inc. amid growing doubts that companies’ earnings will meet analysts’ forecasts.
- China Banks Post Record Profits as Rivals Stumble – Bloomberg – China’s five biggest banks posted first-half profits that surpassed the total of their 14 largest U.S. and European rivals, highlighting the Asian nation’s financial power as other economies falter.
- Dear HFT, Please Explain This | ZeroHedge – On August 25, 2011 at 15:45:48, in a one second period of time, there were more than 10,000 quotes and exactly zero trades in DELL. Close inspection of these quotes reveals something very disturbing. This cannot be dismissed as a computer problem or glitch. This can’t be explained as stupidity or some oversight. It is not pinging for hidden liquidity. And it’s certainly not price discovery. As far as we can tell, it’s not adding liquidity or narrowing the bid/ask spread.
- Todd Harrison On The Summer Stock Market Crash: Where Do We Go From Here? | Markets | Minyanville.com – August has indeed been busy and lest you were sunning your buns on the beach, there has been a slew of movement in the global financial sphere. Let’s take a moment to reflect on where we’ve been as we navigate the probability spectrum of where we’re going.
- Apotheker: from bumpy start to wild ride – MarketWatch – SAN FRANCISCO (MarketWatch) — After a bumpy transition, Hewlett-Packard Co. Chief Executive Leo Apotheker’s reign at the iconic Silicon Valley tech powerhouse has steadily turned into a wild ride.
- Jobs’s departure no reason to ditch Apple – MarketWatch – SAN FRANCISCO (MarketWatch) — The resignation of Steve Jobs as Apple Inc.’s chief executive gave investors reason to trim the company’s shares Thursday, but Wall Street analysts remained uniformly behind Apple’s succession plan and new leader Tim Cook.
- The Housing Numbers: Can We Talk? : The Disciplined Investor – There is nothing to cheer about in the land of the empty houses. It would be a great idea if someone could come up with a reasonable idea to start the process of getting buyers to stop waiting for housing prices to move lower. Mr. Bernanke knows that deflation is the ruination of any economy. Between the FED and the Govy, a plan of action is needed.
- Korea Clamps Down on Traders for Playing Games – NYTimes.com – It should be something else entirely. Finance ought to provide an economy with an efficient means of allocating capital. It should provide a means of price discovery of assets, whether real or financial. It should provide a safe and reliable payments system. Financial innovations are worthwhile if, and only if, they help in those areas.
- Doubts Still Harbored About Europe’s Banks – NYTimes.com – FRANKFURT — European banks have become nervous about each other’s creditworthiness, evoking memories of the mistrust that prevailed during the dark days of 2008.
- In U.K., Goldman Issues Recall on Pay – WSJ.com – In one-on-one conversations this summer, Goldman managers have been reminding their London-based employees that temporarily higher salaries granted to them for 2010 would expire beginning in 2012. Their pay will revert back to what similarly ranked employees are paid elsewhere in the company. The move had been expected.
- CME cuts margin requirements on crude-oil futures – MarketWatch –
- Fund Investors Pull $436 Million From Stocks; MainStay Fund Gains – Focus on Funds – Barrons.com –
- Bank of America: Value of Buffett Deal About $5.28/Share, Says One Number-Cruncher – Stocks To Watch Today – Barrons.com –
- Jackson Hole guests tell Fed to keep rabbit in hat – The Fed – MarketWatch –