Comments on: Rush to Put OTC Commodity Derivatives on Exchanges http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html Sun, 22 Nov 2009 11:45:14 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Anonymous http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21270 Anonymous Mon, 13 Oct 2008 15:12:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21270 Proposed language for the new world financial order:<br/><br/>Definition of plain understandable language:<br/><br/>Language that can be understood and critically analyzed by any high school graduate with a grade B or better average. Proposed language for the new world financial order:

Definition of plain understandable language:

Language that can be understood and critically analyzed by any high school graduate with a grade B or better average.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21265 Anonymous Mon, 13 Oct 2008 14:39:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21265 October 13, 2008<br/><br/> All the kings’ horses, and all the kings’ men, now aided by super glue, nano technology, and quantum physics are attempting to put Humpty together again. <br/> Place your bets on the NYSE.<br/><br/>Earl October 13, 2008

All the kings’ horses, and all the kings’ men, now aided by super glue, nano technology, and quantum physics are attempting to put Humpty together again.
Place your bets on the NYSE.

Earl

]]> By: Thingumbobesquire http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21263 Thingumbobesquire Mon, 13 Oct 2008 14:28:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21263 It is wrong to characterize this crisis as resulting from merely the latest incarnation of monetarist speculation, i.e. the housing bubble. The credit default swap derivatives the are undergoing de-leveraging are but a small proportion of the cancerous multi hundred trillion derivatives "markets." Until this insane gambling casino mentality is extirpated and replaced any attempt to prop it up is foredoomed. You can bet on that. It is wrong to characterize this crisis as resulting from merely the latest incarnation of monetarist speculation, i.e. the housing bubble. The credit default swap derivatives the are undergoing de-leveraging are but a small proportion of the cancerous multi hundred trillion derivatives “markets.” Until this insane gambling casino mentality is extirpated and replaced any attempt to prop it up is foredoomed. You can bet on that.

]]> By: wintermute http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21253 wintermute Mon, 13 Oct 2008 13:41:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21253 It is simply amazing.<br/><br/>In physics the observed energy of the vacuum is 10^100 times different from its theoretical value.<br/><br/>http://www.space.com/scienceastronomy/060508_mm_cyclic_universe.html<br/><br/>Such a crazy situation should never arise in the real world of economics. Right?<br/><br/>Not quite in the same league but economics is trying hard with its own discrepancy of 10*2<br/><br/>I am talking about the netted payout by CDS writers on Lehman's bond debt. Is it a mere $4bn as some sources allege. Or is it a systemic-wrenching $400bn as others suggest?<br/><br/>Fortunately we will find out sooner than physicists will about quantum vacuum energy!<br/><br/>But why wait? In a time of such nervousness, and increasing taxpayer liability, - it should be mandatory that all CDS claims, displaying both parties, should be loaded on the creditex website as soon as the auction finishes. <br/>Lets have an end to the huge unknowns of credit events! It is simply amazing.

In physics the observed energy of the vacuum is 10^100 times different from its theoretical value.

http://www.space.com/scienceastronomy/060508_mm_cyclic_universe.html

Such a crazy situation should never arise in the real world of economics. Right?

Not quite in the same league but economics is trying hard with its own discrepancy of 10*2

I am talking about the netted payout by CDS writers on Lehman’s bond debt. Is it a mere $4bn as some sources allege. Or is it a systemic-wrenching $400bn as others suggest?

Fortunately we will find out sooner than physicists will about quantum vacuum energy!

But why wait? In a time of such nervousness, and increasing taxpayer liability, – it should be mandatory that all CDS claims, displaying both parties, should be loaded on the creditex website as soon as the auction finishes.
Lets have an end to the huge unknowns of credit events!

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21228 Anonymous Mon, 13 Oct 2008 07:58:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21228 SIFMA Lobby Group Closes Market For Crooks?<br/><br/>The MSCI Asia Pacific excluding Japan Index of regional shares rose 4.5 percent, after last week plunging 20 percent, the biggest drop since the benchmark was first compiled in 1987. Japan's financial markets are shut today for a holiday as are those in the U.S., which prompted the Securities Industry and Financial Markets Association to recommend trading of cash Treasuries be closed today. SIFMA Lobby Group Closes Market For Crooks?

The MSCI Asia Pacific excluding Japan Index of regional shares rose 4.5 percent, after last week plunging 20 percent, the biggest drop since the benchmark was first compiled in 1987. Japan’s financial markets are shut today for a holiday as are those in the U.S., which prompted the Securities Industry and Financial Markets Association to recommend trading of cash Treasuries be closed today.

]]> By: doc holiday http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21226 doc holiday Mon, 13 Oct 2008 07:47:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21226 Ahhh, crap, bilateral contracts. Who is buying this crap anyway? There are regulations as to what investments can be held by banks and various financial entities, so are we talking about hedge funds here other unregulated pirates, who are rushing to use unregulated markets to dump trash into? Who are these nameless people? Bilateral contracts are bets between two crooks. Ahhh, crap, bilateral contracts. Who is buying this crap anyway? There are regulations as to what investments can be held by banks and various financial entities, so are we talking about hedge funds here other unregulated pirates, who are rushing to use unregulated markets to dump trash into? Who are these nameless people? Bilateral contracts are bets between two crooks.

]]> By: baychev http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21224 baychev Mon, 13 Oct 2008 07:29:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21224 Paul Volcker pointed to Charlie Rose another major issue: the size of the CDS market. It should shrink to 1:1 coverage of actual bonds as this CDS game is extremely inefficient and non productive use of collateral. Instead of lending to businesses or households, banks use their capital to trade no value added derivatives. Paul Volcker pointed to Charlie Rose another major issue: the size of the CDS market. It should shrink to 1:1 coverage of actual bonds as this CDS game is extremely inefficient and non productive use of collateral. Instead of lending to businesses or households, banks use their capital to trade no value added derivatives.

]]> By: tourist http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21219 tourist Mon, 13 Oct 2008 06:38:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21219 Yves,<br/><br/>Maybe the reason they're tripping all over themselves to get CDS on an exchange is they're figuring they can get the federal government to guarantee the counterparty risk of the exchange. Yves,

Maybe the reason they’re tripping all over themselves to get CDS on an exchange is they’re figuring they can get the federal government to guarantee the counterparty risk of the exchange.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21214 Anonymous Mon, 13 Oct 2008 06:03:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21214 U.S., Mideast buyout bosses gather in Dubai (Do they plan to take over some banks)<br/><br/>Details below:<br/><br/>http://marketwarnings.blogspot.com/2008/10/us-mideast-buyout-bosses-gather-in.html U.S., Mideast buyout bosses gather in Dubai (Do they plan to take over some banks)

Details below:

http://marketwarnings.blogspot.com/2008/10/us-mideast-buyout-bosses-gather-in.html

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives.html#comment-21196 Anonymous Mon, 13 Oct 2008 05:03:00 +0000 http://www.nakedcapitalism.com/2008/10/rush-to-put-otc-commodity-derivatives-on-exchanges/#comment-21196 "But it is nevertheless surprising to see this happening (at least to a degree) at the initiative of the dealers, rather than through regulatory prodding."<br/><br/>You've pointed out on your blog before, the person who does the first draft of a document gets a major advantage tactically. The same principle applies when an industry adopts self-regulation as a prophylactic measure to avoid or reduce anticipated oversight by regulators. “But it is nevertheless surprising to see this happening (at least to a degree) at the initiative of the dealers, rather than through regulatory prodding.”

You’ve pointed out on your blog before, the person who does the first draft of a document gets a major advantage tactically. The same principle applies when an industry adopts self-regulation as a prophylactic measure to avoid or reduce anticipated oversight by regulators.

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