Category Archives: Derivatives

Brexit Derivatives Risk: Did the City Overplay Its £38 Trillion Hand?

Novating UK derivatives contracts entered into by EU clearinghouse members is a ginormous mess, particularly in a Brexit crashout. But how serious a mess?

Post Crisis Measures Have Failed to Tame Derivatives Risks

Derivatives remain an untamed systemic risk.

Double Whammy: Implicit Subsidies and the Great Financial Crisis

Follow the subsidies, and you will understand why we had the crisis and why not enough has been done to prevent a recurrence.

Pigs Want To Feed at the Trough Again: Bernanke, Geithner and Paulson Use Crisis Anniversary to Ask for More Bailout Powers

The chief architects of the exercise in looting otherwise known as the post-crisis rescues are back promoting more of the same.

The Michael Hudson Report: The “Next” Financial Crisis and Public Banking as the Response

Michael Hudson explains how we’re still in the crisis that started in 2007-2008.

Bill Black: Mankiw Whiffs on “Learning the Right Lessons from the Financial Crisis”

Bill Black debunks a book that tries to relitigate the crisis by denying that Lehman was insolvent.

Brexit Crash Out Virtually Certain

Brexit uglies are only getting uglier.

Treasury Proposes Dubious, Untested Chapter 14 Bankruptcies for Too Big to Fail Banks

Treasury released an ideologically-driven proposal to change Dodd Frank’s resolution authority.

Financial Markets Have Taken Over the Economy. To Prevent Another Crisis, They Must Be Brought to Heel.

A detailed and well-argued explanation of how the growth in the role of financial markets has become destructive.

SEC Stymies Plans to Offer Bitcoin Funds Anytime Soon

SEC staff letter raises detailed concerns about offering products based on bitcoin or other cryptocurrencies to retail investors.

The Bitcoin Bubble

As bitcoin has become a mania, it is also becoming a risk to the real economy.

New Potential Credit Risk Bombs: Exotic, ‘Nonlinear’ and Private Transactions

Beware of old CDO risk re-imaged as “nonlinear finance”.

Can EU Actors Keep Using Common Law After Brexit?

The widespread use of English law in financial contracts poses yet another set of tricky post-Brexit issues.

Trump, Republicans Make Bogus Case for Bank Deregulation as Senate Certain to Curtail House Dodd Frank “Reform”

Trump and the Republicans are moving forward with deregulation plans that serve big bank bottom lines, not the broader economy.

British Press Hissy Fit Over Predictable EU Move to Relocate Euro-Clearing to the Continent

The UK press reacts with unwarranted indignation to an EU move that was sure to happen.