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HomeBarney Frank to Eric Holder: Time for Prosecutions . . . Really?
Posted by Larry Doyle on December 21st, 2012 9:24 AM |
The American public in totality is not stupid, although they are often treated that way by many in Washington.
Scandalous behavior within major Wall Street institutions has run rampant over the last decade — and likely a lot longer than that — and been addressed almost uniformly with token fines (relative to revenues generated) that are little more than a cost of doing business. Why does such scandalous behavior persist? (more…)
Libor Scandal: How Executives Must Have Known
Posted by Larry Doyle on December 20th, 2012 9:03 AM |
The intrigue surrounding the greatest financial fraud “of all time” could fill many a book and many a movie theatre. While the intrigue may make for riveting reading and viewing, the simple fact is this fraud comes with an exceptionally high cost for investors, consumers, and society as a whole.
How did the web of this manipulation grow so large? Where were the regulators and internal compliance people to snuff it out and bring some semblance of order to what can only be defined as “organized racketeering?”
While little focus has yet been shone on the regulators or those in compliance at the banks involved, we now begin to see some cracks in the Libor rigging foundation in terms of addressing the fact that senior executives were aware and involved in this manipulation. (more…)
Libor Scandal: Bloomberg Echoes Sense on Cents Call
Posted by Larry Doyle on December 19th, 2012 1:59 PM |
I have maintained literally from the outset that the manipulation and rigging of Libor and other benchmark interest rates could not have occurred without the knowledge and blessing of senior executives within the banks.
We read today that senior executives at UBS were very much aware of the collusive practices that went on for years. The question now begs what will happen from here. Will selected executives who may have left the firm voluntarily or otherwise be allowed protective cover? Remember, justice neglected is justice denied. (more…)
Libor Scandal Update: UBS GUILTY of FRAUD!!!
Posted by Larry Doyle on December 19th, 2012 6:54 AM |
GUILTY!!
Why would anybody want to do business with an institution that systematically participated in a widespread fraud over a period of years? I guess that very statement could likely be said of many global banks in regard to the scandal encompassing the manipulation of Libor.
Today, though, the scarlet letter is applied to the Union Bank of Switzerland as it pleads guilty to fraud in the manipulation of Libor and other benchmark interest rates. This bucket shop has agreed to pay a $1.5 billion fine. (more…)
Jeff Gundlach: Very Cautious 2013 Outlook
Posted by Larry Doyle on December 19th, 2012 6:05 AM |
Last week I shared with readers a written “playbook” provided by Jeff Gundlach and his team at Doubleline in my commentary, What Is Really Going On in the Economy/Markets?.
Today we get to invite Mr. Gundlach “into” our office so to speak and hear his piercing insights. If you have an even passing interest in the markets and economy, get yourself a second cup of coffee and some pain medication as you absorb this 20-minutes worth of wisdom that will surely help you navigate the economic and market landscape in 2013 if not beyond. What does Gundlach address? (more…)
President Obama in Newtown: “We Must Change” . . . . . Sense on Cents: Here’s How
Posted by Larry Doyle on December 17th, 2012 9:05 AM |
“Here in Newtown, I come to offer the love and prayers of a nation…We cannot tolerate this anymore. These tragedies must end, and to end them, we must change”
~~President Obama
As I think about what to write this morning and how to write it, I keep thinking of the names and faces of the precious little children and courageous teachers and administrators who lost their lives at The Sandy Hook Elementary School last Friday morning. Prior to my writing any further, I would like to honor them and their families by posting their names here. (more…)
Pray for Newtown, Pray for Us
Posted by Larry Doyle on December 15th, 2012 7:35 AM |
Please pray for the families impacted by the horrific incident in Newtown, CT yesterday. Please also pray for our nation.
I cannot begin to imagine the excruciating pain that has befallen those directly affected by this tragedy. Certainly, the pain of these families and the community at large are felt by all of us. Our thoughts and prayers go out, but there must be more than just those thoughts and prayers. As a friend shared with me yesterday:
There is no greater energy in the universe than the purity of light within the innocent child. It is the responsibility of us all to nurture and protect them from harm. (more…)
Expected Growth of the Black Market
Posted by Larry Doyle on December 14th, 2012 7:46 AM |
In the course of a recent discussion with an associate involved in a business that “follows the money”, I asked him what he projected for the US economy. In very short order he told me that he strongly believes that the US economy will experience very real growth. That’s good right? Not so fast.
Growth where, though? What sectors and what markets? His response? The black market.
What is the black market and why would our economy experience growth in this fashion? (more…)
Libor Scandal: “Biggest Financial Fraud of All Time”
Posted by Larry Doyle on December 13th, 2012 2:00 PM |
With news leaking that Union Bank of Switzerland is poised to pay a $1 billion fine for its involvement in the manipulation of Libor, we once again are led to the conclusion that, for those involved in running the major global financial institutions, “CRIME PAYS.”
It is insulting to those who have even an ounce of decency in their body to think that institutions such as Barclays, UBS, and certainly many more can engage in the “biggest financial fraud of all time” and simply write a check for their complicity.
The “biggest financial fraud of all time,” LD? Yes, I have defined this price rigging racket in just such a fashion many times. Those are not merely my words today. Who else joins me and echoes those sentiments? (more…)
Federal Reserve Misses The Target
Posted by Larry Doyle on December 13th, 2012 8:21 AM |
Stand back.
A marksman with a powerful weapon not properly focused on an appropriate target is capable of wreaking real havoc.
Who is the marksman? Federal Reserve chair Ben Bernanke. What is his powerful weapon? Monetary policy. What is the appropriate target? The level of employment in our nation. What might be the havoc? The list is too long but let’s start with a breakdown in the relationship between monetary policy and inflation and work our way to civil unrest. Havoc does not typically connote a well defined set of outcomes.
Am I being overly alarmist? I think not given the size of Bernanke’s weapon and how wildly off target he really is in the message he sent the markets just yesterday. What did he say? (more…)
