Archive for the ‘General’ Category
Posted by Larry Doyle on July 14th, 2012 11:15 AM |
Oh what a tangled web they weave.
With the Libor scandal rocking Barclays Bank and ricocheting throughout the British banking system, we now begin to see the defenses go up on this side of the pond.
Recently released reports indicate that then New York Fed President and current U.S. Treasury Secretary Timothy Geithner made recommendations to British authorities for reforming the process used to set Libor. Is that right?
My ‘sense on cents’ would categorize those reports and that recommendation under the heading of ‘the best defense is a good offense.’
How is it that a Barclays employee could have reported in early 2008 to the New York Fed that Libor was being manipulated, yet the rigging continued into 2009? (more…)
Tags: Barclays Libor Scandal, Barclays Libor scandal Tim Geithner, Barclsys Libor scandal what did Tim Geithner know, BBA Libor scandal, manipulation of Libor, New York fed Tim Geithner Libor reform, New york Times What They Knew July 14 2012, reforming Libor New York Fed response, rigging Libor, Tim Geithner New York Fed Libor scandal, Wall Street-Washington incest
Posted in General, Libor | 4 Comments »
Posted by Larry Doyle on July 13th, 2012 10:35 AM |
I have a very empty feeling this morning.
As I try to collect my thoughts and put forth a reasoned commentary about developments on Wall Street and the impact on our global economy, my mind keeps reverting to the pain emanating from State College, Pennsylvania. My heart breaks for the individuals and families directly impacted by the tragic situation surrounding Penn State.
Who knows when the monster known as Jerry Sandusky first started to prey upon young innocent children? What we do know is that his crimes could have and should have been stopped long before other innocent victims were violated. Why and how did this happen? (more…)
Tags: a lack of leadership in the United States, a lack of leadership on Wall Street, a leadership crisis at Penn State, crisis at Penn State, crisis in America, leadership crisis, NCAA penalty imposed on Penn State, Penn State crisis, Penn State NCAA penalty, Penn State to Wall Street, real crisis in America, the real crisis in America
Posted in General | 11 Comments »
Posted by Larry Doyle on July 11th, 2012 7:31 AM |
I hope the crowd on Capitol Hill is tuned in very closely to ongoing developments in the Barclays Libor scandal. The lightweights who allow the likes of Jamie Dimon to come and go with nary a glove being put upon him could learn more than a few lessons from members of Parliament engaged in undressing former Barclays CEO Bob Diamond.
What did we learn yesterday?
“Diamond lied to the committee,” David Ruffley, a committee member from the U.K.’s ruling Conservative Party, said at yesterday’s hearing.
Not leaving much to interpretation there. Perhaps the designation of Lie-more scandal is truly appropriate. (more…)
Tags: allegations Bob Diamond lied to UK Treasury committee, Barclays Bank Chairman Marcus Agius contradicts Bob Diamond, Barclays Libor Scandal, barclays relationship with the FSA, did Bob Diamond lie to Parliament, did Bob Diamond lie to UK Treasury committee, is Bob Diamond operating under oath when testifying
Posted in General, Libor | 5 Comments »
Posted by Larry Doyle on July 10th, 2012 8:10 AM |
The London Interbank Overnight Rate, aka Libor, is the referenced benchmark rate for only some multiple hundreds of trillions of dollars worth of securities and contracts. As such, the rate is of enormous importance to the markets and global economy. I personally recall beginning almost every day as a trader on Wall Street by inquiring of an individual on the finance desk, “Where’s Libor?”
With the manipulation of this rate rocking the markets, everybody wants to know who’s to blame. There is certainly plenty of blame to go around.
If we were to listen to Bob Diamond, former CEO of Barclays, we would be inclined to believe that the blame in that organization rested merely within a very small group of individuals. How convenient. Do you think the CEOs of other banks would also like to ring fence this issue to a small group of expendable individuals on selected trading desks? No doubt. (more…)
Tags: Alan Greenspan, Arthur Levitt, Barclays Libor Scandal, Barclays Libor Scandal who is really to blame, Brooksley Born CFTC, Charles Ferguson Inside Job, Commodity Futures Modernization Act, Inside Job, lack of regulation of derivatives, lack of regulation of derivatives market, Larry Summers, Libor scandal, Phil Gramm, Robert Rubin, who is guilty of Libor scandal, who is to blame for Libor scandal
Posted in General, Libor | 3 Comments »
Posted by Larry Doyle on July 9th, 2012 11:36 AM |
The scandal centering on the rigging of Libor has the potential to rock the entire financial industry like no other scandal in our lifetime. While I have witnessed some industry insiders and others on the periphery attempt to downplay the impact of this scandal, they are mistaken in their analysis.
I would love to be privy to the conversations currently ongoing between individuals at the Fed, Treasury, Department of Justice, the CFTC, SEC, FINRA and their counterparts at the Bank of England, the FSA, other central banks, and regulatory authorities. While I have no doubt that selected financial fiascoes have been conveniently kept under the rug, I do not think there is a rug large enough to cover up this mother-of-all-scandals.
As this scandal continues to unfold, I think it may very well have a significant negative impact on the overall equity markets. Why? As investors hear and learn more about this scandal, they will be inclined to sell the market as a vote of no confidence and no trust in the overall system.
For added flavor I highly recommend these two recently released video clips. The first runs just over 9 minutes and is especially hard-hitting. The latter, not quite 7 minutes, addresses the magnitude of this scandal. (more…)
Tags: Barclays Libor Scandal, Dennis Kelleher, Libor scandal, Lie-more, liemore, Limor
Posted in General, Libor | 2 Comments »
Posted by Larry Doyle on July 5th, 2012 7:34 AM |
I was interviewed by First Business News this morning. What is “the real problem” for investors behind this scandal? For that answer and more, please view this 3-minute clip to get a few of my thoughts on the developing Libor scandal.
Navigate accordingly.
Larry Doyle
Related Sense on Cents Commentary
Barclays Libor Scandal: When Did Manipulation Start?
Barclays Libor Scandal: How Big Will This Get?
Barclays Libor Scandal: Reports Regulators Knew; Time for Independent Investigation and Eliot Spitzer
Barclays Libor “Price Fixing”: Collusion Is Illegal. . .
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I have no affiliation or business interest with any entity referenced in this commentary. The opinions expressed are my own. I am a proponent of real transparency within our markets so that investor confidence and investor protection can be achieved.
Tags: Barclays Libor Scandal Larry Doyle, Bill Moller interview with Larry Doyle, First Business News Bill Moller, First Business News Chicago, First Business News show, Larry doyle answers the real problem in the Libor scandal, Larry Doyle interview on First Business News, Larry Doyle interview on Libor scandal, Larry Doyle Sense on Cents, Libor scandal and lack of transparency, Libor scandal and regulatory oversight, Libor scandal and self-regulation, Libor scandal erodes confidence, what is the real problem in the Libor scandal
Posted in General, Libor | 15 Comments »
Posted by Larry Doyle on July 4th, 2012 11:00 AM |
Every day is a great day to be an American but no day more so than the 4th of July.
Memories of fireworks, family outings, barbecues, ice cream, and baseball are truly special. Today’s activities will be tomorrow’s memories of national pride for our youth.
In an attempt to heighten the pride in our country I am heartened to take a step back in time and share one of the top 100 moments in baseball history. I thank the reader who shared this fabulous clip with me and I welcome sharing it with others.
The play highlighted is TRULY special. (more…)
Tags: Doug Rau Dodgers, God Bless America, July 4 2012, memories of July 4th, Rick Monday American flag, Rick Monday grabbing American flag, Rick Monday saving American flag, Rick Monday stops burning of American flag, Steve Garvey, Tom Lasorda Dodgers manager
Posted in General | No Comments »
Posted by Larry Doyle on July 4th, 2012 9:52 AM |
Discretion would typically dictate my writing about our nation’s declaration of independence today.
I will address that in short order, but the ongoing scandal surrounding the Libor price-fixing is not taking a holiday today. All eyes and ears in the UK are focused on the parliamentary testimony of recently deposed Barclays CEO Bob Diamond.
Diamond and his former lieutenants at Barclays have already indicated that their defense will zero in on the Bank of England and specifically the BOE’s Paul Tucker. (more…)
Tags: Bank of England and Barclays Libor price scandal, Bank of England Paul Tucker, Barclays Libor Scandal, Bob Diamond testimony in UK, Libor scandal needs independent investigation, Libor scandal needs independent investigation with subpoena powers, start date of Libor price fixing scandal, when did Libor pricing scandal start
Posted in General, Libor | 4 Comments »
Posted by Larry Doyle on July 3rd, 2012 11:06 AM |
When the proverbial “you know what” has hit the fan on Wall Street over the last few years, the defense of those occupying executive offices has consistently been, “the regulators were all over the firm and did nothing.”
With the industry in full defense mode over the fallout from the Libor price-fixing scandal, we catch a strong and overpowering sense of this stench filtering into the public domain once again. Bloomberg highlights as much in a short must-view video clip, Bad Bankers May Face Criminal Charges,
“Fraud is a crime in ordinary businesses, why shouldn’t it be so in banking?” (more…)
Tags: Barclays, Barclays Libor Scandal, did regulators know of Libor price fixing scandal, financial regulation Libor price fixing, Libor market manipulation, Libor price-fixing scandal, Libor scandal, self-regulation Libor price fixing
Posted in General, Libor | 6 Comments »
Posted by Larry Doyle on July 3rd, 2012 7:29 AM |
The real tragedy of the scandal is the apparent lack of ethics or self-restraint among the people involved. Following billions of dollars of trading losses at JPMorgan Chase & Co.’s out-of-control London unit, the latest installment of big-bank follies offers yet more proof that the industry shouldn’t be trusted to regulate itself.
The earthquake that rocked Wall Street and the global financial markets in 2008 continues to reverberate today. Just ask Bob Diamond, CEO of Barclays . . . or I should say, former CEO of Barclays.
Diamond, the once high-flying American banker was dethroned overnight as the chief executive of the UK-based bank as public pressure and outrage grow over the current Libor price-fixing scandal. Do not think for a second that the CEOs of other large global banks are not sufficiently concerned of their own standing this morning. As well they should be. (more…)
Tags: Barclays Libor Scandal, Bloomberg commentary on Libor price fixing scandal, Bob Diamond Barclays CEO resignation, Bob Diamond leaves Barclays, Bob Diamond resignation, fallout from Barclays Libor scandal, financial self-regulation does not work, Libor price-fixing scandal, Libor scandal, Libor scandal and market manipulation, Libor scandal fallout, market fallout of Libor price fixing scandal, There's Something Rotten in Banking, will Federal reserve and US Treasury provide cover for Libor scandal
Posted in General, Libor | 13 Comments »
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Barclays Libor Scandal: How Big Will This Get?
Posted by Larry Doyle on July 3rd, 2012 7:29 AM |
The earthquake that rocked Wall Street and the global financial markets in 2008 continues to reverberate today. Just ask Bob Diamond, CEO of Barclays . . . or I should say, former CEO of Barclays.
Diamond, the once high-flying American banker was dethroned overnight as the chief executive of the UK-based bank as public pressure and outrage grow over the current Libor price-fixing scandal. Do not think for a second that the CEOs of other large global banks are not sufficiently concerned of their own standing this morning. As well they should be. (more…)
Tags: Barclays Libor Scandal, Bloomberg commentary on Libor price fixing scandal, Bob Diamond Barclays CEO resignation, Bob Diamond leaves Barclays, Bob Diamond resignation, fallout from Barclays Libor scandal, financial self-regulation does not work, Libor price-fixing scandal, Libor scandal, Libor scandal and market manipulation, Libor scandal fallout, market fallout of Libor price fixing scandal, There's Something Rotten in Banking, will Federal reserve and US Treasury provide cover for Libor scandal
Posted in General, Libor | 13 Comments »