crisis

Looking at the action in overnight trading, I see a very strong move to the upside in the offing in equity markets worldwide. All of the data is looking bullish. In Australia, the All Ordinaries is up five percent led by banking shares.…

The European Union has finally shown that it can get Europe-wide crisis initiatives of significance passed. Not only many EU countries guarantee bank deposits, but now bank borrowing has been backstopped as well. At first blush, this…

This comes from the Sydney Morning Herald. I will have a comment on this post later today.UPDATE: combined with the news out of the EU regarding bank backstops and interbank guarantees, the news from Australia is now being greeted quite…

Given the historic nature of the Lehman Brothers bankruptcy, it bears explaining how the credit default swaps market work and why it matters.

At this stage in the financial crisis, it is difficult to discern exactly where things are headed. However, let me give a general road map of how I see things shaping up.The credit crisis started in August 2007 as a result of the dual…

Look, the markets were really ugly this week. But, at a minimum, we avoided the worst on Friday. In the end, we can live in a constant reality of fear and loathing.... or we can escape and relax. Everybody needs a little escape now and…

SourceDow Jones Chart - Yahoo! Finance

I caught this photo via the Wall Street Journal's blog Market Beat by David Gaffen. This sell-off now ranks as one of the three worst in the last 100 hundred years.Very sobering.

This comes via Credit Fixings. The auction process to settle Credit Default Swap trades on Lehman Brothers bonds put the value of the debt at 9.75 cents on the dollar. That is much lower than one would have expected (12 cents on the…

It is usually said that capitulation is reached and the markets can go higher only when everyone has thrown in the towel. Are we there yet? I don't think so. However, would suggest you head over to the Guardian website and vote…