Posts tagged as:

TARP

SIGTARP confirms: TARP an exercise in moral hazard

January 31, 2010

The Special Inspector General's report on TARP has been released from embargo. It concludes that TARP was unsuccessful, and even its (debatable) short-term corrections are overshadowed by the extent to which it has returned the economy to its previous bubble state -- "we are still driving on the same winding mountain road, but this time [...]

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Bankruptcy law is such a nuisance

June 8, 2009

The White House tried to block the Indiana pension funds' appeal of the Chrysler sale from ever reaching the Supreme Court. U.S. Solicitor General Elena Kagan argued that the funds lack the standing to make their appeal, and that not only should their claims be dimsissed, but the Supreme Court does not even have the ability [...]

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JPM, AXP ask taxpayers for money to pay back taxpayers

June 1, 2009

Almost like a Ponzi scheme, but not quite: JP Morgan and American Express plan to issue common stock in order to pay back their TARP funds. Essentially, the two firms are going to sell parts of themselves to taxpayers in order to increase their cash, which will then be used to buy back, yes, parts [...]

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Goldman Sachs loses a month and $1B

April 14, 2009

Goldman Sachs announced stellar earnings last night of $1.8 billion, or $3.39/share.  The expected number was a mere $1.64/share, which GS more than doubled. The press went crazy, although the reported earnings were in line with the whisper.  Goldman used the positive momentum to push through a $5B equity offering, the proceeds of which will [...]

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TIME: "It's over!"

April 14, 2009

TIME magazine has called it over - thanks for coming, everyone, and please watch your step as you disembark the ride. In an article titled "More quickly than it began, the banking crisis is over," the intrepid financial analysts at TIME lay out their argument: But, the great banking crisis of 2008 is over. It [...]

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