In These New Times

A new paradigm for a post-imperial world

Posts Tagged ‘derivatives’

We are now on the verge of a historic meltdown & collapse

Posted by seumasach on August 22, 2013

We Are Now On The Verge Of A Historic Meltdown & Collapse

King World News

20th August, 2013

Read article

Posted in Financial crisis | Tagged: , , , | Leave a Comment »

“The market” is a reactionary mystification: reply to the attack on economic populism from Franco Debenedetti and other Italian economists

Posted by seumasach on May 25, 2010

Today, any objective appraisal would conclude that Greece is far more economically viable and solvent then Citibank. Portugal is more viable than Goldman Sachs. Italy has a brighter economic future by far than J.P. Morgan.

Webster Tarpley

Tarpley.net

23rd May, 2010

A group of Italian economists led by Franco Debenedetti of the famous financier clan and the banker Paolo Savona, obviously fearful that the Berlusconi-Tremonti government of Italy will join last Tuesday’s successful German ban on the type of toxic derivative known as the naked credit default swap, have sent an alarmed warning to the Corriere della Sera of Milan1. Debenedetti has contributed an article expressing similar sentiments to the Italian business newspaper Il Sole 24 Ore in which he rails at the “Mrs. Merkel market” now in force in Germany2. These economists, obviously inspired by the doctrines of Friedrich von Hayek and the Austrian school, want Italy to remain faithful no matter what to the widely discredited ideas of laissez-faire economics, even as those doctrines are everywhere under attack for having caused the current world economic depression. For these neoliberal and monetarist thinkers, any attempt to ban derivatives or tax speculation must be condemned as “economic populism,” which for these writers is a term of opprobrium.

Read the rest of this entry »

Posted in Battle for Europe | Tagged: , | Leave a Comment »

Economic bubbles and financial crises, past and present

Posted by seumasach on March 20, 2010

“What type of reform? First and for all, the packaging of different debts in impossible to untangle CDOs ld be outlawed. These products are financial time-bombs waiting to explode for the real economy, not only in the United States, but around the world. Second, CDS insurance products should be issued only against insurable securities and not issued as casino chips in values much larger than the value of the insured securities (i.e. no so-called naked CDSs). In order words, the entire innovation of securitization finance has to be reviewed and reigned in before it does further damage. These two reforms could be implemented immediately if politicians really understood the problems or if they were not in the banks’ pockets.”

With Europe under attack by precisely these weapons the pressing question is whether they respond decisively.

Prof. Rodrigue Trremblay

Global Research

20th March, 2010

I have spent some fifty years studying economic cycles and teaching international finance, but I had never seen the likes of what we witnessed and experienced over the last three years. That’s because such financial crises seem to happen 60 to 75 years apart.

Read the rest of this entry »

Posted in Battle for Europe | Tagged: , | Leave a Comment »

Video: Derivatives exposé. Summers, Rueben and Greenspan

Posted by smeddum on October 21, 2009

http://www.pbs.org/wgbh/pages/frontline/warning/view/

Posted in Uncategorized | Tagged: , , , , | Leave a Comment »

Put and call derivatives explained by Max Keiser

Posted by smeddum on September 14, 2009

Posted in Uncategorized | Tagged: , | Leave a Comment »

Derivatives still pose huge risk, says BIS

Posted by smeddum on September 14, 2009

Derivatives still pose huge risk, says BIS
The global market for derivatives rebounded to $426 trillion in the second quarter as risk appetite returned, but the system remains unstable and prone to crises, according to the Bank for International Settlements (BIS).

By Ambrose Evans-Pritchard, International Business Editor

13 Sep 2009

Telegraph

US insurer AIG was able to write nearly “half a trillion dollars” of unhedged insurance through credit default swaps
The BIS said in its quarterly report that total turnover of derivatives rose 16pc, mostly due to a surge in futures and options contracts on three-month interest rates. Read the rest of this entry »

Posted in Financial crisis | Tagged: | Leave a Comment »

Rolling the Dice Again: Packaging Life Insurances Policies Into Bond Products by Ralph Nader

Posted by smeddum on September 14, 2009

Rolling the Dice Again: Packaging Life Insurances Policies Into Bond Products

by Ralph Nader

September 14, 2009

SleptonMag


The Wall Street gang is at it again! It’s been one year since Wall Street’s collapse and bailout took trillions from taxpayers and the sinking economy. The speculative instruments that pulled down the economy were those super-risky sub-prime mortgages, credit default swaps, collaterized debt obligations-you know-Las Vegas East, using other peoples’ savings. Read the rest of this entry »

Posted in Financial crisis | Tagged: , , , | 1 Comment »

Radio: Jim Willie and Rob Kirby on losing faith in the dollar

Posted by smeddum on May 9, 2009

http://www.contraryinvestorscafe.com/broadcast.php?media=233

Posted in Financial crisis | Tagged: , , , , , , , , , , | Leave a Comment »

Freeze The $1.5 Qaudrillion Derivatives Bubble As The First Step To Recovery

Posted by seumasach on March 25, 2009

Webster Tarpley

Rense.com

25th March. 2009

WASHINGTON, DC – On the eve of the long-awaited London conference of the G-20 nations, we are rapidly descending into the chaos of a Second World Economic Depression of catastrophic proportions. In the year since the collapse of Bear Stearns, we have moved toward the disintegration of the entire globalized world financial system, based on the residual status of the US dollar as a reserve currency, and expressed through the banking hegemony of London, New York, and the US-UK controlled international lending institutions like the International Monetary fund and the World Bank. This is a breakdown crisis of world civilization, prepared over decades by the folly of deindustrialization and the illusions of a postindustrial society, further complicated by the deregulation and privatization of the leading economies based on the Washington Consensus, itself a distillation of the economic misconceptions of the Austrian and Chicago monetarist schools. If current policies are maintained, we face the acute danger of a terminal dollar disintegration and world hyperinflation. Read the rest of this entry »

Posted in Financial crisis | Tagged: , , | Leave a Comment »

The Invisible One Quadrillion Dollar Equation — Asymmetric Leverage and Systemic Risk

Posted by smeddum on March 18, 2009

 

The Size of the Derivatives Bubble = $190K Per Person on Planet
The Invisible One Quadrillion Dollar Equation
Global Research, March 16, 2009

 

According to various distinguished sources including the Bank for International Settlements (BIS) in Basel, Switzerland — the central bankers’ bank — the amount of outstanding derivatives worldwide as of December 2007 crossed USD 1.144 Quadrillion, ie, USD 1,144 Trillion. The main categories of the USD 1.144 Quadrillion derivatives market were the following:

1. Listed credit derivatives stood at USD 548 trillion;

2. The Over-The-Counter (OTC) derivatives stood in notional or face value at USD 596 trillion and included:

a. Interest Rate Derivatives at about USD 393+ trillion;

b. Credit Default Swaps at about USD 58+ trillion;

c. Foreign Exchange Derivatives at about USD 56+ trillion;

d. Commodity Derivatives at about USD 9 trillion;

e. Equity Linked Derivatives at about USD 8.5 trillion; and

f. Unallocated Derivatives at about USD 71+ trillion. Read the rest of this entry »

Posted in Financial crisis | Tagged: , | Leave a Comment »

The $700 trillion elephant

Posted by smeddum on March 7, 2009

The $700 trillion elephant
Commentary: Gargantuan derivatives market weighs on all other issues

By Thomas Kostigen, MarketWatch
Last update: 12:01 a.m. EST March 6, 2009Comments: 340
SANTA MONICA, Calif. (MarketWatch) — There’s a $700 trillion elephant in the room and it’s time we found out how much it really weighs on the economy. Read the rest of this entry »

Posted in Financial crisis | Tagged: | Leave a Comment »

 
Follow

Get every new post delivered to your Inbox.

Join 955 other followers

%d bloggers like this: