Vikram Pandit, “create and capture” victim

By Ben Walsh
October 26, 2012

When Vikram Pandit was ousted just a day after Citigroup reported earnings last week, he tried defuse most observers’ surprise, insisting that he had “been thinking about this for a long time”. That was a pretty feeble defense: in August he was telling people that he planned to say on as CEO for “several years“.

from Felix Salmon:

Counterparties: Earnings #fail

By Ben Walsh
October 25, 2012

Welcome to the Counterparties email. The sign-up page is here, it’s just a matter of checking a box if you’re already registered on the Reuters website. Send suggestions, story tips and complaints to Counterparties.Reuters@gmail.com

from Felix Salmon:

Counterparties: Why did markets move?

By Ben Walsh
October 23, 2012

Welcome to the Counterparties email. The sign-up page is here, it’s just a matter of checking a box if you’re already registered on the Reuters website. Send suggestions, story tips and complaints to Counterparties.Reuters@gmail.com

The Yogi Berra refi market

By Ben Walsh
October 18, 2012

Last week I pointed to JP Morgan and Wells Fargo’s earnings as the latest evidence of refinancing boom in the US housing market. Cue a lengthy piece by Chris Taylor that seems to dent my thesis by highlighting the “hell” of actually refinancing a mortgage.

from Felix Salmon:

Counterparties: Fragile China

By Ben Walsh
October 18, 2012

Welcome to the Counterparties email. The sign-up page is here, it’s just a matter of checking a box if you’re already registered on the Reuters website. Send suggestions, story tips and complaints to Counterparties.Reuters@gmail.com

from Felix Salmon:

Counterparties: Pandefenestration

By Ben Walsh
October 16, 2012

Welcome to the Counterparties email. The sign-up page is here, it’s just a matter of checking a box if you’re already registered on the Reuters website. Send suggestions, story tips and complaints to Counterparties.Reuters@gmail.com

from Felix Salmon:

Counterparties: Economists who did good

By Ben Walsh
October 15, 2012

Welcome to the Counterparties email. The sign-up page is here, it’s just a matter of checking a box if you’re already registered on the Reuters website. Send suggestions, story tips and complaints to Counterparties.Reuters@gmail.com

A bubble we can use: mortgage refinancing

By Ben Walsh
October 12, 2012

Since the financial crisis, banks have struggled to fill the multi-billion-dollar hole that mortgage securitization caused in their income statements. Announcing their quarterly earnings this morning, JP Morgan and Wells Fargo seem to have found at least a partial replacement: mortgage refinancing.

from Felix Salmon:

Counterparties: Small enough to fail?

By Ben Walsh
October 11, 2012

Welcome to the Counterparties email. The sign-up page is here, it’s just a matter of checking a box if you’re already registered on the Reuters website. Send suggestions, story tips and complaints to Counterparties.Reuters@gmail.com

Why un-revised jobs numbers matter

By Ben Walsh
October 9, 2012

Ignore Friday’s completely baseless conspiracy-mongering from Jack Welch about the jobs numbers. The really interesting and pretty simple question is whether you should even pay attention to the Bureau of Labor Statistics’ monthly jobs data and economists’ predictions of them at all. Matt Yglesias argues the revisions are consistently large enough that we should all just chill out and just wait for more reliable data. He’s not alone in scolding the hype surrounding a number that’s going to change anyway. If you’re an ordinary observer, that argument makes complete sense. If you’re a trader, though, there’s plenty of reason to pay attention to the initial numbers: it moves markets, and that’s as much a rationale as a trader needs. There’s also a data-driven explanation of why both economists’ consensus of the initial number and the number itself should move markets.