This article sounds interesting and kinda true. The point is basically that once the masses have caught on – the jig is up. This one speaks specifically about Hollywood’s latest – an obsession with hedge funds – and the implication that now hedge funds are doomed. Hedge Funds in Hollywood: TV and movies have rediscovered [...]
I guess it has taken awhile for me to respond to the news about the Fed’s 50 bps cut partially because it is hard to know what the implications of the cut will be beyond the short term pop everyone witnessed over the last week and partially because I was surprised enough to take a [...]
The Commercial Paper market is set to roll over a ton of debt over the next couple of weeks. According to this blog quoting newsweek: The shaky U.S. credit markets will face a critical test over the next few weeks, as companies try to find buyers for hundreds of billions of dollars in short-term debt [...]
To tip my hand and show, contrary to what the previous post may indicate, that I believe numbers have power – if nothing more they add content to our intuitions and reason. This is truly one of the coolest displays of statistical data I have ever seen. It also reveals some unintuitive but right-sounding observations [...]
It may be the fault of my Econometrics professor in undergrad who talked about how he enjoyed single malts and parties in his undergraduate days while laughing about “statistical significance.” He introduced me to EconoMagic.com, and the glint in his eye as he emphasized the latter half of the site’s name coupled with the ease [...]
I have always been patriotic. And I am from Texas. Those two facts are probably correlative and maybe even indicative of causation, but like so many things it is hard to know whether causation exists. The reason I bring it up is that sometimes I think my pessimism about the markets can get muddled with [...]
I wonder if this helps to explain some of the ridiculous Vol/illiquidity/drying up in the CP markets over the last few weeks: Citigroup reportedly has $100 billion in SIVs Apparantly Citi (and I would be shocked if they were the only dudes who utilized this type of trade) used off-balance sheet structured vehicles to create [...]
This article is awesome. Basically now that Greenspan is out of office, he can hop into the mainstream and be honest. In his own words from the article: Greenspan Says Turmoil Fits Pattern “The behavior in what we are observing in the last seven weeks is identical in many respects to what we saw in [...]
I am sitting in the bathroom of a hotel room that I paid way too much for at 3 am, because the air conditioning sounds like a garbage disposal and the walls are thinner than vietnemese rice paper rendering the neighbor’s conversation a just audible accompaniment to the clang of the window unit. And for [...]