http://www.realclearpolitics.com/articles/2011/10/31/in_foreign_affairs_obama_needs_respect_not_love_111865.html

The former US Senator,Democrat Governor of NJ and former Goldman Sachs CEO John Corzine has left another wake of disaster for investors and probably ultimately taxpayers.

OF course the guy is a huge advocate of government bailouts, reckless Keynesian spending and BARACK OBAMA.

idontlikebeingrightaboutshitlikethisbutiam



Edited 21 time(s). Last edit at 5/31/1967 05:57AM by WingNut.

Last edit at 11/30/2015 01:37PM Last edit at 5/14/2015 03:52PM Last edit at 1/28/2014 05:57AM Last edit at 11/29/2015 01:10PM Last edit at 3/14/2011 11:52PM Last edit at 7/20/2012 04:07AM
Last edit at 6/29/2013 11:18PM Last edit at 3/19/2011 01:02PM Last edit at 3/26/2012 09:07PM

Hundreds of millions in missing money.

YES WE CAN!


http://dealbook.nytimes.com/2011/10/31/regulators-investigating-mf-global/?hp

idontlikebeingrightaboutshitlikethisbutiam



Edited 21 time(s). Last edit at 5/31/1967 05:57AM by WingNut.

Last edit at 11/30/2015 01:37PM Last edit at 5/14/2015 03:52PM Last edit at 1/28/2014 05:57AM Last edit at 11/29/2015 01:10PM Last edit at 3/14/2011 11:52PM Last edit at 7/20/2012 04:07AM
Last edit at 6/29/2013 11:18PM Last edit at 3/19/2011 01:02PM Last edit at 3/26/2012 09:07PM

How is Vinnie Cerrato like George Bush Jr?

They'll both take a generation to recover from.

How is Adumbs bad joke relevant to the topic?

Answer, it isn't. It's just the kind of thing that fruity left-wingteenagers hear and repeat and try to pass off as political thought.

idontlikebeingrightaboutshitlikethisbutiam



Edited 21 time(s). Last edit at 5/31/1967 05:57AM by WingNut.

Last edit at 11/30/2015 01:37PM Last edit at 5/14/2015 03:52PM Last edit at 1/28/2014 05:57AM Last edit at 11/29/2015 01:10PM Last edit at 3/14/2011 11:52PM Last edit at 7/20/2012 04:07AM
Last edit at 6/29/2013 11:18PM Last edit at 3/19/2011 01:02PM Last edit at 3/26/2012 09:07PM

Just trying to focus on the real issues.

Sorry for ruining your thread again. Must kill you to be bested by a fourteen year old on every post.

Loooooooser

The real issue-

Lifetime Democrat/leftist/liberal SCREWS Americans (again),,, News Media blames banking mess on the other guys.

The fact that Corrzine is a Democrate has nothing to do with this story.

He was operating under republican ideals and he will be protected by republican policy.

How dare you deride a buisness person. Youre conservative, Corrzine and his ilk are your gods.

Here's a better story from today's Wall Street Journal, I'm sure you're all for this WingedNutts:

5. ‘Golden Parachutes’ Are Back
If only everyone could profit so much from losing their jobs. According to The Wall Street Journal, at least four CEOs are currently in line for payouts of more than $50 million—including $100 million to former Nabor Industries CEO Eugene Isenberg. Motorola Mobility’s chief, Sanjay Jha, could make $65.7 million as part of Google’s takeover of the company. And an additional four CEOs could make more than $30 million from deals that have already been completed or are pending. These big packages are all related to corporate mergers, although many CEOs who have been laid off had a good year, as well: HP’s Leo Apotheker received $13 million, while Yahoo’s Carol Bartz got $10 million.

http://online.wsj.com/article/SB10001424052970204394804577010000947986974.html?mod=WSJ_business_LeftSecondHighlights

You should change your name to Fallacy



Edited 1 time(s). Last edit at 11/01/2011 08:56AM by Atom.

Just like welfare and government handouts to people who have no business receiving them, you can't fault the recipient. What should they do? Say no thanks I don't want the money? No, that's absurd. The problem is the company that agreed to the departing ceo's terms during contract negotiations just as the problem is the government entity that makes it possible for people that are perfectly capable of working and earning a living to receive benefits that should be reserved for those that are truly in need. Don't hate the taker. Hate the enabler.

I think it's a wealth disparity issue. These corporation are sitting it on so much capital, and distributing that cash to so few individuals and projects, their concept of money is skewed.

Wealth redistribution ain't great, but sitting on cash is an incredible economic inefficiency. Nothing will happen unless these guys distribute their cash. They'll make more too.

Atom Wrote:
-------------------------------------------------------
> I think it's a wealth disparity issue. These
> corporation are sitting it on so much capital, and
> distributing that cash to so few individuals and
> projects, their concept of money is skewed.
>
> Wealth redistribution ain't great, but sitting on
> cash is an incredible economic inefficiency.
> Nothing will happen unless these guys distribute
> their cash. They'll make more too.

A lot of the cash is accumulated by taking on debt. The large corporations have access to the financial markets where they can raise capital for next to nothing.

http://blogs.wsj.com/marketbeat/2010/08/05/is-big-blue-flashing-a-bond-warning/

The large banks are raising cash by frontrunning the Fed's QE operations.

The wealth redistribution is from savers to borrowers. Interest rates and yields on bonds are below the rate of inflation due to Fed policy. As a result, investors on fixed incomes have to spend less and save more. It contrbutes to the drag on the economy.

All the Pubs are also looking bad for their campaign promise to overturn Wall Street Reform, principally the part of the regulation that requires firms to separate their own trading from retail customer operations. They should reinstate Glass-Steagall.

Les Wrote:
-------------------------------------------------------
> All the Pubs are also looking bad for their
> campaign promise to overturn Wall Street Reform,
> principally the part of the regulation that
> requires firms to separate their own trading from
> retail customer operations. They should reinstate
> Glass-Steagall.

I would actually agree with you on that. The banks used to operate and make their profits on 1-3% of core deposits - now they are running upwards of 8-10% plus and the money is being bilked out as fees on everyone. About the only difference nowadays is if you overdraw your account for some reason you aren't dropped as a customer (that used to be the norm) - instead they are happy to charge you gobs of overdraft fees.

If you can’t model the past, where you know the answer pretty well, how can you model the future? - William Happer Cyrus Fogg Brackett Professor of Physics Princeton University

Dear Clients, Industry Colleagues and Friends of Barnhardt Capital Management,

It is with regret and unflinching moral certainty that I announce that Barnhardt Capital Management has ceased operations. After six years of operating as an independent introducing brokerage, and eight years of employment as a broker before that, I found myself, this morning, for the first time since I was 20 years old, watching the futures and options markets open not as a participant, but as a mere spectator.

The reason for my decision to pull the plug was excruciatingly simple: I could no longer tell my clients that their monies and positions were safe in the futures and options markets – because they are not. And this goes not just for my clients, but for every futures and options account in the United States. The entire system has been utterly destroyed by the MF Global collapse. Given this sad reality, I could not in good conscience take one more step as a commodity broker, soliciting trades that I knew were unsafe or holding funds that I knew to be in jeopardy.

The futures markets are very highly-leveraged and thus require an exceptionally firm base upon which to function. That base was the sacrosanct segregation of customer funds from clearing firm capital, with additional emergency financial backing provided by the exchanges themselves. Up until a few weeks ago, that base existed, and had worked flawlessly. Firms came and went, with some imploding in spectacular fashion. Whenever a firm failure happened, the customer funds were intact and the exchanges would step in to backstop everything and keep customers 100% liquid – even as their clearing firm collapsed and was quickly replaced by another firm within the system.

Everything changed just a few short weeks ago. A firm, led by a crony of the Obama regime, stole all of the non-margined cash held by customers of his firm. Let’s not sugar-coat this or make this crime seem “complex” and “abstract” by drowning ourselves in six-dollar words and uber-technical jargon. Jon Corzine STOLE the customer cash at MF Global. Knowing Jon Corzine, and knowing the abject lawlessness and contempt for humanity of the Marxist Obama regime and its cronies, this is not really a surprise. What was a surprise was the reaction of the exchanges and regulators. Their reaction has been to take a bad situation and make it orders of magnitude worse. Specifically, they froze customers out of their accounts WHILE THE MARKETS CONTINUED TO TRADE, refusing to even allow them to liquidate. This is unfathomable. The risk exposure precedent that has been set is completely intolerable and has destroyed the entire industry paradigm. No informed person can continue to engage these markets, and no moral person can continue to broker or facilitate customer engagement in what is now a massive game of Russian Roulette.

I have learned over the last week that MF Global is almost certainly the mere tip of the iceberg. There is massive industry-wide exposure to European sovereign junk debt. While other firms may not be as heavily leveraged as Corzine had MFG leveraged, and it is now thought that MFG’s leverage may have been in excess of 100:1, they are still suicidally leveraged and will likely stand massive, unmeetable collateral calls in the coming days and weeks as Europe inevitably collapses. I now suspect that the reason the Chicago Mercantile Exchange did not immediately step in to backstop the MFG implosion was because they knew and know that if they backstopped MFG, they would then be expected to backstop all of the other firms in the system when the failures began to cascade – and there simply isn’t that much money in the entire system. In short, the problem is a SYSTEMIC problem, not merely isolated to one firm.

Perhaps the most ominous dynamic that I have yet heard of in regards to this mess is that of the risk of potential CLAWBACK actions. For those who do not know, “clawback” is the process by which a bankruptcy trustee is legally permitted to re-seize assets that left a bankrupt entity in the time period immediately preceding the entity’s collapse. So, using the MF Global customers as an example, any funds that were withdrawn from MFG accounts in the run-up to the collapse, either because of suspicions the customer may have had about MFG from, say, watching the company’s bond yields rise sharply, or from purely organic day-to-day withdrawls, the bankruptcy trustee COULD initiate action to “clawback” those funds. As a hedge broker, this makes my blood run cold. Generally, as the markets move in favor of a hedge position and equity builds in a client’s account, that excess equity is sent back to the customer who then uses that equity to offset cash market transactions OR to pay down a revolving line of credit. Even the possibility that a customer could be penalized and additionally raped AGAIN via a clawback action after already having their customer funds stolen is simply villainous. While there has been no open indication of clawback actions being initiated by the MF Global trustee, I have been told that it is a possibility.

And so, to the very unpleasant crux of the matter. The futures and options markets are no longer viable. It is my recommendation that ALL customers withdraw from all of the markets as soon as possible so that they have the best chance of protecting themselves and their equity. The system is no longer functioning with integrity and is suicidally risk-laden. The rule of law is non-existent, instead replaced with godless, criminal political cronyism.

Remember, derivatives contracts are NOT NECESSARY in the commodities markets. The cash commodity itself is the underlying reality and is not dependent on the futures or options markets. Many people seem to have gotten that backwards over the past decades. From Abel the animal husbandman up until the year 1964, there were no cattle futures contracts at all, and no options contracts until 1984, and yet the cash cattle markets got along just fine.

Finally, I will not, under any circumstance, consider reforming and re-opening Barnhardt Capital Management, or any other iteration of a brokerage business, until Barack Obama has been removed from office AND the government of the United States has been sufficiently reformed and repopulated so as to engender my total and complete confidence in the government, its adherence to and enforcement of the rule of law, and in its competent and just regulatory oversight of any commodities markets that may reform. So long as the government remains criminal, it would serve no purpose whatsoever to attempt to rebuild the futures industry or my firm, because in a lawless environment, the same thievery and fraud would simply happen again, and the criminals would go unpunished, sheltered by the criminal oligarchy.

To my clients, who literally TO THE MAN agreed with my assessment of the situation, and were relieved to be exiting the markets, and many whom I now suspect stayed in the markets as long as they did only out of personal loyalty to me, I can only say thank you for the honor and pleasure of serving you over these last years, with some of my clients having been with me for over twelve years. I will continue to blog at Barnhardt.biz, which will be subtly re-skinned soon, and will continue my cattle marketing consultation business. I will still be here in the office, answering my phones, with the same phone numbers. Alas, my retirement came a few years earlier than I had anticipated, but there was no possible way to continue given the inevitability of the collapse of the global financial markets, the overthrow of our government, and the resulting collapse in the rule of law.

As for me, I can only echo the words of David:

“This is the Lord’s doing; and it is wonderful in our eyes.”

With Best Regards-
Ann Barnhardt

http://www.zerohedge.com/news/entire-system-has-been-utterly-destroyed-mf-global-collapse-presenting-first-mf-global-casualty

It looks like Corzine didn't break any regulations since the banks lobbied the regulators to change the rules to allow the use of customer funds to speculate on foreign debt.

Tiny Rule Change at Heart of MF Global Failure: William D. Cohan

http://www.bloomberg.com/news/2011-11-16/tiny-rule-change-was-at-the-heart-of-mf-global-s-failure-william-d-cohan.html