Posts Tagged ‘Taxpayer funded risk’
Congratulations chumps! You are now on the hook for $303 Trillion in Derivatives
Congratulations chumps! You are now on the hook for $303 Trillion in Derivatives
Daily Kos 12/15/14
Before Glass-Steagall was repealed in 1999, Wall Street was on the hook for bad bets with derivatives. During the real estate bubble the taxpayer was on the hook for these casino chips.
Then came the 2008 meltdown and Dodd-Frank was pushed through. The taxpayer was off the hook for six years. But now Congress rolled over for Wall Street and the taxpayer is on the hook again…..
Did Wall Street Need to Win the Derivatives Budget Fight to Hedge Against Oil Plunge?
naked capitalism 15 Dec 2014
Conventional wisdom among banking experts is that Wall Street’s successful fight last week to get a pet provision into the must-pass budget bill (or in political junkies’ shorthand, Cromnibus) as more a demonstration of power and a test for gutting Dodd Frank than a fight that mattered to them. But the provision they got in, which was to undo a portion of Dodd Frank that barred them from having taxpayer-backstopped deposits fund derivative positions, may prove to be more important than it seemed as the collateral damage from the 40% fall in oil prices hits investors and intermediaries….
Cromnibus Pension Provisions Gut Forty Years of Policy, Allow Existing Pensions to Be Slashed
naked capitalism 15 Dec 2014
Fighting Off Looters in the Ruins- financial entitlement and greed
Analysis by Peter Costantini
SEATTLE, Feb 9, 2010 (IPS) – Reckless greed on Wall Street is a dog-bites-man story. Still, the renewed feeding frenzy of the alpha dogs of finance in the embers of the bonfire of their own vanities has inspired amazement and disgust across the political spectrum.
Despite the damage it yet may cause, though, the spectacle does seem to be helping to disarm some of the banksters’ ideological weaponry. In the debate over why the financial system collapsed and how to rebuild it, economic assumptions that have enjoyed hegemony for the past 30 years are being questioned, and a swelling chorus is supporting a return to stronger regulation.
Secret Bailouts for Giant Failing Banks of the Future?
Exactly the last thing we need.
By Adrianne Appel Inter Press Service News Agency
BOSTON, Oct 30 (IPS) – Big banks will not be forced to downsize and the public will be the last to know when they fail, a controversial bill unveiled by U.S. Treasury Secretary Timothy Geithner and Congressman Barney Frank proposes.
Wake-up Call 