“If there is a single episode in this entire 18 months that has made me more angry, I can’t think of one other than AIG,” -Federal Reserve Chairman: Benjamin Shalom Bernanke
Exxon, Goldman: They Will Take the Market Down: Yup. As expected. They did. The S&P 500 (SPX) is sniffing around below 700 now...
XOM broke down. Clearly. But is rapidly approaching support. Keep those trailing stops tight and cover on the first sign of strength.
GS, notched a lower high and is hanging around support around $80... The rumor is that Goldman Sachs is on the other (winning) side of some of AIG's trades in the CDS (Credit Default Swap) world. (The clowns at AIG were borderline retarded. Some might even end up going to jail.. Eventually.) While this is nothing new, the concern now is that Goldman might not be able to collect on everything because Fed Chairman Ben Bernanke is has now publicly expressed his outrage...
Goldilocks is going down... keep a loose stop on these rat bastards... you want to be there for the final reckoning.
Bernanke Says Insurer AIG Operated Like a Hedge Fund (Update3): "Federal Reserve Chairman Ben S. Bernanke said American International Group Inc. operated like a hedge fund and having to rescue the insurer made him “more angry” than any other episode during the financial crisis.
“If there is a single episode in this entire 18 months that has made me more angry, I can’t think of one other than AIG,” Bernanke told lawmakers today. “AIG exploited a huge gap in the regulatory system, there was no oversight of the financial- products division, this was a hedge fund basically that was attached to a large and stable insurance company.”
Bernanke’s comments foreshadow tougher oversight of systemically important financial firms, and come as President Barack Obama seeks legislative proposals within weeks for a regulatory overhaul. The U.S. government has had to deepen its commitment to prevent AIG’s collapse three times since September as the company accumulated the worst losses of any U.S. company.
Exxon, Goldman: They Will Take the Market Down: Yup. As expected. They did. The S&P 500 (SPX) is sniffing around below 700 now...
XOM broke down. Clearly. But is rapidly approaching support. Keep those trailing stops tight and cover on the first sign of strength.
GS, notched a lower high and is hanging around support around $80... The rumor is that Goldman Sachs is on the other (winning) side of some of AIG's trades in the CDS (Credit Default Swap) world. (The clowns at AIG were borderline retarded. Some might even end up going to jail.. Eventually.) While this is nothing new, the concern now is that Goldman might not be able to collect on everything because Fed Chairman Ben Bernanke is has now publicly expressed his outrage...
Goldilocks is going down... keep a loose stop on these rat bastards... you want to be there for the final reckoning.
Bernanke Says Insurer AIG Operated Like a Hedge Fund (Update3): "Federal Reserve Chairman Ben S. Bernanke said American International Group Inc. operated like a hedge fund and having to rescue the insurer made him “more angry” than any other episode during the financial crisis.
“If there is a single episode in this entire 18 months that has made me more angry, I can’t think of one other than AIG,” Bernanke told lawmakers today. “AIG exploited a huge gap in the regulatory system, there was no oversight of the financial- products division, this was a hedge fund basically that was attached to a large and stable insurance company.”
Bernanke’s comments foreshadow tougher oversight of systemically important financial firms, and come as President Barack Obama seeks legislative proposals within weeks for a regulatory overhaul. The U.S. government has had to deepen its commitment to prevent AIG’s collapse three times since September as the company accumulated the worst losses of any U.S. company.
The company “made huge numbers of irresponsible bets, took huge losses, there was no regulatory oversight because there was a gap in the system,” Bernanke said. At the same time, officials “had no choice but to try and stabilize the system” by aiding the firm.
AIG is getting as much as $30 billion in new government capital and relaxed terms on its bailout announced yesterday.
In another sign of tighter regulation to come, Bernanke said supervisors should have authority to bar new financial products that may be destabilizing to markets.
Bernanke made the AIG comments in response to a question from Senator Ron Wyden, an Oregon Democrat, at a Senate Budget Committee hearing today in Washington."
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