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Draghi Pressures ECB to Buy "Junk-Rated" Loan Bundles of Greece and Cyprus

MishTalk

On September 4, ECB President pulled out a financial bazooka including a pledge to build up the ECB''s balance sheet by another €1 trillion. Draghi confirmed the asset purchases would " include the real estate, the RMBS, real estate ABS. In this case, the stench on Greek bank balance sheets will not go away.

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Government About to Destroy American Mortgages Permanently Warns Dick Bove; Mish Says Nonsense

MishTalk

Finance reports Government About to Destroy American Mortgages Permanently. The answer to that question is that we no longer have things like 20-year and 30-year mortgages because banks are not going to put that type of mortgage on their balance sheets. Citing Dick Bove, Yahoo!Finance And we won''t have fixed-rate mortgages."

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Bulls and Bears Debate China: Property Bubble Expands Again; GDP Growth Picks Up; Economic Recovery Underway? No Says Michael Pettis

MishTalk

A series of land sales have set record prices since August, with real estate developers ramping up their competition for the best plots in the biggest cities. Part of it may simply be that few Chinese see any real alternative to real estate as a way of saving. China Rich in Reserves. Pettis Replies.

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The Data Says Climate Change Could Cost Investors Trillions

Harvard Business

These so-called “stranded assets,” sitting on petro-company balance sheets, are essentially worthless. In other words, does it really make sense for a hospitality or real estate company to build a new hotel, apartment, or office complex right on the coast in Miami? And what is the risk of devaluation?

Data 70
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BIS Slams the Fed; Ridiculous Question of the Day: "Is The Fed Going To Attempt A Controlled Collapse?"

MishTalk

Investors’ attraction to riskier credit also spawned greater issuance in assets such as payment-in-kind notes and mortgage real estate investment trusts (mREITs). Historical evidence shows that this rarely happens following a balance sheet recession. Restoring sustainable global growth poses significant challenges.

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Banks – Industry Overview

Tom Spencer

Investment banks are split between capital markets and corporate finance (also known as investment banking). Investment Banking – Capital Markets (Wholesale Banking) and Corporate Finance. Business banks: Banks that focus on mid-sized businesses and commercial real estate. Investment Banking. Funding and the Loan Mix.

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China Cash Crunch Eases, For How Long? Three Things China Needs to Avoid; When can Beijing Truly move to Market-Determined Interest Rates?

MishTalk

Total credit in the economy (total social financing) showed a 40 per cent rise in November over the prior month and is on course for growth this year of almost 20 per cent. One impact of the shadow banking system is an implicit and hidden “reduction” in China’s real minimum reserve requirement.