Financial Review

Unsustainable

http://media.blubrry.com/eatthebankers/p/content.blubrry.com/eatthebankers/SINCLAIR_NOE-SEG_1-07-07-2015.mp3Podcast: Play in new window | Download (Duration: 13:16 — 6.1MB)Subscribe: Apple Podcasts | Android | RSSFinancial Review by Sinclair Noe DOW + 93 = 17,776 SPX + 12 = 2081 NAS + 5 = 4997 10 YR YLD – .05 = 2.23% OIL + .14 = 52.67 GOLD – 15.50 = 1155.30 SILV – .70 = 15.15   These are interesting times. There is the situation in Greece; the Chinese equity markets are suffering a bit of a meltdown; Puerto Rico has fallen into a black hole of debt; negotiations are underway with Iran; and the cherry on top – earnings season starts tomorrow. Traders might be forgiven if they were a feeling a little jittery. This morning the stock market headed into triple digit negative territory, (the Dow was down 200 points earlier) only to get an afternoon jolt of good news; namely, there may be a deal to be had with Greece. So, let’s dig in there.   Greek Prime Minister Alexis Tsipras is in Brussels for an emergency Eurozone summit. Over the weekend, Greeks overwhelmingly voted to reject more austerity. Actually, they voted on a debt proposal that is no longer under consideration, but figuratively they voted against austerity. Greek banks remain closed and ATMs are reportedly running out of cash. The European Central Bank has maintained its emergency loan cap for Greek banks. German Chancellor Angela Merkel said there was no basis for reopening negotiations with Athens. European leaders have all made clear the onus …

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Financial Review

Pick Your Poison

http://media.blubrry.com/eatthebankers/p/content.blubrry.com/eatthebankers/SINCLAIR_NOE-SEG_1-06-29-2015.mp3Podcast: Play in new window | Download (Duration: 13:15 — 6.1MB)Subscribe: Apple Podcasts | Android | RSSFinancial Review by Sinclair Noe DOW – 350 = 17,596 SPX – 43 = 2057 NAS – 122 = 4958 10 YR YLD – .15 = 2.33% OIL – 1.30 = 58.33 GOLD + 5.90 = 1181.10 SILV + .01 = 15.86   Late Friday, Greek Prime Minister Alexis Tsipras called for a July 5 referendum on whether to accept the latest offer from Greece’s creditors. That meant that Greece would not pay $1.8 billion to the Troika due tomorrow. The European Central Bank responded by halting emergency lending to Greek banks.  With emergency aid to the country frozen, Athens has imposed capital controls to halt bank runs and confirmed that the country’s banks would remain shut for six working days; Greek banks are closed and the Greek stock market is closed, possibly until the July 5 referendum. ATM withdrawals are being capped at €60-euro-per-day.   We’ve been watching the problems in Greece for a long time. A few years ago, we knew Greece had a debt problem; that was back when they were lumped together with Portugal, Italy, Ireland, and Spain. They were called the PIIGS. The Troika of the European Central Bank, the International Monetary Fund, and the European Monetary Union, decided to crack down on the PIIGS; prescribing a big dose of austerity; the cure has been debilitating. Spain is dealing with 22% unemployment, Italy with 12.4% joblessness, Portugal at 13% …

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Uncategorized

Wednesday, May 16, 2012 – Admit Nothing – by Sinclair Noe

DOW – 6.66 = 12,496 SPX + 2 = 1318NAS + 11 = 285010 YR YLD -.07 = 1.72OIL +.62 = 90.51GOLD – 6.00 = 1563.30SILV -.36 = 27.94PLAT – 20.00 = 1430.00 A listener writes: Maybe they should have renamed the company “Two Facedbook” at the IPO for all of the double dealing and back door insider information. One face for Joe public and the other face for Joe privileged… My .02 worth. We are learning details, and we will learn many more details as the Facebook Fiasco works its way through the courts. Zuckerberg made a boatload of money but he will spend a large part of his life dealing with lawyers and the legal system. At first blush it appears the bankers were behaving badly. Go figure. The latest revelation is that Facebook officials told the analysts for the banks that were underwriting the IPO to reduce revenue and earnings forecasts. Facebook backed off and said, “hey, get your models down.” Facebook’s advisory came around May 9, the day it published an amended prospectus that included a cautionary note about lower advertising revenue. It isn’t known which analysts from the 33 IPO underwriters were contacted by Facebook with the revised guidance. It also isn’t clear exactly who from Facebook gave the guidance. The analysts cut their estimates because a Facebook executive told them to. The information about the estimate cut was then verbally conveyed to sophisticated institutional investors who were considering buying Facebook stock, but not to smaller investors. The …

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