Thursday, September 25, 2008

The FDIC Rips Into Bloomberg

It seems that Bloomberg has angered the powers that be at the Federal Deposit Insurance Corporation (FDIC) with its recent article suggesting that the FDIC may need more money to bail out banks than is currently in its fund. Here is the Bloomberg article and the FDIC response is printed below:

Bloomberg reporter David Evans' piece ("FDIC May Need $150 Billion Bailout as Local Bank Failures Mount," Sept. 25) does a serious disservice to your organization and your readers by painting a skewed picture of the FDIC insurance fund. Let me be clear: The insurance fund is in a strong financial position to weather a significant upsurge in bank failures.

The FDIC has all the tools and resources necessary to meet our commitment to insured depositors, which we view as sacred. I do not foresee – as Mr. Evans suggests – that taxpayers may have to foot the bill for a "bailout."

Let's look at the real facts about the FDIC insurance fund. The fund's current balance is $45 billion – but that figure is not static. The fund will continue to incur the cost of protecting insured depositors as more banks may fail, but we continually bring in more premium income.

We will propose raising bank premiums in the coming weeks to ensure that the fund remains strong. And, at the same time, we will propose higher premiums on higher risk activity to create economic incentives for poorly managed banks to change their risk profiles. The fund is 100 percent industry-backed. Our ability to raise premiums essentially means that the capital of the entire banking industry – that's $1.3 trillion – is available for support.

Moreover, if needed, the FDIC has longstanding lines of credit with the Treasury Department. Congress, understanding the need to ensure that working capital is available to the FDIC to provide bridge funding between the time a bank fails and when its assets are sold, provided broad authority for us to borrow from Treasury's Federal Financing Bank. If necessary, we can potentially raise very large sums of working capital, which would be paid back as the FDIC liquidates assets of failed banks. As per our authorizing statute, any money we might borrow from the Treasury must be paid back from industry assessments. Only once in the FDIC's history have we had to borrow from the Treasury – in the early 1990s – and that money was paid back with interest in less than two years.

Finally, Mr. Evans' suggestion that the "government" could ever be "on the hook for uninsured deposits" demonstrates a misunderstanding of FDIC insurance. To protect taxpayers, we are required to follow the "least cost" resolution, which means that uninsured depositors are paid in full only if this is the least costly option for the FDIC. This usually occurs when a bidder for the failed bank is willing to pay a higher price for the entire deposit franchise. We are authorized to deviate from the "least cost" resolution only where a so-called "systemic risk" exception is made. This is an extraordinary procedure which we have never invoked. And again, any money we borrow from the Treasury Department must be repaid through industry assessments.

I am confident in the strength of the FDIC's resources to make good on our sacred pledge to insured depositors. And, remember, no depositor has ever lost a penny of insured deposits, and never will.

Andrew Gray
Director
Office of Public Affairs
Federal Deposit Insurance Corporation

Monday, September 22, 2008

New Federal Reserve Rules

The Federal Reserve Board just issued two new rules. The first temporarily exempts bank holding companies from leverage and risk-based capital rules.

"The first interim final rule would provide a temporary limited exception from the Board's leverage and risk-based capital rules for bank holding companies and state member banks."

The second rule allows bank holding companies to do transactions they weren't allowed to do on Friday.

"The second would provide a temporary limited exception from sections 23A and 23B of the Federal Reserve Act, which establish certain restrictions on and requirements for transactions between a bank and its affiliates."

Festival of Stocks # 107

I am the proud host of the Festival of Stocks. This is actually the seventh time I have hosted the festival. I received many entries this week on the current financial crisis which is obviously on the minds of many investors.

Stock Analysis

Dividends4Life presents Stock Analysis: McGraw-Hill Companies Inc (MHP) posted at Dividends4Life.

Saj Karsan presents World Wrestling Pays! posted at Barel Karsan.

George presents Buying More Sotheby's posted at Fat Pitch Financials.

Roy Ward presents Problems with Garmin posted at The Iconoclast Investor.

Steve Alexander presents Magic Formula Stock Review: Bare Escentuals (BARE) posted at MagicDiligence - Optimizing Joel Greenblatts Value Stock Strategy.

Martin Roth presents Six new stocks for NASDAQ Clean Edge Index - Green Technology Investor: helping you profit from the world's best green-tech stocks posted at Green Technology Investor.

Jim presents I Just Day-Traded AIG, It’s Dangerous & Addicting posted at Blueprint for Financial Prosperity.

Andy presents Another Inevitable Government (AIG) Billion Dollar Bailout posted at $aving to Invest.

The Financial Crisis

Joseph Osodi presents COLLAPSE OF GLOBAL STOCK MARKET « Josephekwu’s Weblog posted at Josephekwu's Weblog.

Michael Cintolo presents 10 Observations About This Financial Storm posted at The Iconoclast Investor.

Babak presents Reviewing The Carnage On Wall Street posted at Trader's Narrative.

Alexander presents Watching A Scary Stock Market posted at Wealth Junkies.

LAL presents What a week and it’s not done yet… posted at LivingAlmostLarge.

praveen presents Lehman, Merril Lynch, and AIG Lead to The "Unbubble" posted at My Simple Trading System.

Silicon Valley Blogger presents Best Places For Your Money When The Stock Market Tanks posted at The Digerati Life.

The Smarter Wallet presents How to Protect Yourself Against the Economic Crisis posted at The Smarter Wallet.

Ironman presents Hey Look - Brownian Motion! posted at Political Calculations.

Ryan Suenaga presents Why Ginnie Mae isn’t in the Same Boat as Fannie Mae and Freddie Mac posted at Uncommon Cents.

Sunday, September 21, 2008

The Bailout Plan

Here are some excerpts from the plan announced by the Treasury last week to spend up to $700 billion to buy assets from financial institutions.

"Treasury will have authority to issue up to $700 billion of Treasury securities to finance the purchase of troubled assets."

What are the two reasons for doing this?

"to promote market stability, and help protect American families and the US economy."

What can the Treasury buy?

"Residential and commercial mortgage-related assets, which may include mortgage-backed securities and whole loans."

But, we can basically buy whatever we want:

"The Secretary will have the discretion, in consultation with the Chairman of the Federal Reserve, to purchase other assets, as deemed necessary to effectively stabilize financial markets."

We are only bailing out domestic financial institutions:

"Participating financial institutions must have significant operations in the U.S."

But, if we want to bail out foreigners, we will:

"...unless the Secretary makes a determination, in consultation with the Chairman of the Federal Reserve, that broader eligibility is necessary to effectively stabilize financial markets."

We will tell you what we are doing:

"Within three months of the first asset purchases under the program, and semi-annually thereafter, Treasury will provide the appropriate Congressional committees with regular updates on the program."

Because we know you won't understand it anyway.

Saturday, September 20, 2008

Bunning Tries to Shut Down the Federal Reserve

Senator Jim Bunning, a Republican from Kentucky, tries to shut down the Federal Reserve with the following bill that will no doubt go absolutely nowhere:

S.3510 : A bill to prohibit the Board of Governors of the Federal Reserve System from making funds available at a discount rate to private individuals, partnerships, and corporations.

Latest Major Action: 9/17/2008 - Referred to Senate committee.

Status: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

Friday, September 19, 2008

A Strange Coincidence

Is it just a coincidence that on the day the Securities and Exchange Commission (SEC) bans short selling in 799 Financial stocks, the sign below mysteriously appears nailed to a fence in Suburban Birmingham, Alabama.



Stock Loan, of course, is the official name of the departments at Wall Street firms which handle the borrowing of stock for clients who want to sell short. Someone getting out of the business perhaps?

Financial Stocks Not On The Banned List

I found a few Bank stocks not on the list of 799 stocks that can't be sold short per the Securities and Exchange Commission (SEC) order this morning. They are all Bulletin Board or Pink Sheet stocks so I am not sure if they can be borrowed anyway, but here are some of them:

Wake Forest Bancshares (WAKE)
Oxford Bank Corp (OXBC)
Baylake Corp (BYLK)
Benton Financial (BTOF)
Florida Community Banks (FLCM)
Greater Sacramento Bancorp (GSCB)
Stonegate Bank (SGBK)
Bank of Santa Clarita (BSCA)

Please understand I am not saying you should short these names. I know very little about most of them.

SEC Bans Short Selling

The Securities and Exchange Commission (SEC) bans short selling in 799 financial stocks through October 2, 2008. The SEC has this authority under Section 12(k)(2) of the Securities Exchange Act of 1934.

Just to demonstrate how quickly the order was prepared, they included National Atlantic Holdings Corp (NAHC), a company that was bought out several months ago.

Some excerpts from the SEC order.

"Recent market conditions have made us concerned that short selling in the securities of a wider range of financial institutions may be causing sudden and excessive fluctuations of the prices of such securities in such a manner so as to threaten fair and orderly markets."

"This emergency action should prevent short selling from being used to drive down the share prices of issuers even where there is no fundamental basis for a price decline other than general market conditions."

"The following entities are excepted from the requirements of the Order: registered market makers, block positioners, or other market makers obligated to quote in the over-the-counter market."

The order covers SIC codes 6000, 6011, 6020-22, 6025, 6030, 6035-36, 6111, 6140, 6144, 6200, 6210-11, 6231, 6282, 6305, 6310-11, 6320-21, 6324, 6330-31, 6350-51, 6360-61, 6712, and 6719.

The Full List

AAME ATLANTIC AMERICAN CORP
AANB ABIGAIL ADAMS NATL BANCORP INC
ABBC ABINGTON BANCORP INC PA
ABCB AMERIS BANCORP
ABCW ANCHOR BANCORP WISCONSIN INC
ABK AMBAC FINANCIAL GROUP INC
ABNJ AMERICAN BANCORP OF NJ INC
ABVA ALLIANCE BANKSHARES CORP
ACAP AMERICAN PHYSICIANS CAPITAL INC
ACBA AMERICAN COMMUNITY BNCSHRS INC
ACE ACE LTD
ACFC ATLANTIC COAST FED CORP
ACGL ARCH CAPITAL GROUP LTD NEW
ADVNA ADVANTA CORP
ADVNB ADVANTA CORP
AEG AEGON N V
AEL AMERICAN EQUITY INVT LIFE HLDG C
AET AETNA INC NEW
AF ASTORIA FINANCIAL CORP
AFFM AFFIRMATIVE INSURANCE HLDGS INC
AFG AMERICAN FINANCIAL GROUP INC NEW
AFL A F L A C INC
AGII ARGO GROUP INTL HLDGS LTD
AGO ASSURED GUARANTY LTD
AGP AMERIGROUP CORP
AGX ARGAN INC
AHD ATLAS PIPELINE HOLDINGS L P
AHL ASPEN INSURANCE HOLDINGS LTD
AIB ALLIED IRISH BANKS PLC
AIG AMERICAN INTERNATIONAL GROUP
AINV APOLLO INVESTMENT CORP
AIZ ASSURANT INC
ALL ALLSTATE CORP
ALLB ALLIANCE BANCORP INC PA
ALNC ALLIANCE FINANCIAL CORP NY
AMCP AMCOMP INC NEW
AMFI AMCORE FINANCIAL INC
AMG AFFILIATED MANAGERS GROUP INC
AMIC AMERICAN INDEPENDENCE CORP
AMNB AMERICAN NATIONAL BANKSHARES INC
AMP AMERIPRISE FINANCIAL INC
AMPH AMERICAN PHYSICIANS SVC GROUP
AMRB AMERICAN RIVER BANKSHARES
AMSF AMERISAFE INC
AMTD T D AMERITRADE HOLDING CORP
ANAT AMERICAN NATIONAL INS CO
ANNB ANNAPOLIS BANCORP INC
AOC AON CORP
APAB APPALACHIAN BANCSHARES INC
AROW ARROW FINANCIAL CORP
ASBI AMERIANA BANCORP
ASFI ASTA FUNDING INC
ASFN ATLANTIC SOUTHERN FINL GROUP INC
ASRV AMERISERV FINANCIAL INC
ATBC ATLANTIC BANCGROUP INC
ATLO AMES NATL CORP
AUBN AUBURN NATIONAL BANCORP
AWBC AMERICAN WEST BANCORPORATION
AWH ALLIED WORLD ASSUR CO HLDGS LTD
AXA A X A UAP
AXG ATLAS ACQUISITION HOLDINGS CORP
AXS AXIS CAPITAL HOLDINGS LTD
BAC BANK OF AMERICA CORP
BANF BANCFIRST CORP
BANR BANNER CORP
BARI BANCORP RHODE ISLAND INC
BAYN BAY NATIONAL CORP
BBNK BRIDGE CAPITAL HOLDINGS
BBT B B & T CORP
BBX BANKATLANTIC BANCORP INC

BCA CORPBANCA
BCAR BANK OF THE CAROLINAS CORP
BCBP B C B BANCORP INC
BCP BROOKE CAPITAL CORP
BCS BARCLAYS PLC
BCSB B C S B BANCORP INC
BDGE BRIDGE BANCORP INC
BEN FRANKLIN RESOURCES INC
BERK BERKSHIRE BANCORP INC DEL
BFF B F C FINANCIAL CORP
BFIN BANKFINACIAL CORP
BFNB BEACH FIRST NATL BANCSHARES INC
BHB BAR HARBOR BANKSHARES
BHBC BEVERLY HILLS BANCORP INC
BHLB BERKSHIRE HILLS BANCORP INC
BK BANK OF NEW YORK MELLON CORP
BKBK BRITTON & KOONTZ CAPITAL CORP
BKMU BANK MUTUAL CORP NEW
BKOR OAK RIDGE FINANCIAL SERVICES INC
BKSC BANK SOUTH CAROLINA CORP
BKUNA BANKUNITED FINANCIAL CORP
BLX BANCO LATINOAMERICANO DE EXP SA
BMRC BANK OF MARIN BANCORP
BMTC BRYN MAWR BANK CORP
BNCL BENEFICIAL MUTUAL BANCORP INC
BNCN B N C BANCORP
BNS BANK OF NOVA SCOTIA
BNV BEVERLY NATIONAL CORP
BOCH BANK OF COMMERCE HOLDINGS
BOFI B OF I HOLDING INC
BOFL BANK OF FLORIDA CORP NAPLES
BOH BANK OF HAWAII CORP
BOKF B O K FINANCIAL CORP
BOMK BANK MCKENNEY VA
BOVA BANK OF VIRGINIA
BPFH BOSTON PRIVATE FINL HLDS INC
BPSG BROADPOINT SECURITIES GROUP INC
BRK BERKSHIRE HATHAWAY INC DEL
BRK BERKSHIRE HATHAWAY INC DEL
BRKL BROOKLINE BANCORP INC
BSRR SIERRA BANCORP
BTFG BANCTRUST FINANCIAL GROUP INC

BUSE FIRST BUSEY CORP
BWINA BALDWIN AND LYONS INC
BWINB BALDWIN AND LYONS INC
BX BLACKSTONE GROUP L P
BXS BANCORPSOUTH INC
BYFC BROADWAY FINANCIAL CORP DEL
C CITIGROUP INC
CAC CAMDEN NATIONAL CORP
CACB CASCADE BANCORP
CADE CADENCE FINANCIAL CORP
CAFI CAMCO FINANCIAL CORP
CAPB CAPITALSOUTH BANCORP
CAPE CAPE FEAR BANK CORP
CART CAROLINA TRUST BANK
CARV CARVER BANCORP INC
CASB CASCADE FINANCIAL CORP
CASH META FINANCIAL GROUP INC
CATY CATHAY GENERAL BANCORP
CB CHUBB CORP
CBAN COLONY BANKCORP INC
CBBO COLUMBIA BANCORP ORE
CBC CAPITOL BANCORP LTD
CBIN COMMUNITY BANK SHRS INDIANA INC
CBKN CAPITAL BANK CORP NEW
CBNK CHICOPEE BANCORP INC
CBON COMMUNITY BANCORP
CBU COMMUNITY BANK SYSTEM INC
CCBD COMMUNITY CENTRAL BANK CORP
CCBG CAPITAL CITY BANK GROUP
CCBP COMM BANCORP INC
CCFH C C F HOLDING COMPANY
CCNE C N B FINANCIAL CORP PA
CCOW CAPITAL CORP OF THE WEST
CEBK CENTRAL BANCORP INC
CFBK CENTRAL FEDERAL CORP
CFFC COMMUNITY FINANCIAL CORP
CFFI C AND F FINANCIAL CORP
CFFN CAPITOL FEDERAL FINANCIAL
CFNL CARDINAL FINANCIAL CORP
CFR CULLEN FROST BANKERS INC
CHCO CITY HOLDING CO
CHEV CHEVIOT FINANCIAL CORP
CHFC CHEMICAL FINANCIAL CORP
CI C I G N A CORP
CIA CITIZENS INC

CINF CINCINNATI FINANCIAL CORP
CITZ C F S BANCORP INC
CIZN CITIZENS HOLDING CO
CJBK CENTRAL JERSEY BANCORP
CLBH CAROLINA BANK HOLDINGS INC
CLFC CENTER FINANCIAL CORP
CLMS CALAMOS ASSET MANAGEMENT INC
CMA COMERICA INC
CME C M E GROUP INC
CMFB COMMERCEFIRST BANCORP INC
CMGI C M G I INC
CMSB C M S BANCORP INC
CNA C N A FINANCIAL CORP
CNAF COMMERCIAL NATIONAL FINL CORP
CNB COLONIAL BANCGROUP INC
CNBC CENTER BANCORP INC
CNBKA CENTURY BANCORP INC
CNC CENTENE CORP DEL
CNLA COMMUNITY NATL BANK LAKEWAY AREA
CNO CONSECO INC
CNS COHEN & STEERS INC
COBH PENNSYLVANIA COMMERCE BANCORP IN
COBZ COBIZ FINANCIAL INC
COLB COLUMBIA BANKING SYSTEM INC
COOP COOPERATIVE BANCSHARES INC
CORS CORUS BANKSHARES INC
COWN COWEN GROUP INC
CPBC COMMUNITY PARTNERS BANCORP
CPBK COMMUNITY CAPITAL CORP
CPF CENTRAL PACIFIC FINANCIAL CORP
CPHL CASTLEPOINT HOLDINGS LTD
CRBC CITIZENS REPUBLIC BANCORP INC
CRFN CRESCENT FINANCIAL CORP
CRMH C R M HOLDINGS LTD
CRRB CARROLLTON BANCORP
CRVL CORVEL CORP
CSBC CITIZENS SOUTH BANKING CORP DEL
CSBK CLIFTON SAVINGS BANCORP INC
CSFL CENTERSTATE BANKS OF FLORIDA INC
CSHB COMMUNITY SHORES BANK CORP
CSNT CRESCENT BANKING CO

CTBC CONNECTICUT BANK & TRUST CO
CTBI COMMUNITY TRUST BANCORP INC
CTBK CITYBANK LYNNWOOD WASHINGTON
CTZN CITIZENS FIRST BANCORP INC
CVBF C V B FINANCIAL CORP
CVBK CENTRAL VIRGINIA BANKSHARES INC
CVCY CENTRAL VALLEY COMM BANCORP
CVH COVENTRY HEALTH CARE INC
CVLL COMMUNITY VALLEY BANCORP
CVLY CODORUS VALLEY BANCORP INC
CWBC COMMUNITY WEST BANCSHARES
CWBS COMMONWEALTH BANKSHARES INC
CWLZ COWLITZ BANCORPORATION
CZFC CITIZENS FIRST CORP
CZWI CITIZENS CMNTY BANCORP INC MD
DB DEUTSCHE BANK AG
DCOM DIME COMMUNITY BANCSHARES
DEAR DEARBORN BANCORP INC
DFG DELPHI FINANCIAL GROUP INC
DGICA DONEGAL GROUP INC
DGICB DONEGAL GROUP INC
DHIL DIAMOND HILL INVESTMENT GRP INC
DLLR DOLLAR FINANCIAL CORP
DR DARWIN PROFESSIONAL UNDERWRITERS
DSL DOWNEY FINANCIAL CORP
DUF DUFF AND PHELPS CORP NEW
EBSB MERIDIAN INTERSTATE BANCORP INC
EBTX ENCORE BANCSHRES INC
ECBE E C B BANCORP INC
EGBN EAGLE BANCORP INC
EIHI EASTERN INSURANCE HOLDINGS INC
EII ENERGY INFRASTRUCTURE ACQUI CORP
EMCI E M C INSURANCE GROUP INC
EMITF ELBIT IMAGING LTD
ENH ENDURANCE SPECIALTY HOLDINGS LTD
ESBF E S B FINANCIAL CORP
ESBK ELMIRA SAVINGS BANK FSB NY

ESGR ENSTAR GROUP LTD
ETFC E TRADE FINANCIAL CORP
EV EATON VANCE CORP
EVBN EVANS BANCORP INC
EVBS EASTERN VIRGINIA BANKSHARES INC
EVR EVERCORE PARTNERS INC
EWBC EAST WEST BANCORP INC
FABK FIRST ADVANTAGE BANCORP
FAC FIRST ACCEPTANCE CORP
FAF FIRST AMERICAN CORP CALIF
FBC FLAGSTAR BANCORP INC
FBCM F B R CAPITAL MARKETS CORP
FBIZ FIRST BUSINESS FINL SVCS INC
FBMI FIRSTBANK CORP
FBMS FIRST BANCSHARES INC MS
FBNC FIRST BANCORP NC
FBP FIRST BANCORP P R
FBSI FIRST BANCSHARES INC MO
FBSS FAUQUIER BANKSHARES INC
FBTC FIRST BANCTRUST
FCAL FIRST CALIFORNIA FINL GROUP INC
FCAP FIRST CAPITAL INC
FCBC FIRST COMMUNITY BANCSHARES INC
FCCO FIRST COMMUNITY CORP SC
FCCY 1ST CONSTITUTION BANCORP
FCFL FIRST COMMUNITY BANK CORP AMER
FCNCA FIRST CITIZENS BANCSHARES INC NC
FCVA FIRST CAPITAL BANCORP INC VA
FCZA FIRST CITIZENS BANC CORP
FDEF FIRST DEFIANCE FINANCIAL CORP
FDT FEDERAL TRUST CORP
FED FIRSTFED FINANCIAL CORP
FFBC FIRST FINANCIAL BANCORP OHIO
FFBH FIRST FEDERAL BANCSHARES ARK INC
FFCH FIRST FINANCIAL HOLDINGS INC
FFCO FEDFIRST FINANCIAL CORP
FFDF F F D FINANCIAL CORP
FFFD NORTH CENTRAL BANCSHARES INC
FFG F B L FINANCIAL GROUP INC
FFH FAIRFAX FINL HOLDINGS LTD
FFHS FIRST FRANKLIN CORP

FFIC FLUSHING FINANCIAL CORP
FFIN FIRST FINANCIAL BANKSHARES INC
FFKT FARMERS CAPITAL BANK CORP
FFKY FIRST FINANCIAL SERVICE CORP
FFNM FIRST FED NORTHN MI BANCORP INC
FFNW FIRST FINANCIAL NORTHWEST INC
FFSX FIRST FEDERAL BANKSHARES INC DEL
FHN FIRST HORIZON NATIONAL CORP
FIFG 1ST INDEPENDENCE FNL GROUP INC
FIG FORTRESS INVESTMENT GROUP L L C
FII FEDERATED INVESTORS INC PA
FISI FINANCIAL INSTITUTIONS INC
FKFS FIRST KEYSTONE FINANCIAL INC
FLIC FIRST LONG ISLAND CORP
FMAR FIRST MARINER BANCORP
FMBI FIRST MIDWEST BANCORP DE
FMER FIRSTMERIT CORP
FMFC FIRST M AND F CORP
FNB F N B CORP PA
FNBN F N B UNITED CORP
FNFG FIRST NIAGARA FINL GROUP INC NEW
FNLC FIRST BANCORP INC ME
FNM FEDERAL NATIONAL MORTGAGE ASSN
FNSC FIRST NATIONAL BANCSHARES INC SC
FPBI F P B BANCORP INC
FPBN 1ST PACIFIC BANCORP CA
FPFC FIRST PLACE FINANCIAL CORP NM
FPIC F P I C INSURANCE GROUP INC
FPTB FIRST PACTRUST BANCORP INC
FRBK REPUBLIC FIRST BANCORP INC
FRE FEDERAL HOME LOAN MORTGAGE CORP
FRGB FIRST REGIONAL BANCORP
FRME FIRST MERCHANTS CORP
FSBI FIDELITY BANCORP INC
FSBK FIRST SOUTH BANCORP INC
FSGI FIRST SECURITY GROUP INC
FSNM FIRST STATE BANCORPORATION
FTBK FRONTIER FINANCIAL CORP
FULT FULTON FINANCIAL CORP PA

FUNC FIRST UNITED CORP
FWV FIRST WEST VIRGINIA BANCORP INC
FXCB FOX CHASE BANCORP INC
GABC GERMAN AMERICAN BANCORP INC
GAN GAINSCO INC
GBCI GLACIER BANCORP INC NEW
GBH GREEN BUILDERS INC
GBL GAMCO INVESTORS INC
GBNK GUARANTY BANCORP
GBTS GATEWAY FINANCIAL HLDGS INC
GCA GLOBAL CASH ACCESS HOLDINGS INC
GFED GUARANTY FEDERAL BANCSHARES INC
GFIG G F I GROUP INC
GFLB GREAT FLORIDA BANK
GGAL GRUPO FINANCIERO GALICIA S A
GHL GREENHILL AND CO INC
GIW WILBER CORP
GLBZ GLEN BURNIE BANCORP
GLRE GREENLIGHT CAPITAL RE LTD
GNW GENWORTH FINANCIAL INC
GOV GOUVERNEUR BANCORP INC
GRAN BANK GRANITE CORP
GRNB GREEN BANKSHARES INC
GROW U S GLOBAL INVESTORS INC
GS GOLDMAN SACHS GROUP INC
GSBC GREAT SOUTHERN BANCORP INC
GSLA G S FINANCIAL CORP
GTS TRIPLE S MANAGEMENT CORP
HABC HABERSHAM BANCORP INC
HAFC HANMI FINANCIAL CORP
HALL HALLMARK FINANCIAL SERVICES INC
HARL HARLEYSVILLE SAVINGS FINAN CORP
HAXS HEALTHAXIS INC
HBAN HUNTINGTON BANCSHARES INC
HBHC HANCOCK HOLDING CO
HBNK HAMPDEN BANCORP INC
HBOS HERITAGE FINANCIAL GROUP
HCBK HUDSON CITY BANCORP INC
HCC H C C INSURANCE HOLDINGS INC
HEOP HERITAGE OAKS BANCORP
HFBC HOPFED BANCORP INC
HFFC H F FINANCIAL CORP

HFWA HERITAGE FINANCIAL CORP WA
HGIC HARLEYSVILLE GROUP INC
HIFS HINGHAM INSTITUTION FOR SVGS MA
HMN HORACE MANN EDUCATORS CORP NEW
HMNF H M N FINANCIAL INC
HMPR HAMPTON ROADS BANKSHARES INC
HNBC HARLEYSVILLE NATIONAL CORP PA
HNT HEALTH NET INC
HOMB HOME BANCSHARES INC
HOME HOME FEDERAL BANCORP INC MD
HRZB HORIZON FINANCIAL CORP WASH
HS HEALTHSPRING INC
HTBK HERITAGE COMMERCE CORP
HTH HILLTOP HOLDINGS INC
HTLF HEARTLAND FINANCIAL USA INC
HUM HUMANA INC
HWBK HAWTHORN BANCSHARES INC
HWFG HARRINGTON WEST FINANCIAL GRP IN
IAAC INTERNATIONAL ASSETS HLDG CORP
IBCA INTERVEST BANCSHARES CORP
IBCP INDEPENDENT BANK CORP MICH
IBKC IBERIABANK CORP
IBKR INTERACTIVE BROKERS GROUP INC
IBNK INTEGRA BANK CORP
IBOC INTERNATIONAL BANCSHARES CORP
ICE INTERCONTINENTALEXCHANGE INC
ICH INVESTORS CAPITAL HOLDINGS LTD
IFC IRWIN FINANCIAL CORP
IFSB INDEPENDENCE FEDERAL SAVINGS BK
IHC INDEPENDENCE HOLDING CO NEW
IMP IMPERIAL CAPITAL BANCORP INC
INCB INDIANA COMMUNITY BANCORP
INDB INDEPENDENT BANK CORP MA
ING I N G GROEP N V
IPCC INFINITY PROPERTY & CASUALTY COR
IPCR I P C HOLDINGS LTD
IRE IRELAND BANK
ITC I T C HOLDINGS CORP
ITG INVESTMENT TECHNOLOGY GP INC

ITIC INVESTORS TITLE CO
JAXB JACKSONVILLE BANCORP INC FL
JEF JEFFERIES GROUP INC NEW
JFBC JEFFERSONVILLE BANCORP
JFBI JEFFERSON BANCSHARES INC TENN
JLI JESUP & LAMONT INC
JMP J M P GROUP INC
JNS JANUS CAP GROUP INC
JPM JPMORGAN CHASE & CO
JXSB JACKSONVILLE BANCORP INC
KCLI KANSAS CITY LIFE INS CO
KENT KENT FINANCIAL SERVICES INC
KEY KEYCORP NEW
KFED K FED BANCORP
KFFB KENTUCKY FIRST FEDERAL BANCORP
KFS KINGSWAY FINANCIAL SERVICES INC
KRNY KEARNY FINANCIAL CORP
L LOEWS CORP
LAB LABRANCHE AND CO INC
LABC LOUISIANA BANCORP INC
LARK LANDMARK BANCORP INC
LAZ LAZARD LTD
LBBB LIBERTY BELL BK CHERRY HILL NJ
LBCP LIBERTY BANCORP INC MO
LEGC LEGACY BANCORP INC
LEH LEHMAN BROTHERS HOLDINGS INC
LFC CHINA LIFE INSURANCE CO LTD
LION FIDELITY SOUTHERN CORP NEW
LKFN LAKELAND FINANCIAL CORP
LNC LINCOLN NATIONAL CORP IN
LNCB LINCOLN BANCORP IND
LPSB LAPORTE BANCORP INC
LSBI L S B FINANCIAL CORP
LSBK LAKE SHORE BANCORP INC
LSBX L S B CORP
LTS LADENBURG THALMANN FIN SVCS INC
LUK LEUCADIA NATIONAL CORP
LYG LLOYDS TSB GROUP PLC
MAIN MAIN STREET CAPITAL CORP
MASB MASSBANK CORP
MBFI M B FINANCIAL INC NEW
MBHI MIDWEST BANC HOLDINGS INC

MBI M B I A INC
MBP MID PENN BANCORP INC
MBR MERCANTILE BANCORP INC
MBRG MIDDLEBURG FINANCIAL CORP
MBTF M B T FINANCIAL CORP
MBVA MILLENNIUM BANKSHARES CORP
MBVT MERCHANTS BANCSHARES INC
MBWM MERCANTILE BANK CORP
MCBF MONARCH COMMUNITY BANCORP INC
MCBI METROCORP BANCSHARES INC
MCGC M C G CAPITAL CORP
MCY MERCURY GENERAL CORP NEW
MER MERRILL LYNCH AND CO INC
MERR MERRIMAN CURHAN FORD GROUP INC
MF M F GLOBAL LTD
MFC MANULIFE FINANCIAL CORP
MFLR MAYFLOWER BANCORP INC
MFNC MACKINAC FINANCIAL CORP
MFSF MUTUALFIRST FINL INC
MGYR MAGYAR BANCORP INC
MHLD MAIDEN HOLDNGS LTD
MI MARSHALL AND ILSLEY CORP NEW
MIG MEADOWBROOK INSURANCE GROUP INC
MIGP MERCER INSURANCE GROUP INC
MKL MARKEL CORP
MKTX MARKETAXESS HLDGS INC
MNRK MONARCH FINANCIAL HOLDINGS INC
MOFG MIDWESTONE FINANCIAL GRP INC NEW
MOH MOLINA HEALTHCARE INC
MORN MORNINGSTAR INC
MRH MONTPELIER RES HOLDINGS LTD
MROE MONROE BANCORP
MS MORGAN STANLEY DEAN WITTER AND CO
MSBF M S B FINANCIAL CORP
MSFG MAINSOURCE FINANCIAL GROUP INC
MSL MIDSOUTH BANCORP INC
MTG M G I C INVESTMENT CORP WIS
MTU MITSUBISHI UFJ FINANCIAL GP INC
MXGL MAX CAPITAL GROUP LTD

NAHC NATIONAL ATLANTIC HOLDINGS CORP
NAL NEWALLIANCE BANCSHARES INC
NARA NARA BANCORP INC
NATL NATIONAL INTERSTATE CORP
NAVG NAVIGATORS GROUP INC
NBBC NEWBRIDGE BANCORP
NBN NORTHEAST BANCORP
NBTB N B T BANCORP INC
NBTF N B AND T FINANCIAL GROUP INC
NCBC NEW CENTURY BANCORP INC NC
NCC NATIONAL CITY CORP
NDAQ NASDAQ O M X GROUP INC
NEBS NEW ENGLAND BANCSHARES INC
NECB NORTHEAST COMMUNITY BANCORP INC
NEWT NEWTEK BUSINESS SVCS INC
NFBK NORTHFIELD BANCORP INC
NFS NATIONWIDE FINANCIAL SERVICES IN
NFSB NEWPORT BANCORP INC
NHTB NEW HAMPSHIRE THRIFT BNCSHRS INC
NICK NICHOLAS FINANCIAL INC
NITE KNIGHT CAPITAL GROUP INC
NKSH NATIONAL BANKSHARES INC
NMR NOMURA HOLDINGS INC
NMX NYMEX HOLDINGS INC
NOVB NORTH VALLEY BANCORP
NPBC NATIONAL PENN BANCSHARES INC
NRIM NORTHRIM BANCORP INC
NSEC NATIONAL SECURITY GROUP INC
NSFC NORTHERN STATES FINANCIAL CORP
NSH NUSTAR G P HOLDINGS LLC
NTQ N T R ACQUISITION CO
NTRS NORTHERN TRUST CORP
NVSL NAUGATUCK VLY FINANCIAL CORP
NWFL NORWOOD FINANCIAL CORP
NWLIA NATIONAL WESTERN LIFE INS CO
NWSB NORTHWEST BANCORP INC PA
NXTY NEXITY FINANCIAL CORP
NYB NEW YORK COMMUNITY BANCORP INC
NYM N Y M A G I C INC
NYX N Y S E EURONEXT

OCFC OCEANFIRST FINANCIAL CORP
OFG ORIENTAL FINANCIAL GROUP INC
OKSB SOUTHWEST BANCORP INC OKLA
OLBK OLD LINE BANCSHARES
OLCB OHIO LEGACY CORP
ONB OLD NATIONAL BANCORP
ONFC ONEIDA FINANCIAL CORP
OPHC OPTIMUMBANK HOLDINGS INC
OPOF OLD POINT FINL CORP
OPY OPPENHEIMER HOLDINGS INC
ORH ODYSSEY RE HOLDINGS CORP
ORI OLD REPUBLIC INTERNATIONAL CORP
ORIT ORITANI FINANCIAL CORP
OSBC OLD SECOND BANCORP INC
OSBK OSAGE BANCSHARES INC
OSHC OCEAN SHORE HOLDING CO
OVBC OHIO VALLEY BANC CORP
OXPS OPTIONSXPRESS HOLDINGS INC
OZM OCH ZIFF CAPITAL MANGMNT GRP LLC
OZRK BANK OF THE OZARKS INC
PABK P A B BANKSHARES INC
PACW PACWEST BANCORP DE
PBCI PAMRAPO BANCORP INC
PBCT PEOPLES UNITED FINANCIAL INC
PBHC PATHFINDER BANCORP INC
PBIB PORTER BANCORP INC
PBIP PRUDENTIAL BANCORP INC PA
PBKS PROVIDENT BANKSHARES CORP
PBNY PROVIDENT NEW YORK BANCORP
PCBC PACIFIC CAPITAL BANCORP NEW
PCBI PEOPLES COMMUNITY BANCORP INC
PCBK PACIFIC CONTINENTAL CORP
PCBS PROVIDENT COMMUNITY BANCSHRS INC
PEBK PEOPLES BANCORP NC INC
PEBO PEOPLES BANCORP INC
PFBC PREFERRED BANK LOS ANGELES
PFBI PREMIER FINANCIAL BANCORP INC
PFBX PEOPLES FINANCIAL CORP
PFED PARK BANCORP INC
PFG PRINCIPAL FINANCIAL GROUP INC
PFS PROVIDENT FINANCIAL SVCS INC
PGR PROGRESSIVE CORP OH

PHLY PHILADELPHIA CONSOLIDATED HLG CO
PICO P I C O HOLDINGS INC
PJC PIPER JAFFRAY COMPANIES
PKBK PARKE BANCORP INC
PL PROTECTIVE LIFE CORP
PLCC PAULSON CAPITAL CORP
PLFE PRESIDENTIAL LIFE CORP
PMACA P M A CAPITAL CORP
PMBC PACIFIC MERCANTILE BANCORP
PMI P M I GROUP INC
PNBC PRINCETON NATIONAL BANCORP INC
PNBK PATRIOT NATIONAL BANCORP INC
PNC P N C FINANCIAL SERVICES GRP INC
PNFP PINNACLE FINANCIAL PARTNERS INC
PNSN PENSON WORLDWIDE INC
PNX PHOENIX COS INC
PPBI PACIFIC PREMIER BANCORP INC
PRA PROASSURANCE CORP
PRE PARTNERRE LTD
PRK PARK NATIONAL CORP
PROS PROCENTURY CORP
PROV PROVIDENT FINANCIAL HOLDINGS INC
PRSP PROSPERITY BANCSHARES INC
PRU PRUDENTIAL FINANCIAL INC
PRWT PREMIERWEST BANCORP
PSBC PACIFIC STATE BANCORP
PSBH PSB HOLDINGS INC
PSEC PROSPECT CAPITAL CORP
PTA PENN TREATY AMERICAN CORP
PTP PLATINUM UNDERWRITERS HLDGS LTD
PUK PRUDENTIAL PLC
PULB PULASKI FINANCIAL CORP
PVFC P V F CAPITAL CORP
PVSA PARKVALE FINANCIAL CORP
PVTB PRIVATEBANCORP INC
PWOD PENNS WOODS BANCORP INC
PZN PZENA INVESTMENT MANAGEMENT INC
QCRH Q C R HOLDINGS INC
QNTA QUANTA CAPITAL HOLDINGS LTD
RAMR R A M HOLDINGS LTD

RBCAA REPUBLIC BANCORP INC KY
RBNF RURBAN FINANCIAL CORP
RBPAA ROYAL BANCSHARES PA INC
RBS ROYAL BANK SCOTLAND GROUP PLC
RCBK RIVER CITY BANK
RCKB ROCKVILLE FINANCIAL INC
RDN RADIAN GROUP INC
RE EVEREST RE GROUP LTD
RF REGIONS FINANCIAL CORP NEW
RGA REINSURANCE GROUP OF AMERICA INC
RIVR RIVER VALLEY BANCORP
RJF RAYMOND JAMES FINANCIAL INC
RKH REGIONAL BANK HOLDRS TRUST
RLI R L I CORP
RNR RENAISSANCERE HOLDINGS LTD
RNST RENASANT CORP
RODM RODMAN & RENSHAW CAP GRP INC NEW
ROMA ROMA FINANCIAL CORP
ROME ROME BANCORP INC
RPFG RAINIER PACIFIC FINL GROUP INC
RVSB RIVERVIEW BANCORP INC
RY ROYAL BANK CANADA MONTREAL QUE
SAF SAFECO CORP
SAFT SAFETY INSURANCE GROUP INC
SAL SALISBURY BANCORP INC
SAMB SUN AMERICAN BANCORP
SASR SANDY SPRING BANCORP INC
SAVB SAVANNAH BANCORP INC
SBBX SUSSEX BANCORP
SBCF SEACOAST BANKING CORP FLA
SBIB STERLING BANCSHARES INC
SBKC SECURITY BANK CORP
SBNY SIGNATURE BANK NEW YORK N Y
SBP SANTANDER BANCORP
SBSI SOUTHSIDE BANCSHARES INC
SCA SECURITY CAPITAL ASSURANCE LTD
SCB COMMUNITY BANKSHARES INC S C
SCBT S C B T FINANCIAL CORP
SCHW SCHWAB CHARLES CORP NEW
SCMF SOUTHERN COMMUNITY FINCL CORP

SEAB SEABRIGHT INSURANCE HOLDINGS INC
SF STIFEL FINANCIAL CORP
SFG STANCORP FINANCIAL GROUP INC
SFNC SIMMONS 1ST NATIONAL CORP
SFST SOUTHERN FIRST BANCSHARES INC
SGB SOUTHWEST GEORGIA FINANCIAL CORP
SHG SHINHAN FINANCIAL GROUP CO LTD
SIEB SIEBERT FINANCIAL CORP
SIFI SI FINANCIAL GROUP INC
SIGI SELECTIVE INSURANCE GROUP INC
SIVB S V B FINANCIAL GROUP
SLF SUN LIFE FINANCIAL INC
SLM S L M CORP
SMBC SOUTHERN MISSOURI BANCORP INC
SMCG MILLENNIUM INDIA ACQUISIT CO INC
SMHG SANDERS MORRIS HARRIS GROUP INC
SMMF SUMMIT FINANCIAL GROUP INC
SMTB SMITHTOWN BANCORP INC
SNBC SUN BANCORP INC
SNV SYNOVUS FINANCIAL CORP
SOCB SOUTHCOAST FINANCIAL CORP
SOMH SOMERSET HILLS BANCORP
SONA SOUTHERN NATIONAL BANCORP VA INC
SOV SOVEREIGN BANCORP INC
SRCE 1ST SOURCE CORP
SSBI SUMMIT STATE BANK
SSBX SILVER STATE BANCORP
SSFN STEWARDSHIP FINANCIAL CORP
STBA S AND T BANCORP INC
STBC STATE BANCORP INC NY
STBK STERLING BANKS INC
STEL STELLARONE CORP
STFC STATE AUTO FINANCIAL CORP
STI SUNTRUST BANKS INC
STL STERLING BANCORP
STSA STERLING FINANCIAL CORP WASH
STT STATE STREET CORP
STU STUDENT LOAN CORP
SUAI SPECIALTY UNDERWRITERS ALL INC

SUBK SUFFOLK BANCORP
SUFB SUFFOLK FIRST BANK VA
SUPR SUPERIOR BANCORP
SUR C N A SURETY CORP
SUSQ SUSQUEHANNA BANCSHARES INC PA
SVBI SEVERN BANCORP INC MD
SWS S W S GROUP INC
SYBT S Y BANCORP INC
TAMB TAMALPAIS BANCORP
TAQ TRANSFORMA ACQUISITION GROUP INC
TAYC TAYLOR CAPITAL GROUP INC
TBBK BANCORP INC
TBHS BANK HOLDINGS THE
TCB T C F FINANCIAL CORP
TCBI TEXAS CAPITAL BANCSHARES INC
TCBK TRICO BANCSHARES
TCHC 21ST CENTURY HOLDING CO
TDBK TIDELANDS BANCSHARES INC
TFIN TEAM FINANCIAL INC
TFSL TFS FINANCIAL CORP
TGIC TRIAD GUARANTY INC
THFF FIRST FINANCIAL CORP IN
THG HANOVER INSURANCE GROUP INC
THRD T F FINANCIAL CORP
TIBB T I B FINANCIAL CORP
TIL TRANS INDIA ACQUISITION CORP
TMCV TEMECULA VALLEY BANCORP INC
TMK TORCHMARK CORP
TMP TOMPKINS FINANCIAL CORP
TNCC TENNESSEE COMMERCE BANCORP INC
TOFC TOWER FINANCIAL CORP
TONE TIERONE CORP
TOWN TOWNEBANK
TRH TRANSATLANTIC HOLDINGS INC
TROW T ROWE PRICE GROUP INC
TRST TRUSTCO BANK CORP NY
TRUE CENTRUE FINANCIAL CORP NEW
TRV TRAVELERS COMPANIES INC
TSBK TIMBERLAND BANCORP INC
TSFG SOUTH FINL GROUP INC
TSH TECHE HOLDING CO
TWGP TOWER GROUP INC
TWPG THOMAS WEISEL PARTNERS GROUP

UAM UNIVERSAL AMERICAN CORP
UB UNIONBANCAL CORP
UBCP UNITED BANCORP INC
UBFO UNITED SECURITY BANKSHARES
UBNK UNITED FINANCIAL BANCORP INC MD
UBOH UNITED BANCSHARES INC
UBS U B S AG
UBSH UNION BANKSHARES CORP
UBSI UNITED BANKSHARES INC
UCBA UNITED COMMUNITY BANCORP
UCBH U C B H HOLDINGS INC
UCBI UNITED COMMUNITY BANKS INC GA
UCFC UNITED COMMUNITY FINL CORP OHIO
UFCS UNITED FIRE & CAS CO
UMBF U M B FINANCIAL CORP
UMPQ UMPQUA HOLDINGS CORP
UNAM UNICO AMERICAN CORP
UNB UNION BANKSHARES INC
UNH UNITEDHEALTH GROUP INC
UNIB UNIVERSITY BANCORP INC
UNM UNUM GROUP
UNTY UNITY BANCORP INC
USB U S BANCORP DEL
USBI UNITED SECURITY BANCSHARES INC
UTR UNITRIN INC
UVSP UNIVEST CORP OF PENNSYLVANIA
UWBK UNITED WESTERN BANCORP INC
VBFC VILLAGE BANK AND TRUST FINL CORP
VCBI VIRGINIA COMMERCE BANCORP
VIST V I S T FINACIAL CORP
VLY VALLEY NATIONAL BANCORP
VNBC VINEYARD NATIONAL BANCORP
VPFG VIEWPOINT FINANCIAL GROUP
VR VALIDUS HOLDINGS LTD
VSBN V S B BANCORP INC NY
VYFC VALLEY FINANCIAL CORP VA
WABC WESTAMERICA BANCORPORATION
WAIN WAINWRIGHT BANK & TRUST CO BOSTN
WAL WESTERN ALLIANCE BANCORPORATION

WASH WASHINGTON TRUST BANCORP INC
WAUW WAUWATOSA HOLDINGS INC
WAYN WAYNE SAVINGS BANCSHARES INC NEW
WB WACHOVIA CORP 2ND NEW
WBCO WASHINGTON BANKING COMPANY
WBNK WACCAMAW BANKSHARES INC
WBS WEBSTER FINL CORP WATERBURY CONN
WCBO WEST COAST BANCORP ORE NEW
WCG WELLCARE HEALTH PLANS INC
WDR WADDELL AND REED FINANCIAL INC
WFBC WILLOW FINANCIAL BANCORP INC
WFC WELLS FARGO & CO NEW
WFD WESTFIELD FINANCIAL INC
WFSL WASHINGTON FEDERAL INC
WGNB W G N B CORP
WHG WESTWOOD HOLDINGS GROUP INC
WHI W HOLDING CO INC
WIBC WILSHIRE BANCORP INC
WL WILMINGTON TRUST CORP
WLP WELLPOINT INC
WM WASHINGTON MUTUAL INC
WPL STEWART W P AND CO LTD
WRB BERKLEY W R CORP
WSB W S B HOLDINGS INC
WSBC WESBANCO INC
WSFG W S B FINANCIAL GROUP
WSFS WSFS FINANCIAL CORP
WTBA WEST BANCORPORATION INC
WTFC WINTRUST FINANCIAL CORPORATION
WTM WHITE MOUNTAINS INS GROUP INC
WTNY WHITNEY HOLDING CORP
WVFC WVS FINANCIAL CORP
XL X L CAPITAL LTD
Y ALLEGHANY CORP DE
YAVY YADKIN VALLEY FINANCIAL CORP
ZION ZIONS BANCORP
ZNT ZENITH NATIONAL INSURANCE CORP

Thursday, September 18, 2008

Could The Unthinkable Happen?

What am I referring to when I say the Unthinkable? What I mean is a direct intervention into the stock market by the Federal Government. I am not talking about more bailouts of Financial Companies who overleveraged and forgot how to properly assess risk. I mean our government actually buying stocks to support the market.

Granted it would take a lot more pain and the market would have to shed a few thousand points more to get anyone even close to advocating this, but is it that much more of a philosophical leap to go from bailing out AIG, FNM and FRE and becoming the owner of those companies, to supporting the stock market?

Other governments do this routinely, and Russia yesterday announced it was putting $44 billion USD into its market through three state owned banks.

How could this be accomplished in the U.S? By allowing the Social Security Trust Fund to invest a small percentage of its assets in the domestic stock markets. This might require a statutory change by Congress, but anything is possible in this environment.

I am not sure this would solve our current crisis since it is related more to credit than the stock market, but certainly the 25% fall in the market indexes are a contributing factor that impact confidence and wealth.

Now please don't jump all over me for writing this - I am not supporting the government doing this. I am just wondering out loud what the future might hold as Paulson and Company reach into its bag of tricks and finds that it is running out of magic.

NYSE Circuit Breakers

I'm not sure what today will bring in the market; futures are up slightly as I am writing this, but here are the circuit breakers rules in force for the New York Stock Exchange for the third quarter of 2008. Good luck out there today.

In the event of a 1200 point decline in the DJIA (10 percent)

Before 2 p.m. a one hour trading halt.
From 2-2:30 p.m. a 30 minute trading halt.
After 2:30 p.m. - No trading halt.

In the event of a 2400 point decline in the DJIA (20 percent)

Before 1 p.m. a two hour trading halt.
From 1-2:00 p.m. a one hour trading halt.
After 2:00 p.m. - Market Closes.

In the event of a 3600 point decline in the DJIA (30 percent), regardless of the time, the NYSE closes trading for the day.

Monday, September 15, 2008

Big Oil Meets

The few remaining Oil Bulls left in the market meet in an underground bunker 100 feet below ground, under the headquarters of Big Oil in Irving, TX. Angry crowds of investors are closing in, advancing relentlessly. Artillery shell explosions can be heard distantly in the background.

video

Friday, September 12, 2008

Bank Death Watch

It's Friday afternoon which means it's time for the Federal Deposit Insurance Corporation (FDIC) to take over another bank. I keep refreshing the page at the FDIC site. I admit it's a little morbid, but what the heck.

FDIC Home Page

Thursday, September 11, 2008

Inspector General Report

The Office of the Inspector General (OIG) released a couple of reports yesterday on the ethical lapses by employees in the royalty in kind program at the Minerals Management Service (MMS). This report made the front page of the Wall Street Journal, but has been ignored by many due to all the hoopla over what is going on with Lehman.

The report found that employees of the office "frequently consumed alcohol at industry functions, had used cocaine and marijuana, and had sexual relations with oil and gas company representatives."

I have to say I am a little insulted. I have been to many oil industry events in my life and never been offered sex at any of them.

Here are some of the findings from the report:

"Between 2002 and 2006, nearly 1/3 of the entire RIK staff socialized with, and received a wide array of gifts and gratuities from, oil and gas companies with whom RIK was conducting official business. While the dollar amount of gifts and gratuities was not enormous, these employees accepted gifts with prodigious frequency. In particular, two RIK marketers received combined gifts and gratuities on at least 135 occasions from four major oil and gas companies with whom they were doing business."

"Several staff admitted to illegal drug use as well as illicit sexual encounters. Alcohol abuse appears to have been a problem when RIK staff socialized with industry. For example, two RIK staff accepted lodging from industry after industry events because they were too intoxicated to drive home or to their hotel. These same RIK marketers also engaged in brief sexual relationships with industry contacts. Sexual relationships with prohibited sources cannot, by definition, be arms-length."

The full reports are on this page.

Saturday, September 6, 2008

Silver State Bank - Postmortem

Here are some final stats on the bank seized Friday by the Federal Deposit Insurance Corporation (FDIC) as of 6/30/08.

Equity capital to assets - 6.87%
Core capital (leverage) ratio - 6.56%
Tier 1 risk-based capital ratio - 7.57%
Total risk-based capital ratio - 8.86%

Noncurrent loans to loans - 15.38% (Total noncurrent loans and leases, Loans and leases 90 days or more past due plus loans in nonaccrual status, as a percent of gross loans and leases.

Time deposits of $100,000 or more - 21.23%

Friday, September 5, 2008

Another One Bites The Dust

Silver State Bank of Henderson, NV was seized early this evening by the Federal Deposit Insurance Corporation (FDIC).

The Nevada State Bank, of Las Vegas, has assumed the insured deposits of Silver State Bank.

Silver State Bank had total assets of $2.0 billion and total deposits of $1.7 billion. Nevada State Bank agreed to purchase the insured deposits for a premium of 1.3%.

From the web site of the seized bank:

Silver State Bancorp, through its wholly-owned subsidiary, Silver State Bank, currently operates thirteen full service branches in southern Nevada and four full service branches in the Phoenix/Scottsdale market area. Silver State Bank also operates loan production offices located in Nevada, California, Washington, Oregon, Utah, Colorado and Florida.

Silver State Bancorp is headquartered in Henderson, Nevada and listed on the Nasdaq Global Market under the symbol SSBX.

Tuesday, September 2, 2008

Investing Carnival # 10

Welcome to the September 2, 2008 edition of the Investing Carnival supported by the members of The Dividend and Value Investing Network - The Div-Net. This is the tenth edition of the Festival.

Stock Analysis

First, we have several posts on individual stocks - all from members of The Div-Net

The DIV-Net presents State Street Corporation (STT) Dividend Analysis posted at Dividend Growth Investor.

Dividends4Life presents Stock Analysis: Walgreen Co (WAG) posted at Dividends4Life.

Stock Market Prognosticator presents a review of the Analyst day at White Mountains Insurance (WTM) held back in June 2008, posted at the Stock Market Prognosticator.

General Investing

Tushar Mathur presents Advantages and Disadvantages of ETFs posted at Invest In India.

Upside Trader presents Hey, Maybe I'm Wrong posted at upsidetrader.

Dorian Wales presents The Trend Isn’t Always Your Friend – Improbable Scenarios Present Rare Investment Opportunities posted at The Personal Financier.

praveen presents How Markets React to Fundamentals posted at My Simple Trading System.

Qovax presents 5 Deadly Sins of Investing posted at Value Investing and Entrepreneurship by Qovax, a Software Startup.

Silicon Valley Blogger presents 20 Typical Reasons To Sell Your Stock Or Mutual Fund posted at The Digerati Life.

Enoch Ko presents My Letter to Shareholders posted at The Wealth Accumulator.

Contrarian Profits presents The One Warren Buffett Biography Every Investor Should Read posted at Contrarian Profits.

lucas presents Dollar Cost averaging in today's market posted at VALUE INVESTOR HAVEN.

Personal Finance

Bugs Money presents 15 ways to save money during a recession posted at Bugs Munny.

imarketing4s presents What Types Of Debt Can Be Consolidated? posted at Free Debt Consolidation: Qualified Financial Management.

Mr. ToughMoneyLove presents Currency Investing and Protection in your Portfolio - Do it the Smart Way posted at Tough Money Love » Hard Truth about Money and Personal Finance.

Raag Vamdatt presents two articles. The first is An Introduction to Reverse Mortgage :: RaagVamdatt.com :: Financial Planning demystified and the second article is All you wanted to know about Senior Citizen Savings Scheme (SCSS) :: RaagVamdatt.com :: Financial Planning demystified posted at RaagVamdatt.com.

KCLau presents What Do You Know About Bankruptcy? posted at KCLau's Money Tips.

Ace Elliott presents Avoiding Mortgage Foreclosure posted at Care One Credit.

LAL presents To Roth or Not? posted at LivingAlmostLarge.