The Dow rose more than 200 points. It closed up 1.7 per cent at 12,795.96, while the S&P 500 gained 2 per cent to close at 1,386.89. Markets closed before news of the Moody’s French downgrade. (Bloomberg) Read more
With his reputation suitably inflated from his Sino-Forest adventures, Carson Block’s next target is Olam International, the Singapore-based commodities trading group. As usual with the companies Block focuses on, it should be assumed that that his firm, Muddy Waters, is shorting the name.
Speaking at the Sohn London Investment Conference on Monday, Block questioned Olam’s accounting practices, declaring that the company was engaged in “constant ‘reclassification’” of certain parts of its balance sheet. He alleged there was a case where “office supplies became biological assets”. Read more
This FT Alphavillian has a confession to make. When she first started working in finance, she read Nassim Nicholas Taleb’s Fooled by Randomness and was quite taken by it. She recommended it to friends. Choice quotes by the man in the FT were dutifully clipped out and pinned to the cubicle wall — right next to a chart of monoline CDS spreads widening out and a list of biggest SIVs. Such a crisis groupie, we know…
Live markets commentary from FT.com
When the International Energy Agency’s big annual report came out last week there was a big top line story picked up nearly everywhere: that US oil production will overtake Saudi Arabia by about 2020.
This is due to projected rises in oil being wrung from the sort of shale formations that have been the source of vast new supplies of natural gas in the past few years. Read more
US tax breaks worth $150bn face axe || FSB seeks to tame shadow banking || Pressure for Gaza ceasefire grows || Obama in Myanmar reform push || EU makes budget plans without UK || HSBC considers sale of Ping An stake || SAS close to union deal || Markets update || Ocado’s ‘cashbox’ lifeline || MMF regulation gets tough Read more
There’s a corporate finance wheeze known as a “cashbox”. It’s a way of getting around certain rules, regulations and conventions associated with being a London-listed stock.
NOTE — see the update at the bottom of this post, along with the comments. Read more
A proposal by the Securities and Exchange Commission chairman Mary Schapiro to more closely regulate money market funds was abandoned back in September when three of the five commissioners opposed it. A week or so later it became clear that the Financial Stability Oversight Committee would keep advancing the cause of the MMF reforms. Read more
EU goes ahead on budget without UK || FSB wants shadow banking controls || Maersk switches away from shipping || UK town centres empty, zombie business abound || Franklin Templeton owns nearly 10% of Irish bonds || Cisco buys Meraki for $1.2bn || Japanese politics is getting complicated || Five things Wolfgang Munchau isn’t worried about Read more