Good morning
Notes:
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The headlines:
- Stocks retreat.
Link: this headline is actually about the Europe crisis.
It’s actually about the Spanish 10 year implied bond yield, which cruised back up past 6%.
Protests against austerity from the Spaniards. And most of Europe, if we’re honest.
So the stock market reacted with general hesitation.
- South African gold mine output down by 39%.
Link: the strikes continue.
Anglogold and Goldfields are all suffering from strikes, as the Lonmin unrest spreads. And by “Anglogold” we mean “all of Anglogold’s South African mines”, not “some mines”.
It’s all going into crisis. And it’s lots of whining.
I’m just not sure that striking makes you legitimate – we all know that you can go on strike, the gold companies all know that you can go on strike, so actually going on strike does nothing but give you a free holiday. Just the threat is enough.
Do they realise the capital costs of mining? And then suddenly, the mines shut because the union uselessness is too much of a headache for it to be worth it. And then what? Nationalising?!
Oh please. Because that’s always worked so well historically…
- Oh my goodness – another ex-CDO chief that was fraudulently creating CDOs to boost his bonus!
Link: Can you say “banking scandal cliché”?
This time it’s the guy from Credit-Suisse, Kareem Serageldin; for “a bonus-boosting fraud tied to a $5.35 billion trading book”.
They created fake Collateralised Debt Obligations, and manipulated prices.
Frankly, I’m just confused that they had to make fake ones. It was easy enough to make the real ones. And, my next question: were the fake ones rated?!
That’s all for now.
Have a good day.
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