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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Jim McMannis who wrote (133360)	7/12/2008 1:13:19 PM
From: RockyBalboa	Respond to of 306849

Not necessarily an offense. They will always argue that by making public troubles they rather kill the bank on the spot. And then, leave it to us, please! We need stock to short at good prices. There is one indication of an impeding death. The company goes silent...and market makers not near the stock with volume anemic. Seen in IMB recently. I did look at continental balance sheet. Honestly it is not easy to see a nearing collapse. It is practically impossible and as they say a result of "high speed electronic bank runs"... Message 24750668 IMB was different: its numbers were so bad for a year and the market slowly reacted.

To: Jim McMannis who wrote (133360)	7/12/2008 1:46:29 PM
From: James Hutton	Read Replies (2) \| Respond to of 306849

"The FDIC has 90 banks on the collapse watch list. They do not make the list public to prevent a run on those banks. Isn't that a criminal offense?" Inducing panic is.

To: Jim McMannis who wrote (133360)	7/12/2008 5:48:35 PM
From: ChanceIs	Read Replies (1) \| Respond to of 306849

>>>They do not make the list public to prevent a run on those banks.<<< Not sure if relevant, but there was the "discount window" stigma up until last summer when Bernanke started slashing the discount rate. Those going to the "discount window were deemed to be in trouble, so nobody used it. Relatedly, the LIBOR scandal was all about banks understating what they had to pay depositors. If depositors wanted a lot to loan to you overnight, that meant that they smelled something fishy. So certain banks would have to pay say...8%...but they would tell the LIBOR folks that they were borrowing at say...6%. The LIBOR folks publish the bank's identity and the rate. Of course lying to the LIBOR folks is quite illegal. That matter kind of got swept under the rug. I guess that they felt that enough light had been shone upon it, and that confidence had already been sufficiently compromised. Banks get away with a lot in order to prevent further erosion. Criminal not to disclose who is on death watch??? Great question. The entire ratings agancy matter will be reviewed when we begin to pick up the pieces.

To: Jim McMannis who wrote (133360)	7/13/2008 1:01:32 PM
From: RockyBalboa	Read Replies (2) \| Respond to of 306849

According to the bloomberg story the SEC sees it differently. But with the "no comment" stance of the FDIC this seems difficult. There will always be rumormongering (even if based on recent company info). bloomberg.com SEC to Probe Efforts to Manipulate Stock Prices Through Rumors By Bill Arthur July 13 (Bloomberg) -- The Securities and Exchange Commission said it will investigate the spread of false information to manipulate stock prices. ``The examinations will be conducted by the SEC's Office of Compliance Inspections and Examinations, as well as the Financial Industry Regulatory Authority and New York Stock Exchange Regulation Inc.,'' the agency said in a news release today. The examinations will be in addition to investigations already under way into manipulation of securities prices through rumor-mongering and abusive short selling, the SEC said. ``The examinations we are undertaking with FINRA and NYSE Regulation are aimed at ensuring that investors continue to get reliable, accurate information about public companies in the marketplace,'' said SEC Chairman Christopher Cox. ``They will also provide an opportunity to double-check that broker-dealers and investment advisers have appropriate training for their employees and sturdy controls in place to prevent intentionally false information from harming investors.'' To contact the reporter on this story: Bill Arthur in Washington at barthur@bloomberg.net. Last Updated: July 13, 2008 12:31 EDT