Shaker Hts. Ohio
With $700 trillion derivatives circling over us like an H-bomb sized Bubonic Financial Plague waiting for a detonator, the Street sails on. What could be the motivation of the judge? Perhaps the judge plans to follow in the footsteps of the famous economist who was the most prominent cheerleader for deregulating the sociopathic greed that was previously controlled by Glass, and the critical 1956 Bank Holding Co. Act. Greenspan, of course, was a highly paid consultant to Wall Street, no conflict there! So the court was for the Wall Street lobbyists, and against the public good which is clearly to establish trading limits.
The ISDA (International Swaps and Derivatives Association) statement is replete with total factual misrepresentations about its contended “mission.” It should have also refered to apple pie and motherhood.
What it did not say is that most derivatives have no foundational value; and even the commodities that do, are so leveraged as to make the value disappear down the looking glass.
Further, it is ludicrous to say the banks are investing “their money” when their money comes from essentially free Fed funds – which are from our treasury.
Glass was about 35 pages, and the new rules surrounding Dodd-Frank currently exceed 2,000 pages, making them impossible to administer. Wall Street and its army of lobbyists are still submitting comments to the SEC to reduce/dilute whatever impact it could have. As Sascha Baron Cohen would observe: “Is nice.” www.the5thestate.net
Sept. 30, 2012 at 9:10 a.m.
Read this article: http://dealbook.nytimes.com/2012/09/28/judge-strikes-down-dodd-frank-trading-rule/?comments#permid=11