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{...sound of cricket chirping...}
UPDATE: White House:Rescue Bill Changes Boost Odds Of Passage
By Henry J. Pulizzi, Of DOW JONES NEWSWIRES
WASHINGTON -(Dow Jones)- The market-rescue package that failed in the House of Representatives this week stands a better chance of passage now that the Senate has added a number of provisions, the White House said Wednesday.
The Senate will vote on the updated legislation later Wednesday. The measure now would boost federal deposit insurance limits and include several tax breaks - changes implemented to help sway skeptics in both political parties.
White House spokesman Tony Fratto said the bill has been modified "in a way that we believe significantly improves the chances of ultimately being passed by both chambers and finding its way to the president's desk."
The Senate bill would raise the Federal Deposit Insurance Corp. insurance limit on most bank accounts to $250,000 from $100,000 for one year. The bill also will include the Senate version of an extension to a series of renewable energy and other business tax credits, as well as an extension of a fix for the alternative minimum tax.
Fratto said the administration believes the FDIC insurance-cap increase is "an important improvement." The White House also supports the bill's tax provisions but doesn't think they should be offset, which could raise opposition from fiscally-conservative Democrats in the House.
Bush is continuing to aggressively lobby for the measure, calling senators to seal their support. Fratto, who didn't name the lawmakers on Bush's call list, said the conversations so far have been "very positive," with senators conveying a sense of urgency to address the financial crisis.
"We think we can get this legislation across the finish line," Fratto said, " but we're going to keep working today, and we're going to work tomorrow, when the House takes it up."
Bush is having lunch Wednesday with Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke, the chief salesmen for the rescue package. The administration has been criticized for failing to adequately promote a plan that has come to be viewed by the public as a bailout of Wall Street.
Fratto said he believes Bush still has "a great deal of influence" in the debate.
In addition to Bush, Fratto said lawmakers are hearing complaints from businesses about strains from the credit crisis, which he said "is affecting real Americans out there."
The U.S. crisis has sparked criticism from some U.S. allies, who say a lax regulatory environment helped spawn a culture of debt. Asked about the criticism, Fratto said financial leaders should get together to work on rules that protect investors without inhibiting global money flows.
"I would say better global regulations, not necessarily tighter global regulations," Fratto said. "We want them to be better and more effective, and we want to see a whole lot more transparency in how investment capital moves around the world."
But he offered a broad defense of U.S. financial institutions.
"There is no question at all that the U.S. economy and the U.S. financial markets have contributed greatly not just to American growth, but to global growth over the past 15 years, and a lot of very important innovations," Fratto said. "To stand here and just dump on what that industry has done because of this crisis is, I think, a bit unfair."
-By Henry J. Pulizzi, Dow Jones Newswires; 202-862-9256; henry.pulizzi@ dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http:// www.djnewsplus.com/al?rnd=cN9izTttzEYnp%2BVDiKDWSA%3D%3D. You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
10-01-081300ET
Copyright (c) 2008 Dow Jones & Company, Inc.
UPDATE: White House:Rescue Bill Changes Boost Odds Of Passage
By Henry J. Pulizzi, Of DOW JONES NEWSWIRES
WASHINGTON -(Dow Jones)- The market-rescue package that failed in the House of Representatives this week stands a better chance of passage now that the Senate has added a number of provisions, the White House said Wednesday.
The Senate will vote on the updated legislation later Wednesday. The measure now would boost federal deposit insurance limits and include several tax breaks - changes implemented to help sway skeptics in both political parties.
White House spokesman Tony Fratto said the bill has been modified "in a way that we believe significantly improves the chances of ultimately being passed by both chambers and finding its way to the president's desk."
The Senate bill would raise the Federal Deposit Insurance Corp. insurance limit on most bank accounts to $250,000 from $100,000 for one year. The bill also will include the Senate version of an extension to a series of renewable energy and other business tax credits, as well as an extension of a fix for the alternative minimum tax.
Fratto said the administration believes the FDIC insurance-cap increase is "an important improvement." The White House also supports the bill's tax provisions but doesn't think they should be offset, which could raise opposition from fiscally-conservative Democrats in the House.
Bush is continuing to aggressively lobby for the measure, calling senators to seal their support. Fratto, who didn't name the lawmakers on Bush's call list, said the conversations so far have been "very positive," with senators conveying a sense of urgency to address the financial crisis.
"We think we can get this legislation across the finish line," Fratto said, " but we're going to keep working today, and we're going to work tomorrow, when the House takes it up."
Bush is having lunch Wednesday with Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke, the chief salesmen for the rescue package. The administration has been criticized for failing to adequately promote a plan that has come to be viewed by the public as a bailout of Wall Street.
Fratto said he believes Bush still has "a great deal of influence" in the debate.
In addition to Bush, Fratto said lawmakers are hearing complaints from businesses about strains from the credit crisis, which he said "is affecting real Americans out there."
The U.S. crisis has sparked criticism from some U.S. allies, who say a lax regulatory environment helped spawn a culture of debt. Asked about the criticism, Fratto said financial leaders should get together to work on rules that protect investors without inhibiting global money flows.
"I would say better global regulations, not necessarily tighter global regulations," Fratto said. "We want them to be better and more effective, and we want to see a whole lot more transparency in how investment capital moves around the world."
But he offered a broad defense of U.S. financial institutions.
"There is no question at all that the U.S. economy and the U.S. financial markets have contributed greatly not just to American growth, but to global growth over the past 15 years, and a lot of very important innovations," Fratto said. "To stand here and just dump on what that industry has done because of this crisis is, I think, a bit unfair."
-By Henry J. Pulizzi, Dow Jones Newswires; 202-862-9256; henry.pulizzi@ dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http:// www.djnewsplus.com/al?rnd=cN9izTttzEYnp%2BVDiKDWSA%3D%3D. You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
10-01-081300ET
Copyright (c) 2008 Dow Jones & Company, Inc.
beat me,lol...
NYSE CEO Sees Temporary Short-Sale Ban Likely Extended
10/01 01:24 PM
(MORE TO FOLLOW) Dow Jones Newswires
10-01-081324ET
Copyright (c) 2008 Dow Jones & Company, Inc.
NYSE CEO: SEC Weighs Reinstating Uptick Short-Sale Rule
10/01 01:21 PM
(MORE TO FOLLOW) Dow Jones Newswires
10-01-081321ET
Copyright (c) 2008 Dow Jones & Company, Inc.
NYSE CEO: SEC Weighs Reinstating Uptick Short-Sale Rule
10/01 01:21 PM
(MORE TO FOLLOW) Dow Jones Newswires
10-01-081321ET
Copyright (c) 2008 Dow Jones & Company, Inc.
10day/Hourly chart setting up nice, IMO...
10day/Hourly chart setting up nice, IMO...
I agree he is biased, though I would imagine so are we, LOL
I just realized that, LOL. Real professional...
All the articles look like posts on IHUB nowadays, LOL...
We needed to find support at some point. We really kind of skipped the dollar range on the way up. I think that was for a very good reason. They know full and well that the folks buying at less than a buck are NOT patient, IMO.
When looking at either side of any coin, one must always remember that everybody serves somebody...
I think both FNM and FRE are going higher than last week. I wont speculate as to when, or how much higher, but I haven't sold a thing yet on either position. I am still bullish, I wont sell until after this bill is passed(or the PPS mysteriously goes up on it's own before then). GLTA(except shorts)
...decisions,decisions,decisions...
Shorting the ban
Commentary: SEC's short-selling ban isn't giving investors a brake
10/01 10:45 AM
NEW YORK (MarketWatch) -- So, how are those 799 stocks originally part of the Securities and Exchange Commission's ban on short selling doing anyway?
Well, through the close of trading Tuesday, those stocks -- less 57 small issues that didn't trade on either Sept. 18 or Tuesday -- were down 5.5%, compared to a 7.7% average decline for the S&P 500 , according to a study of the stocks by TFS Capital, an asset manager that runs hedge funds and is based in Richmond, Va.
Stocks covered by the ban appear to be faring better. But take a closer look. The big winners were Fannie Mae (FNM:$1.5800,$0.0500,3.27%) , up 218%, and Freddie Mac (FRE:$1.7701,$0.0601,3.51%) , up 445%. Those shares were part of a government intervention. The mortgage giants' stocks went from less than 50 cents a share to around $1.50.
Then there were the community banks. Names like Fairfax Financial Holdings Ltd. (FFH:$334.0000,$5.5000,1.67%) , up 31%, and Harrington West Financial Group (HWFG:$4.25,00$0.00,000.00%) , up 68%, also rank among the big winners. Outside of their region, they're hardly household names.
So, how about the names investors have identified as being at risk? Wachovia Corp. (WB:$3.2000,$-0.3000,-8.57%) shares fell 87%. Sovereign Bancorp Inc. (SOV:$4.23,00$0.28,007.09%) shares were off 73%. National City Corp. (NCC:$2.10,00$0.35,0020.00%) fell 69%. Ambac Financial Group Inc. (ABK:$2.38,00$0.05,002.15%) fell 67%.
You get the picture. If the ban was intended to ease pressure on financial institution stocks, it didn't have any meaningful effect. Remember, short interest as a percentage of all shares was about 4% without the ban. So, again, little if any effect.
Unless it's having an amazing effect and without it everything would go to zero. These days, you can't rule it out.
- David Weidner
Shorting the ban
Commentary: SEC's short-selling ban isn't giving investors a brake
10/01 10:45 AM
NEW YORK (MarketWatch) -- So, how are those 799 stocks originally part of the Securities and Exchange Commission's ban on short selling doing anyway?
Well, through the close of trading Tuesday, those stocks -- less 57 small issues that didn't trade on either Sept. 18 or Tuesday -- were down 5.5%, compared to a 7.7% average decline for the S&P 500 , according to a study of the stocks by TFS Capital, an asset manager that runs hedge funds and is based in Richmond, Va.
Stocks covered by the ban appear to be faring better. But take a closer look. The big winners were Fannie Mae (FNM:$1.5800,$0.0500,3.27%) , up 218%, and Freddie Mac (FRE:$1.7701,$0.0601,3.51%) , up 445%. Those shares were part of a government intervention. The mortgage giants' stocks went from less than 50 cents a share to around $1.50.
Then there were the community banks. Names like Fairfax Financial Holdings Ltd. (FFH:$334.0000,$5.5000,1.67%) , up 31%, and Harrington West Financial Group (HWFG:$4.25,00$0.00,000.00%) , up 68%, also rank among the big winners. Outside of their region, they're hardly household names.
So, how about the names investors have identified as being at risk? Wachovia Corp. (WB:$3.2000,$-0.3000,-8.57%) shares fell 87%. Sovereign Bancorp Inc. (SOV:$4.23,00$0.28,007.09%) shares were off 73%. National City Corp. (NCC:$2.10,00$0.35,0020.00%) fell 69%. Ambac Financial Group Inc. (ABK:$2.38,00$0.05,002.15%) fell 67%.
You get the picture. If the ban was intended to ease pressure on financial institution stocks, it didn't have any meaningful effect. Remember, short interest as a percentage of all shares was about 4% without the ban. So, again, little if any effect.
Unless it's having an amazing effect and without it everything would go to zero. These days, you can't rule it out.
- David Weidner
I am split on how I feel about that. The only reason I can gather that they wouldn't haven't covered yet,(if in fact they haven't covered yet)would be because they fear covering without the ability to short during that process. We might actually go up if they released the ban. Or not...
U.S. SEC under pressure to extend short sale ban
09/30 07:16 PM
By Svea Herbst-Bayliss and Rachelle Younglai
BOSTON/WASHINGTON, Sept 30 (Reuters) - Dizzying drops like the Dow Jones industrial average's 7 percent plunge on Monday may prompt U.S. securities regulators to extend a short selling ban beyond Thursday.
Hedge fund managers and large institutional investors bitterly oppose the restriction imposed by the U.S. Securities and Exchange Commission, saying it has contributed to sharp market swings. But securities experts say the SEC is under pressure to take whatever action it can to help calm financial markets rattled by the uncertain legislative fate of a $700 billion federal bailout plan.
"I suspect they will extend it, given what is going on in markets," said Keith Miller, a former SEC enforcement lawyer who now advises broker dealers, investment banks and financial firms as a partner at law firm Paul Hastings.
On Tuesday, markets swung sharply in the other direction, recording its best day in six years with the Dow industrials up 485 points.
About two weeks ago, the SEC ordered traders, including hedge funds, to stop short selling nearly 800 financial stocks such as financial titans Goldman Sachs Group Inc (GS:$126.9600,$-1.0400,-0.81%) and Citigroup Inc (C:$21.50,00$0.99,004.83%) .
Since then, regulators have expanded the list to more than 950 companies, including General Electric Co (GE:$23.44,00$-2.06,00-8.08%) and other less obvious candidates such as drug store chain CVS Caremark Corp (CVS:$33.3900,$-0.2700,-0.80%) .
The emergency measure also required large managers to disclose what stocks they are selling short, or betting on a price drop.
The order is set to expire on Thursday at midnight unless SEC commissioners decide to extend it.
If the agency decides to extend the ban, it can do so only for a maximum of 30 days in total.
Other regulators in the United Kingdom, Canada, Australia and Germany have imposed similar bans on short selling, increasing the pressure on the SEC to remain in lock-step with them.
"The markets continue to be very fragile. Investors and all players must believe that all measures are being used to protect financial institutions from improper shorting," said former SEC commissioner Roel Campos.
"It is not acceptable for the SEC to be protecting its markets less than other countries, like the U.K. and Australia, where shorting is currently banned," added Campos, now in private practice at Cooley Godward Kronish.
Regulators around the world argued that short selling bans would help stabilize trading by keeping financial companies such as Morgan Stanley, whose share price plunged two weeks ago, from falling victim to so-called short sellers. Some executives blamed these traders, mostly hedge funds, for bringing down Lehman Brothers Holdings Inc (LEHMQ:$0.2100,$-0.0050,-2.33%) .
In mid July, the SEC issued a temporary emergency order to crack down on illegal naked short selling in 19 financial firms such as Fannie Mae (FNM:$1.60,00$0.07,004.58%) and Freddie Mac (FRE:$1.82,00$0.11,006.43%) . That order was also deeply unpopular. Other companies wanted to be included and short sellers were furious they were being singled out.
Like the July order, which was first issued for just over a week and then extended for another 10 trading days, SEC watchers expect the agency to do the same.
"I predict another 10 days under the SEC's emergency authority with some possible adjustment to the list of companies involved. It is hard to say that it's doing any good, but the SEC will not want to seem uninvolved in the current turmoil," said Jay Brown, a securities professor at University of Denver Sturm College of Law.
"The SEC put the ban in place, without, in my opinion, good evidence that short sales were contributing to market instability."
Managers in the $1.9 trillion hedge fund industry argue the rules are attacking them and putting dozens of these loosely- regulated portfolios out of business.
Hedge funds, unlike mutual funds, routinely rely on selling stocks short, or betting their price will drop, to hedge their portfolios. Under the ban, many managers said they have not been able to trade effectively, have suffered heavy losses and had investors hastily pull out millions of dollars.
In September, the average hedge fund lost about 5 percent, according to preliminary data from Hedge Fund Research, leaving the industry with losses of roughly 10 percent this year, the biggest ever declines.
"Certainly a lot of hedge funds would like the orders to expire, particularly the disclosure rule because that is what is keeping them from trading," said Laurel FitzPatrick, a partner who heads the hedge fund practice at law firm Ropes & Gray.
Hedge fund managers have said they are urging regulators to drop the rules, but are getting no clear indication of what may happen next after Congress voted down a proposed government bailout plan on Monday.
Several managers said they have asked the Managed Funds Association, the industry lobby group, to appeal to regulators on their behalf, saying they want MFA lawyers to underscore just how debilitating the bans really are. (Editing by Andre Grenon)
U.S. SEC under pressure to extend short sale ban
09/30 07:16 PM
By Svea Herbst-Bayliss and Rachelle Younglai
BOSTON/WASHINGTON, Sept 30 (Reuters) - Dizzying drops like the Dow Jones industrial average's 7 percent plunge on Monday may prompt U.S. securities regulators to extend a short selling ban beyond Thursday.
Hedge fund managers and large institutional investors bitterly oppose the restriction imposed by the U.S. Securities and Exchange Commission, saying it has contributed to sharp market swings. But securities experts say the SEC is under pressure to take whatever action it can to help calm financial markets rattled by the uncertain legislative fate of a $700 billion federal bailout plan.
"I suspect they will extend it, given what is going on in markets," said Keith Miller, a former SEC enforcement lawyer who now advises broker dealers, investment banks and financial firms as a partner at law firm Paul Hastings.
On Tuesday, markets swung sharply in the other direction, recording its best day in six years with the Dow industrials up 485 points.
About two weeks ago, the SEC ordered traders, including hedge funds, to stop short selling nearly 800 financial stocks such as financial titans Goldman Sachs Group Inc (GS:$126.9600,$-1.0400,-0.81%) and Citigroup Inc (C:$21.50,00$0.99,004.83%) .
Since then, regulators have expanded the list to more than 950 companies, including General Electric Co (GE:$23.44,00$-2.06,00-8.08%) and other less obvious candidates such as drug store chain CVS Caremark Corp (CVS:$33.3900,$-0.2700,-0.80%) .
The emergency measure also required large managers to disclose what stocks they are selling short, or betting on a price drop.
The order is set to expire on Thursday at midnight unless SEC commissioners decide to extend it.
If the agency decides to extend the ban, it can do so only for a maximum of 30 days in total.
Other regulators in the United Kingdom, Canada, Australia and Germany have imposed similar bans on short selling, increasing the pressure on the SEC to remain in lock-step with them.
"The markets continue to be very fragile. Investors and all players must believe that all measures are being used to protect financial institutions from improper shorting," said former SEC commissioner Roel Campos.
"It is not acceptable for the SEC to be protecting its markets less than other countries, like the U.K. and Australia, where shorting is currently banned," added Campos, now in private practice at Cooley Godward Kronish.
Regulators around the world argued that short selling bans would help stabilize trading by keeping financial companies such as Morgan Stanley, whose share price plunged two weeks ago, from falling victim to so-called short sellers. Some executives blamed these traders, mostly hedge funds, for bringing down Lehman Brothers Holdings Inc (LEHMQ:$0.2100,$-0.0050,-2.33%) .
In mid July, the SEC issued a temporary emergency order to crack down on illegal naked short selling in 19 financial firms such as Fannie Mae (FNM:$1.60,00$0.07,004.58%) and Freddie Mac (FRE:$1.82,00$0.11,006.43%) . That order was also deeply unpopular. Other companies wanted to be included and short sellers were furious they were being singled out.
Like the July order, which was first issued for just over a week and then extended for another 10 trading days, SEC watchers expect the agency to do the same.
"I predict another 10 days under the SEC's emergency authority with some possible adjustment to the list of companies involved. It is hard to say that it's doing any good, but the SEC will not want to seem uninvolved in the current turmoil," said Jay Brown, a securities professor at University of Denver Sturm College of Law.
"The SEC put the ban in place, without, in my opinion, good evidence that short sales were contributing to market instability."
Managers in the $1.9 trillion hedge fund industry argue the rules are attacking them and putting dozens of these loosely- regulated portfolios out of business.
Hedge funds, unlike mutual funds, routinely rely on selling stocks short, or betting their price will drop, to hedge their portfolios. Under the ban, many managers said they have not been able to trade effectively, have suffered heavy losses and had investors hastily pull out millions of dollars.
In September, the average hedge fund lost about 5 percent, according to preliminary data from Hedge Fund Research, leaving the industry with losses of roughly 10 percent this year, the biggest ever declines.
"Certainly a lot of hedge funds would like the orders to expire, particularly the disclosure rule because that is what is keeping them from trading," said Laurel FitzPatrick, a partner who heads the hedge fund practice at law firm Ropes & Gray.
Hedge fund managers have said they are urging regulators to drop the rules, but are getting no clear indication of what may happen next after Congress voted down a proposed government bailout plan on Monday.
Several managers said they have asked the Managed Funds Association, the industry lobby group, to appeal to regulators on their behalf, saying they want MFA lawyers to underscore just how debilitating the bans really are. (Editing by Andre Grenon)
Still here...
Democrats to try again on bailout: Rep. Van Hollen
09/29 02:47 PM
WASHINGTON (Reuters) - Democratic leaders in the U.S. House of Representatives are going to try to move another financial rescue bill after a $700 billion plan was rejected in a House vote, a senior House Democrat said on Monday.
As he rushed into a meeting in the office of House Speaker Nancy Pelosi, Rep. Chris Van Hollen of Maryland, chairman of the Democratic Congressional Campaign Committee, said he expected the leadership to advance another bill, but that he had no idea when it would happen.
(Reporting by Richard Cowan; writing by Tim Ahmann, )
Democrats to try again on bailout: Rep. Van Hollen
09/29 02:47 PM
WASHINGTON (Reuters) - Democratic leaders in the U.S. House of Representatives are going to try to move another financial rescue bill after a $700 billion plan was rejected in a House vote, a senior House Democrat said on Monday.
As he rushed into a meeting in the office of House Speaker Nancy Pelosi, Rep. Chris Van Hollen of Maryland, chairman of the Democratic Congressional Campaign Committee, said he expected the leadership to advance another bill, but that he had no idea when it would happen.
(Reporting by Richard Cowan; writing by Tim Ahmann, )
I would venture to guess this increases the chance that the short ban gets extended...
What PPS does Ron think FRE will hit? Do you know what his entry is?
I might be there.(PA show)
Freddie also said it fired "without cause" its Chief Financial Officer Anthony Piszel
There is so much news with this stock and FNM, it is real easy to miss stuff, IMO.
Well, aren't you just Dan Rather!
Freddie Mac Dirs Goeltz, Ross Leave Board
09/26 01:21 PM
DOW JONES NEWSWIRES
Freddie Mac (FRE:$1.9301,$0.0701,3.77%) said Friday that seven members of its board of directors have resigned this week.
The troubled mortgage company, which has come under the conservatorship of the Federal Housing Finance Agency, said in a filing with the Securities and Exchange Commission that Richard Karl Goeltz and Stephen A. Ross resigned on Monday.
Michelle Engler and William M. Lewis Jr. resigned on Tuesday, while directors Geoffrey T. Boisi, Thomas S. Johnson and Jerome P. Kenney resigned on Friday, the company said.
-Nicolas Brulliard; Dow Jones Newswires; 202-862-1351; nicolas.brulliard@ dowjones.com
(END) Dow Jones Newswires
09-26-081321ET
Copyright (c) 2008 Dow Jones & Company, Inc.
Divine Intervention maybe?
fate?
...black clouds are lifted...
...resistance fades...
...anticipation moves me...
I am still all in here, too. Yesterday was fun, but we got through it. I think we will close VERY strong today.
Fannie Mae late-traded shares up 8.3% to $2.10 09/25 05:35 PM
I believe the truth lies in the calls.
Fannie Mae-FNM calls active on wide intra-day price swings
09/25 02:51 PM
FNM is recently down 2c to $1.76. FNM traded at a intra-day high of $2.76 with a intra-day low of $1.10. The U.S. Treasury took over FNM on September 8th. FNM October 2 straddle is priced at $1.65, December 2 straddle is priced at $2. FNM call option volume of 112,453 contracts compares to put volume of 20,303 contracts according to Track Data.