The rumor monger witch hunt is on. Not only did Chris Cox announce that the Securities and Exchange Commission was, for the first time in its history, bringing actions against those who spread false rumors, the Wall Street Journal is now reporting that the SEC subpoenaed 50 hedge-fund advisers.
The subpoenas supposedly refer specifically to short selling and options trading in shares of Lehman Brothers and Bear Stearns. Coupled with Cox’s restrictions on short selling, it looks like the government is looking for scapegoats in this market.
“It’s a bit like the high priests doing a rain dance in a drought. It doesn’t matter whether it makes sense. They just need to be seen doing something,” one market watcher tells DealBreaker.
— Advertisement —
Comments (31)
Leave a comment
You can log in with your account or comment as a guest below.
- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
Hey-a, hoy-a, hey-a, hoy-a…
In the next act, they should hold book burnings and close down all the businesses owned by Jews. Everybody know short-selling is a Zionist religious rite.
Also, Icanhazputoptionz?
It’s a start. More will happen this week. Check for reinstatement of UpTick Rule and for limiting commodities trades to those who actually are in the business of ‘using’ those commodities.
Q. Is getting a subpoena the same thing being investigated?
A. No.
Q. Is getting a subpoena the same thing as being investigated?
A. No.
@2:32
you are correct sir.
wait until the general media starts carrying the storyline. this will become a populist issue, and in an election year, that’s bad news for hedge funds.
truth is, they really did push it too far this time.
investment partnerships (hedge funds) have been protected by politicians “cuz thats were they keeps they money”, but they pushed too hard and went too far this time.
Anyone know which funds comprise the “50 Hedge Funds” that received the subpoena?
It is complete BS. Spend a whole bunch of money on a witch/hedgefund hunt. But as they taught us at law school – justice doesn’t have to be done it just has to APPEAR to be done.
Ferdinand II of the SEC has set about on his pursuit on windmills.
Then back to regularly scheduled programming of chutes and ladders.
(Meanwhile those actually responsible walk away cash in hand and tropical island in sight…looking at you orange wonder)
Exactly FUN!
At every oppurtunity, this adminstration has pushed home ownership (in every state of the union speech, except this year Bush talked about the growing numbers of home owners as evidence of the strength of the USA economy). But lets blame the hedge funds for the state of the USA economy. It is just plain stupid. As long as we focus backwards we are fucked going forward.
@2:37pm,
@2:32 here. These moronic DB posters think that ‘business as usual’ is about to resume shortly after today’s flurry of SEC activity.
I believe that the morons are mistaken. I’ll stick with my post and with yours. Thank you.
There is a shit storm of regulation headed straight for Hedge Funds…this will not pan out well at all.
@2:40 SAC and Citadel are confirmed. And I’m going to go not very far out on a limb at all and say that vocal shorts have probably been subpoenaed–Ackman and Einhorn, anyone? Seems a little bit like an intimidation tactic.
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he has not done that we would all still be whistling pas the CDO graveyard
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he had not done that we would all still be whistling past the CDO graveyard
Might be better to throw Bernake in jail for mismanaging the US economy….hmmm I wonder what the penalty for that could be.
Getting a subpoena is the same as getting investigated according to your attorney who charges $1,000.00/hr.
Never ask your barber if he thinks you need a haircut.
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he had not done that we would all still be whistling past the CDO graveyard
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he had not done that we would all still be whistling past the CDO graveyard
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he had not done that we would all still be whistling past the CDO graveyard
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he had not done that we would all still be whistling past the CDO graveyard
Can people get out there and stop stuttering!!!
Less time posting, more t-t-t-time finding the info yourself to share with us.
@ 2:57
If you believe that one man has the power to actually MANAGE the economy, you sir are an idiot. The entire Fed doesn’t even have enough power to affect the economy 50%, let alone their head guy.
Our economic woes are not due to Bernanke. Their due to shitty loans, whose effects are too large to be managed down to any small effect of the rest of the economy.
Can people get out there and come back with some of the people on the list??????
What about throwing Paulson in jail for shorting the crap out of ABX last year. If he had not done that we would all still be whistling past the CDO graveyard
@2:37pm,
@2:32 here. These moronic DB posters think that ‘business as usual’ is about to resume shortly after today’s flurry of SEC activity.
I believe that the morons are mistaken. I’ll stick with my post and with yours. Thank you.
@2:37pm,
@2:32 here. These moronic DB posters think that ‘business as usual’ is about to resume shortly after today’s flurry of SEC activity.
I believe that the morons are mistaken. I’ll stick with my post and with yours. Thank you.
The shorts are really going after RBS.
What idiots, do they really think the King of Scotland want step in to save the bank?
seriously need to require people to register before commenting ala engadget, etc
Anal_yst
Totally agreed. This is pointless the way it is
If my boss gets a subpoena, you can bet your sweet bippy I’m going to treat it as if it were Step One in a plan to send her personally to prison. Because regardless of where they were aiming that’s where a lot of these things seem to end up. If anybody here can tell me what Martha Stewart did to morally justify her being in the big house for a spell, I’d like to know what it was. The phrase “pour encourager les autres” about sums it up.
M
the Levin stalkfest continues. was this one taken at the bat mitzvah?
http://tinyurl.com/5cvjql