Opening Bell: 11.06.12

Europe, Central Bank Spar Over Athens Aid (WSJ)
Greece faces a key Treasury-bill repayment in less than two weeks, and the money isn’t there unless governments provide additional aid or the ECB agrees to lend Greek banks the money to roll over the debt. It is a particularly sensitive issue for the ECB, which is trying to create a credible financial backstop to hold the euro together while governments overhaul their economies and finances. But with each step the ECB takes to help Greece and others, it inches ever closer to rules that prevent it from printing money to help governments out of their debt problems. The bank is already facing accusations in Germany that it is straying from its primary mandate to keep inflation low.

Iceland Sees Mortgage Bubble Threat From Foreign Cash (Bloomberg)
Iceland’s lawmakers are searching for ways to keep their economy from lurching into another asset bubble as offshore investors forced to keep their money in the country channel it into the housing market. Apartment prices have soared 17 percent since April 2010 and are now just 1.7 percent below the pre-crisis peak in March 2008, Statistics Iceland estimates. The boom stems from currency restrictions imposed in 2008 to prevent the collapse of the Krona after the country’s biggest banks defaulted on $85 billion of debt. While those controls helped cauterize a capital exodus and propel a recovery, it left about $8 billion in offshore kronur that can only flow into Icelandic assets, inflating demand for housing and mortgage bonds. The government is now seeking to correct the imbalances, which risk plunging the island into yet another boom-bust cycle just four years after the banking industry dragged the economy through its worst recession since World War II.

FBI Probes Rochdale Securities (NYP)
The Stamford, Conn., broker dealer is teetering on the brink of extinction, the result of an unauthorized $1 billion purchase of Apple shares on Oct. 25, sources said. The trade of 1.6 million Apple shares was made — instead of a client’s order of one-tenth that amount, or 160,000 shares — to perpetuate the alleged stock manipulation scam, people familiar with the matter said…The alleged stock manipulation scam was being worked with at least one other unidentified trader not affiliated with Rochdale, sources said. Multiple sources said the alleged scam had already pocketed the traders roughly $20 million, sources said.

Drop In Financial Deals Spurs One (WSJ)
New York investment bank KBW made it through the Sept. 11, 2001, terrorist attacks, but it couldn’t outlast a drought in financial-services deal making. KBW, which struggled in recent years at the hands of a sharp slowdown in its core business—financial-industry merger advice—agreed be acquired by larger rival Stifel Financial for $575 million.

Berkshire Cash Nears Record as Buffett Extends Deal Hunt (Bloomberg)
Cash surged 17 percent to $47.8 billion in the three months ended Sept. 30, Omaha, Nebraska-based Berkshire said in its quarterly regulatory filing Nov. 2. That’s $115 million less than the record at the end of June 2011. “He’s elephant hunting,” said Jeff Matthews, author of “Secrets in Plain Sight: Business & Investing Secrets of Warren Buffett” and a Berkshire shareholder. “And there aren’t a lot of elephants around.”

Did Wall Street Just Give Up On Romney? (NetNet)
John Carney says yes: “On the eve of the election, many financial professionals on Wall Street believe that Mitt Romney has lost the election. In phone conversations, email and instant messaging exchanges, and text messages with over 20 people in different jobs on Wall Street today the message I picked up was almost universal: The president will be re-elected.”

Christie: Hug From Springsteen Made Me Weep (WaPo)
New Jersey Gov. Chris Christie told reporters Monday that he had an unexpected — and moving — conversation earlier with his hero, Bruce Springsteen. He also got a hug from the rock legend on Friday, at a benefit concert for victims of Superstorm Sandy. He later cried, calling the moment a highlight in a tough week. “Bruce and I had an opportunity to chat for a while Friday night… we hugged and he told me, ‘it’s official, we’re friends,” Christie said at a news briefing. President Obama was on the phone with the Republican governor Monday, discussing storm damage, when he briefly handed the line over to Springsteen. The rock legend is traveling on Air Force One as he campaigns for the president. Before the storm Springsteen refused to acknowledge Christie, whose budget cuts he has criticized. But in the wake of the disaster, which hit the Jersey Shore particularly hard, he has started to embrace his ardent fan.

HSBC Dirty Laundry Costs (Bloomberg)
HSBC Holdings said it’s likely to face criminal charges from US anti-money-laundering probes, and the cost of a settlement may “significantly” exceed the $1.5 billion the bank has set aside. The lender has made an additional $800 million provision to cover a potential settlement, adding to the $700 million it had earmarked. A Senate committee said in July that failures in HSBC money-laundering controls allowed terrorists and drug cartels access to the US financial system.

Bharara insider streak on line (NYP)
With a 6-0 record in trial convictions against defendants caught in his insider-trading probe, Wall Street’s top cop Wednesday will kick off his final trial emanating from that investigation. Already the insider-trading probe has resulted in 68 convictions — including guilty pleas, the biggest Wall Street crackdown since the 1980s. Squaring off against Bharara in Manhattan federal court are two well-heeled hedge-fund defendants: Anthony Chiasson, founder of the $4 billion hedge fund Level Global, and Todd Newman, a former money manager with Diamondback Global. The beginning of jury selection was delayed more than a week because of Hurricane Sandy. Chiasson and Newman stand accused of reaping more than $60 million in profits from trading confidential tips about computer maker Dell and graphics firm Nvidia.

13 People Trying To Trade Gas For Sex On Craiglist (BuzzFeed)
It was probably inevitable that the gas shortages in New York and New Jersey would lead to ads like “I’ve got gas from Hess and looking for any sexy woman who may not want to wait in those long lines for hours and hours only to find the station empty when it’s their turn. So let me know, I’m sure we could work something out to get your tank filled and empty mine. Call or text.”

75 comments (hidden to protect delicate sensibilities)
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Comments (75)

  1. Posted by George76 | November 6, 2012 at 8:11 AM

    "Democracy is founded on one simple rule- get out there and vote or I will motherfucking kill you" – Puff Daddy

  2. Posted by OHare spread | November 6, 2012 at 8:36 AM

    Rochdale had 3.5 mil in capital.

    WTF ?

  3. Posted by guest | November 6, 2012 at 8:57 AM

    I think you need more capital than that to open a Subway franchise.

  4. Posted by derpies | November 6, 2012 at 8:59 AM

    all of a sudden buying gas and selling it door to door doesn't sound so stupid, does it?!

    charlie

  5. Posted by VonSloneker | November 6, 2012 at 9:03 AM

    No call the close on Romney's margin of victory?

    "Dewey Defeats Truman" style shocker.

    - Wishful Thinking Guy

  6. Posted by Animal Planet Quant | November 6, 2012 at 9:06 AM

    Especially if you're going to have to feed Dick Bove and his giraffe with it.

  7. Posted by Guest | November 6, 2012 at 9:10 AM

    "Bruce and I had an opportunity to chat for a while Friday night…we hugged and he told me 'it's official, you're fat,"

  8. Posted by guest | November 6, 2012 at 9:12 AM

    How long are Springsteen's arms?

  9. Posted by guest | November 6, 2012 at 9:15 AM

    “He’s elephant hunting. And there aren’t a lot of elephants around.”

    Have you tried donkeys? There seem to be a few more of them around these days.

    -pre-gloating liberal.

  10. Posted by Omaha Gas Marketer | November 6, 2012 at 9:17 AM

    Come on, people. If Buffett was really "elephant" hunting, wouldn't it be logical that he'd start out by purchasing a trunk company??

  11. Posted by The Ghost of Ken Lay | November 6, 2012 at 9:20 AM

    We prefer to refer to natural gas as "gas" and gasoline as "gasoline".

  12. Posted by guest | November 6, 2012 at 9:23 AM

    Wasn't Truman the incumbent?

  13. Posted by Living Dangerously | November 6, 2012 at 9:24 AM

    It's like wanting to talk to one's girlfriend while the wife is standing next to you: Too close to call.

  14. Posted by Bejujular | November 6, 2012 at 9:28 AM

    Seeing Bruce engulfed by Christie makes me recall the 1958 classic, The Blob.

  15. Posted by Babar Capital Adv. | November 6, 2012 at 9:32 AM

    Warren, I've got a deal you might be interested in.

  16. Posted by Guestido | November 6, 2012 at 9:33 AM

    Clever

  17. Posted by VonSloneker | November 6, 2012 at 9:34 AM

    I know Harry Truman, Barry O is no Harry Truman.

    - The Ghost of Lloyd Bentsen

  18. Posted by Dallas Hedge Funder | November 6, 2012 at 9:36 AM

    Just saw on TV that the Rockettes are coming to the Verizon Center near Dallas later this month!! I wonder if Yao Ming still plays for them?

  19. Posted by Moon River Capital | November 6, 2012 at 9:38 AM

    One "B" or two?

  20. Posted by Guest | November 6, 2012 at 9:43 AM

    I guess you can say I live in a pretty progressive neighborhood. Got something of a bohemian vide, lots of artist and the creative class in general. Anyway, went out for my standard Sunday morning walk to the local coffee spot, and then something amazing happened. A large group of people were gathering near a store front about a block down from me. I sped up and came over to see what the fuss was about. Well to my surprise I was about to take part in my first cash mob! Guys, it was amazing; seeing the local community rally around a struggling shitty used bookstore and homemade candle shop just made me feel so good inside. And you know what the best part was? Cute girl I saw at the coffee shop was there. We shared a couple looks at each other, and then when I was checking out this awful smelling candle, she walked past, and brushed up on me. At that moment, a weird euphoric feeling came over my body, I found myself busting a nut into a craft beer scented candle. I don’t really remember what happened after that, as it is all blurry. I’ve yet to see that cute girl again, and I’m banned for life from the used bookstore, but I gotta say I love Portland.

  21. Posted by Dawson | November 6, 2012 at 9:46 AM

    Story of my life

  22. Posted by Guest | November 6, 2012 at 9:48 AM

    Good job. Good effort.

  23. Posted by Unclear What's Up | November 6, 2012 at 9:48 AM

    N'08's trustafarian room mate from back in college drops us a line to let us know how he's doing?

  24. Posted by Movie Buff | November 6, 2012 at 9:50 AM

    One…B-A-B-A-R.

    That's two.

    Yeah but not together.

  25. Posted by Hakuna Matata Guy | November 6, 2012 at 9:55 AM

    The real winner today is the city of Portland. Every time I come here, it gets harder to leave. I think you guys put something in the water.

    -Finished it for you

  26. Posted by Guest | November 6, 2012 at 9:57 AM

    I can see this happening in New Haven

  27. Posted by Confused non S&T | November 6, 2012 at 10:01 AM

    Maybe I'm missing something, but wouldn't Apple kind of, sort of, be one of the absolute worst stocks you could pick to try and manipulate the price of? Especially with your whopping bazooka of a couple hundred less than Laxbro had in his trust fund before he blew it all on Keaneu Reeves memorabilia?

  28. Posted by guest | November 6, 2012 at 10:02 AM

    Portland……Maine or Oregon? Makes a big difference to the story, just saying………

  29. Posted by Movie Buff | November 6, 2012 at 10:04 AM

    You know what else could draw a crowd? A golfer with an arm growing out of his ass.

  30. Posted by Them Vols | November 6, 2012 at 10:10 AM

    Hey!

    -Portland, Tennessee

  31. Posted by Ping Jiang's Ping | November 6, 2012 at 10:12 AM

    Go on…

  32. Posted by Trust Me | November 6, 2012 at 10:14 AM

    This is why the Yankee Candle store has a security guard on site

  33. Posted by Ghost of Laxbro | November 6, 2012 at 10:22 AM

    (Corrected) Christie: Hug From Springsteen Made Me Hungry (WaPo)

  34. Posted by 1 Pea 1 Pod | November 6, 2012 at 10:23 AM

    WILD CARD, BITCHES.

  35. Posted by Lowly Assistant | November 6, 2012 at 10:24 AM

    It's like 10,000 spoons when all you need is a knife.

  36. Posted by Guesteban | November 6, 2012 at 10:25 AM

    Have 25 gallons of gas available first-come-first-served to any single/not-single white female willing to do my laundry with pre-soak and extra rinse, if you know what I mean.
    - Hulk

  37. Posted by Lowly Assistant | November 6, 2012 at 10:26 AM

    That reference is so under appreciated. I like your style.

  38. Posted by Wedding Crasher Fan | November 6, 2012 at 10:26 AM

    I fucking love Fiona Apple!

  39. Posted by Guest | November 6, 2012 at 10:28 AM

    Ron Paul by 10!

    - Zero Hedge Conspiracy Theorist

  40. Posted by Guest | November 6, 2012 at 10:30 AM

    Isn't there a children's book about Babar?

  41. Posted by VonSloneker | November 6, 2012 at 10:33 AM

    +1

    - Newt

  42. Posted by Guest | November 6, 2012 at 10:33 AM

    In NJ

  43. Posted by Guest | November 6, 2012 at 10:36 AM

    Sure, you had your nicegas delivered right to your doorstep, but your wife was getting pounded out like a mallard duck. And now you've got the Amazon, and the gas man's coming back. And none of ya is safe.

  44. Posted by Guest | November 6, 2012 at 10:39 AM

    Why would you need a knife?

    -The Tick

  45. Posted by Movie Buff | November 6, 2012 at 10:43 AM

    I don't know, I don't have any.

    Children?

    No, elephant books.

  46. Posted by Puck It | November 6, 2012 at 10:44 AM

    "Bruce and I had an opportunity to chat for a while Friday night…we hugged and he told me 'it's official, you're gay."

  47. Posted by guest | November 6, 2012 at 10:45 AM

    Shut up N08

  48. Posted by Ouch | November 6, 2012 at 10:52 AM

    I read that as ' "Dewey Defeats Truman" shocker style'.

  49. Posted by T. Swift | November 6, 2012 at 10:58 AM

    I've been spending the last 8 months thinking all love ever does is break and burn and end. But on a Wednesday, in a cafe, I watched it begin again.

  50. Posted by Guest | November 6, 2012 at 11:00 AM

    Maybe it's time for the cows to come home.

  51. Posted by DoubleorNothing | November 6, 2012 at 11:04 AM

    "Multiple sources said the alleged scam had already pocketed the traders roughly $20 million, sources said."

    Greed, for lack of a better word is good.

  52. Posted by Energy Transhurr | November 6, 2012 at 11:18 AM

    Buffett could buy Trunkline and the Ivory Coast. He'd never forget that deal.

  53. Posted by Tina Turner | November 6, 2012 at 11:22 AM

    What's love got to do with it?

  54. Posted by Aussie Cattle Ranch | November 6, 2012 at 11:24 AM

    Hmm, I like your moves double or nothing. Now, if I had a structured product that would basically execute on that strategy of doubling your way out of losses to capture upside whilst minimizing downside via cutting edge minimization strategies, is that something you might be interested in?

  55. Posted by PermaGuestII | November 6, 2012 at 11:26 AM

    Connecticut.

    -East Haddam

  56. Posted by guesticle | November 6, 2012 at 11:27 AM

    Isn't Portland like the West Coast version of Brooklyn, i.e. where upper middle class hipsters who can't afford SoHo live?

  57. Posted by guest | November 6, 2012 at 11:30 AM

    Better that its Bruce doing the hinting and not Ted Nugent………. just sayin

  58. Posted by Guest | November 6, 2012 at 11:33 AM

    -2.4%

  59. Posted by genY | November 6, 2012 at 11:38 AM

    Nobody actually talks when creeping. It's 2012 old timer, we text and send instagram'd pics.

  60. Posted by AMZN | November 6, 2012 at 11:48 AM

    if by soho u mean seattle

  61. Posted by 1600000 | November 6, 2012 at 11:51 AM

    the article makes no sense.

    who is clearing Rochdale trades ?

    why on earth would they ever accept a billion dollar trade ?

    it's an immediate violation if nothing else.

  62. Posted by Fedde Le Grand | November 6, 2012 at 11:53 AM

    Well, I've got so much love to give

  63. Posted by guest | November 6, 2012 at 12:00 PM

    GeezerOilTrader get in here STAT and tell this fuckstick how a gentleman creeps on his wife.

  64. Posted by PermaGuestII | November 6, 2012 at 12:11 PM

    This morning I shot an elephant in my pajamas.

    -Groucho Buffet

  65. Posted by WesCo Motives | November 6, 2012 at 12:17 PM

    At what point did putting your pecker into a scented candle make sense

  66. Posted by guest | November 6, 2012 at 12:25 PM

    I could very well be wrong, but back in the day didn't Jim Cramer tout Apple as one of the easiest (tech) stocks to manipulate? Something about the blogosphere and all of the etrade retards making it easy to engineer a pop off BS info leaks or something…..?

  67. Posted by Movie Buff | November 6, 2012 at 12:48 PM

    Outside of a dog, a book is man's best friend. Inside of a dog it's too dark to read.

  68. Posted by Thomas Bangalter | November 6, 2012 at 1:31 PM

    Hey!

  69. Posted by HungryIntern | November 6, 2012 at 1:36 PM

    I think you maybe a little confused…

    ~Northwest Portland Aficionado

  70. Posted by guest | November 6, 2012 at 1:48 PM

    Bruce Buffet?

  71. Posted by Peter Morak | November 6, 2012 at 2:59 PM

    <img src="http://www.freecouponplace.info/ikea/makt.jpg"/>So basically Iceland is gonna be the next country to be hit? <img src="http://www.freecouponplace.info/xbox/yle.jpg"/&gt;

  72. Posted by Guest | November 6, 2012 at 3:37 PM

    And you can count on me waiting for you in the parking lot later.

  73. Posted by There You Go | November 6, 2012 at 3:38 PM

    Well, it made certain "scents".

  74. Posted by GeezerOilTrader | November 6, 2012 at 4:35 PM

    What the hell? It's a slow day on the desk as people are leaving to vote and I was surfin Fashionista for some titties and found a Vicky Secret pic and since the hedge funds are bailing out of their oil positions it's naturally fucking with my book of business. And GODDAMMIT, back in the 80s, "CPDO" was a fucking gold colored robot in that famous Star Trek movie by that turkey neck Lucas! Now he's sold that business to THE MOUSE and that reminds me that "Doreen" was the hottest Mousketeer beck in the 50s and 60s when real men traded $1.17/bbl A-light from those fucking Saudis. And, Annette needed to shave but that's just my opinion. So whats all this "creeping" fuckery commenting by one of you little dick stretchers? It's my understandin that you little shitbirds think that the new 'normal sexual activity' is sitting in front of a computer screen and wigglin your wedding tackle at each other!! Well then, "STICKAM AGGIES"!! I'd hate to smell your smart phones!! I know you mullets use your phone to flash each other during the day and talk dirty to the cute schedulers because you know management watches the IMs pretty close so you have to use that G-string Mail. Management watches our internet shit REAL CLOSE! The other day I was IM-ing with a fellow geezer oil trader in Houston about an Appaloosa entrant in a Sam Houston Park simulcast horse race. He asked me which horse I was going to bet and I typed on the IM back to him, "I've got my eye on a fantastic 3 year old!!" and lo and fucking behold the company internet police came and wanted to know what THAT comment was all about??? And another thing, you young venereal warts need to remember that "tongue" is NOT spelled "t-o-u-n-g-e". It ruins the mood when Lexus at Treasures is texting, "I want to tounge you all over if you'll come by tonite…" Do you young assholes rub your fucking phones on your women?? Back in the 1983, when real men traded oil and Michael Jackson was singing (unknowingly) about the future primary sexual practice of all you little fuzznuts in his classic, "Beat It", we had our girlfriends and we had our wives. Houston was so big that you didn't mess around with someone in your geographic area other than your spouse. If you was going to get a little strange, you sought it in Kemah or Clearlake. There is a reason Sugarland is named Sugarland but I won't go into that here! You might avoid Pasadena, TX, too. I was messing with a secretary at the Lyondell refinery in the back of the company Oldsmobile one dark foggy night out back of the refinery and she said, "Geezer…I want you to take and kiss me where it's dank and smells bad…" and I replied, "But we're already here in Pasadena!"

  75. Posted by Banalyst | November 8, 2012 at 5:04 PM

    … And then KBW was sold.