$$$ After Knight Loss, SEC Looks to Tighten Trading Controls [WSJ] $$$ Knight Is Said To Have Spurned $500 Million Citadel Loan [Bloomberg] $$$ Standard Chartered questions New York action [Reuters] $$$ Gary Gensler wants to replace Libor with something transaction-based [NYT] $$$ Former SIGTARP Neil Barofsky took questions at Gawker [Gawker] $$$ "Please explain your rationale for the rainbow." [BI] $$$ Genworth financial is looking for a senior credit analyst in Stamford to cover private placements [DBCC] $$$ S&P Cuts Greece's Outlook to 'Negative' [CNBC] $$$ SkyBridge’s Scaramucci: Asia Is His Next Frontier [II] $$$ Facebook ventures into online gambling [FT] $$$ Gold Trove Found At Israel Castle Reveals Crusaders’ Forex Moves [Bloomberg] $$$ The top floors of the Woolworth Building will apparently become luxury condos [NYT]

$$$ S&P cuts Spain credit rating to BBB-minus, near junk [Reuters] $$$ E-Mails Appear to Back Lawsuit’s Claim That Equity Firms Colluded on Big Deals [DealBook] $$$ Tarullo Calls for Cap on Bank Size [WSJ] $$$ Political backlash over BAE deal collapse [FT] $$$ First-week Bain Capital analyst sort of attempts to buy Gawker, Gawker explains birds and bees, analyst concludes "This is awkward." [Gawker] $$$ A financial services firm is looking for an enterprise risk manager in Philadelphia [DBCC] $$$ Stocks Skid Into Earnings Pothole [WSJ] $$$ Narula Masters Fed, Beats Funds With 500% Gain [Bloomberg] $$$ Citing Deep Data Collections, Senator Opens Inquiry of Information Brokers [NYT] $$$ Pro-Life Congressman Recorded Himself Convincing Mistress to Get an Abortion [DI]

$$$ Knight Weighs Offers [WSJ] $$$ US banks call for easing of Basel III [FT] $$$ US banks increase retention of mortgages [FT] $$$ Instagram's CEO maybe lied to the California Corporations Department about whether Twitter offered to buy Instagram [NYT, cf. Felix Salmon] $$$ Peter Madoff Says He Was a Victim of Brother’s Ponzi Scheme [Bloomberg] $$$ Silvio Berlusconi may or may not be engaged to a 27-year-old [Gawker] $$$ A leading buyside institution is looking for a senior investor relations specialist in New York [DBCC] $$$ Argentina got its boat back [Credit Slips] $$$ Aladdin Capital to pay $1.6 mln to resolve SEC charges [Reuters] $$$ U.S. agency sues JPMorgan over mortgage securities [Reuters] $$$ Calstrs Reviewing Cerberus Investment in Light of Newtown Shooting [Deal Journal] $$$ Elie Ayache, Author of the Black Swan [Wilmott]

$$$ JPMorgan Misled Investors, Dodged Regulators, Senate Report Says [Bloomberg] $$$ Regulators Question Goldman and JPMorgan’s Capital Plans [DealBook] $$$ E*Trade Loses Largest Shareholder as Citadel Sells Out [Deal Journal] $$$ Credit Suisse to pay $400 million to end U.S. bond lawsuits [Reuters] $$$ The Return of the Popped Collar [WSJ] $$$ Genworth financial is looking for a Director, Corporate Trading in Stamford [DBCC] $$$ Reuters editor indicted for helping Anonymous hack websites [AP] $$$ Bankruptcy Lawyer Is Named to Manage an Ailing Detroit [NYT] $$$ Almost there, S&P! [WSJ] $$$ Goldman Sachs is (probably) reminding people of how everyone forgot about Greg Smith [DI]

$$$ In Victory for Google, U.S. Ends Antitrust Investigation [NYT] $$$ Scandal Hits Greek Tourism Agency [WSJ] $$$ Fairytale of New York — in pari passu, anyway [FTAV] $$$ John McAfee Pimped Out 29 ‘Pillow Talk Masters’ to Spy on Belize: Here’s What He Found [NYO] $$$ Russia grants citizenship to Depardieu [FT, outstanding photo] $$$ A little bit of adolescent pushback, as teens begin to express their individuality, is good, said Leslie Whitten Baughman, a child therapist with a practice in Sacramento. But drugging your parents "would not be a healthy level of rebellion." [Sac Bee] $$$ A top electronic trading firm is looking for a C++ developer in LA [DBCC] $$$ Transocean to pay $1.4 billion for role in BP oil spill [Reuters] $$$ "Loblaw Buying Canada Safeway No Pipe Dream in Spinoff" [Bloomberg!] $$$ The Macroeconomics of Middle Earth [WCI] $$$ Why Are Dogs Racist? Canine Experts Speak [Gawker] $$$ Drew Magary profiles Snoop Lion (né Snoop Dogg) [GQ]

$$$ Santander, BBVA Among Spanish Banks Downgraded By Moody’s [Bloomberg] $$$ Spain denies bank run reports [FT] $$$ Big banks need extra $566bn, says Fitch [FT, FTAV] $$$ Icahn Takeover of CVR Gets Support From 55% of Holders [Bloomberg] $$$ JPMorgan's Dimon says will testify before Congress [Reuters] $$$ Occupy Wall Street is staging an intervention with Jamie Dimon [NC] $$$ BlackRock is looking for a performance analyst in Princeton [DBCC] $$$ At CME, an Uproar Over Trading Hours [WSJ] $$$ SEC Probes Role of Hedge Fund in CDOs [WSJ] $$$ Which Biglaw Firm Accidentally Released Embarrassing, Unredacted Documents About Goldman Sachs? [ATL] $$$ Floyd Norris: "For market makers, who may buy unwanted securities that customers want to sell, hedging may be wise and prudent. But it will also be short term, until the bank trades out of whatever position it took on in the course of making the market. But if banks hedge long-term investments, as JPMorgan evidently did, the hedge is also likely to be long term. It will consist of buying something that, in normal times, should move in the opposite direction of their investment. The result is that they will be making convergence trades that are indistinguishable from what Long Term Capital Management did. Given the size of the big banks, they will have to do so in huge volumes that can come back to haunt them if markets move the wrong way." [NYT] $$$ The Boldface Names on the Witness List for Gupta’s Trial includes Lloyd Blankfein, Gary Cohn, Ken Chenault, Raj Rajaratnam, James Barnacle, and Adam Smith [DealBook]

$$$ AIG Said to Boost U.S. TARP Recovery to 80% With Payment [Bloomberg] $$$ Trio of Deals Show IPO Strength [WSJ] $$$ Scrap Over Easing IPO Rules [WSJ] $$$ "The biggest recent change on Wall Street has been semantic, not substantive. The word 'client' has become Orwellian doublespeak. Goldman’s leaders talk uniformly about the importance of serving clients, but the firm’s salespeople know who is a client and who is a mere a counterparty." Frank Partnoy says sensible things about Muppetgate [FT] $$$ Fruit flies who strike out with the lady fruit flies drink to forget their troubles [NYT] $$$ Banks hike fees, cut costs to boost profits [Reuters] $$$ Glencore poised for joint bid for Viterra [FT] $$$ The New York Times paid executives multimillion dollar bonuses for achieving returns that were a fraction of its cost of capital, so that's kind of awkward [BreakingViews, via William Wright] $$$ Would you like some hyperbolic metaphors with your intimations of criminality? Enjoy! [Rolling Stone] $$$ "The Real Question re Goldman: Why doesn't Goldman have its employees sign non-disclosure agreements?" I know, right? [Credit Slips]

$$$ Citigroup Said to Cut Investment Bankers’ Bonuses by 20% [Bloomberg] $$$ HSBC to Pay $249 Million in Foreclosure Settlement [WSJ] $$$ "For most of its history, Dell appears to have followed advice from investment banks — advice that ill-served long-term shareholders to the benefit of corporate executives. The company paid out billions of dollars to buy back stock, and only last year began to distribute some of the money to shareholders who chose to stick with it rather than bail out. It has spent more money on share repurchases than it earned throughout its life as a public company. Most of those repurchases were at prices well above current levels." [NYT] $$$ Matt Yglesias on the Fed: "There's no solving for the desired result. There's just a presentation of a scenario and then a bunch of chit chat and discussion of operational details." [Slate] $$$ Vibrator With 3 Balls Can’t Win EU Trademark, Court Says [Bloomberg] $$$ Levin Report on JPMorgan Whale Said to Fault Regulator [Bloomberg] $$$ Assured Guaranty Cut by Moody’s on Muni Insurance Outlook [Bloomberg] $$$ All Dutch securities have been dematerialized [FTAV] $$$ Chinese labour pool begins to drain [FT] $$$ A sonnet version of the Diff'rent Strokes theme song [VC]