What Do Bankers And Gamblers Have In Common?
The answer? It appears they both enjoy playing Liar's Poker. And, it appears bankers are quite good at it. Following are excerpts from Bloomberg today. What does all of this mean? Libor, or bank to bank lending rates, and what many clowns are using to validate their silly position that the crisis is passing, are likely based on...........well............shall we say less than forthright information. (That pleasant interpretation is for the English ladies and gentlemen that read my blog.) Or, what us common folk in the U.S. usually call lies. And, that the mess is getting much larger and doing so much more rapidly than anyone wants the general public to believe.
But as I roll over to the BBA web site today, (the BBA is responsible for Libor) it has a lead story of "BBA warns against legislating in haste". Of course you do, my good man.
Here are outtakes to the Bloomberg story. The entire story can be found by clicking on the text.
The Bank of England said financial institutions bid for 50 billion pounds ($99 billion) in its weekly auction, three times the amount offered and the most since January, as banks sought more cash to improve liquidity.
The comparable rate for dollars jumped the most since markets seized up in August, climbing 9 basis points to 2.82 percent. The British Bankers' Association yesterday threatened to ban members that deliberately understate their borrowing costs. Participants complained that banks may be submitting inaccurate information amid the global credit squeeze.
"We need more liquidity and on longer terms,'' Sue Anderson, a spokeswoman at the Council of Mortgage Lenders, said in a Bloomberg Television interview. "Wider collateral would be helpful, and longer maturities would be helpful. We'd like lending to go out 12 or 24 months.''
Of course you do Sue. You want the good Bank of England to eat all of your trash. Indefinite lending would be most preferred now wouldn't it? Would you like a bailout with your tea and crumpets?
Here are outtakes to the Bloomberg story. The entire story can be found by clicking on the text.
The Bank of England said financial institutions bid for 50 billion pounds ($99 billion) in its weekly auction, three times the amount offered and the most since January, as banks sought more cash to improve liquidity.
The comparable rate for dollars jumped the most since markets seized up in August, climbing 9 basis points to 2.82 percent. The British Bankers' Association yesterday threatened to ban members that deliberately understate their borrowing costs. Participants complained that banks may be submitting inaccurate information amid the global credit squeeze.
"We need more liquidity and on longer terms,'' Sue Anderson, a spokeswoman at the Council of Mortgage Lenders, said in a Bloomberg Television interview. "Wider collateral would be helpful, and longer maturities would be helpful. We'd like lending to go out 12 or 24 months.''
Of course you do Sue. You want the good Bank of England to eat all of your trash. Indefinite lending would be most preferred now wouldn't it? Would you like a bailout with your tea and crumpets?
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