Sunday, May 23, 2010

The Last Thing You Need to Read Before Going to Bed Tonight $SPY $GS

Weekend Update: It was a pretty quiet over the weekend….European Debt Crisis – There was really no
incremental updates on the current debt crisis in Europe; while the London Telegraph outlined a solution
for the problem [(1) a restructuring of certain country’s debts (Greece, Portugal, Ireland) 2) bank stress
tests w/capital injection options from the ECB (like what occurred in the US); 3) the nations whose debt
wasn’t restructured will see their debt guaranteed by the ECB; 4) the G20 provides support for FX market]
Greece’s Papandreou told El Pias newspaper that Greece has no need to restructure their debt
[Bloomberg]. The next catalyst may be Timothy Geithner’s trip to Europe from Wednesday to Friday.
Euro – According to the London Telegraph, several well known HFs (some of which profited from the
subprime crisis) are preparing themselves form a further decline in the Euro. Financial Reform –
Barron’s believes that the House will remove the Collins Amendment and Durbin Amendment from the
Senate’s bill, along with softening the Lincoln Derivatives Amendment. Politics – As expected, Andrew
Cuomo declared his candidacy for NY State Governor yesterday [NYT] Oil Spill – The White House
defended their actions regarding the BP oil spill, and their decision to make BP in charge of the cleanup.
The Coast Guard’s Thad Allen said that the Government didn’t have the technology to access the spill,
and that BP has the means to cap the leak. [WSJ] Deals – Relatively quite compared to the past few
weekends Google’s acquisition of AdMob was approved on Friday after some speculation that it may
be blocked [WSJ]. British Airways rejected an offer from Unite; the cabin crew is set to begin a 5 day
strike tomorrow if terms cannot be reached [DJ] Iceland Volcano – According to a geologist with the
University of Iceland, the eruption under Iceland’s Eyjafjallajokull glacier has stopped and is not likely to
resume for now. [Bloomberg]

1 comment: