Relevant and even prescient commentary on news, politics and the economy.

OCC and Model Validation Part 2

FIRE reports: “The securities industry is an economic powerhouse that continues to strengthen the U.S. economy,” said Securities Industry Association President Marc Lackritz. “SIA data shows that last year alone, we raised a record $3.2 trillion of capital for American business and nearly $14 trillion over the past five, underscoring our substantial contribution to overall […]

$158 billion for services/2007 (rounding down)

GAO reviews a case study of using contractors side by side with government employees at CCE. CCE (Contracting Center of Exellence) has relied on contractor contract specialists since it began hiring them in 2003. In August 2007, contractors—who work side by side and perform the same functions as their government counterparts—comprised 42 percent of CCE’s […]

OCC and Model Validation Part 1

Comptroller Dugan Underscores Bank Responsibility for Model Validation WASHINGTON Feb. 3, 2006 – Comptroller of the Currency John C. Dugan said today that responsibility for validating the models banks use to manage credit risk and other critical activities lies first and foremost with the institution itself. “Just as good management requires this kind of attention […]

Stock Market Long Term Valuation

This mornings Wall Street Journal article on the stock markets lost decade gives me an excuse to publish one of my favorite charts– the really long term history of the stock market PE back to 1871.If you listen to Wall Street strategist they frequently talk about the long term average of the stock market PE […]

The Shape of the Future

An article by Peter Bernstein is circulating that is such a good analysis of the economic environment that I though it was worth posting on Angry Bear. The Shape Of The Future By Peter L. Bernstein Three months ago, we wrote, “[T]he economic malaise will not be brief, even though its depth is uncertain. The […]

Worth a read…buy a leash and muzzle

Tanta at CRtakes a different tack on BS and Stampf at Wells Fargo: Yves at naked capitalism had a good post yesterday on the infamous Bear Stearns Ten Buck Rechuck, that I think needs repeating: According to Sorkin, the $2 price for Bear was the Fed’s and Treasury’s idea; JP Morgan was prepared to pay […]

Again, he who owns is responsible….

Reuters reports: Worcester, Massachusetts – On Lagrange Street in New England’s second-largest city, two brick apartment buildings stand side-by-side in varying stages of decay – boarded up, “No Trespassing” signs affixed, paint peeling.Across the street, a condominium complex is on the brink. Three of its eight apartments are in foreclosure. Like many cities in the […]

Economic hard times, or just wounds to the ego, or gotcha

Ken Houghton gives a little perspective to the hurt that is being passed around. The pity party thrown last week by the WSJ for Bear’s senior, er, management appears to have omitted some data: Insiders at Bear sold a total of 715,000 shares last year worth more than $75 million, up from 2006 but down […]

Alternatives to meltdown

Dean Baker writes: Progressives usually fight for the interests of those at the middle and bottom at the expense of those on top. However, during this period of unprecedented financial crisis, when the Wall Street rich are begging for the helping hand of the government, most progressives appear to be on the sidelines. Rather than […]