Der USA Bären-Thread

market-ticker.denninger.net/archives/...s-NOT-Sustainable.html

Facing potential bankruptcy, the board that governs the once flush-with-cash Kansas City school district is taking the unusual and contentious step of shuttering almost half its schools.

 

Administrators say the closures are necessary to keep the district from plowing through what little is left of the $2 billion it received as part of a groundbreaking desegregation case. The Kansas City school board narrowly approved the plan to close 29 out of 61 schools Wednesday night at a meeting packed with angry parents. The schools will close before the fall.

Although other districts nationwide are considering closures as the recession ravages their budgets, Kansas City's plan is striking. In rapidly shrinking Detroit, 29 schools closed before classes began this fall, but that still left the district with 172 schools. Most other districts are closing just one or two schools.

Emotional board member Duane Kelly told the crowd of more than 200 people Wednesday night, "This is the most painful vote I have ever cast" in 10 years on the board. Some chanted for the removal of the superintendent, while one woman asked the crowd, "Is anyone else ready to homeschool their children?"

Kansas City Councilwoman Sharon Sanders Brooks said the closure plan had prompted some housing developers to consider backing out of projects.

"The urban core has suffered white flight post-the 1954 U.S. Supreme Court decision Brown v. the Board of Education, blockbusting by the real estate industry, redlining by banks and other financial institutions, retail and grocery store abandonment," Brooks said to applause from the standing-room-only crowd.

"And now the public education system is aiding and abetting in the economic demise of our school district," she said. "It is shameful and sinful."

 

Under the approved plan, teachers at six other low-performing schools will be required to reapply for their jobs, and the district will try to sell its downtown central office. It also is expected to cut about 700 of the district's 3,000 jobs, including about 285 teachers.

District officials face dozens of issues as they begin the massive job of downsizing the district — reworking school bus routes, figuring out what to do with vacant buildings and slashing its payroll.

Superintendent John Covington has spent the past month making the case to sometimes angry groups of parents and students that the closures are necessary.

Once the district had enough desegregation money to build such amenities as an Olympic-sized swimming pool. But the effort to use upscale facilities and programs to lure in students from the suburbs never worked quite as planned.

Covington has stressed that the district's buildings are only half-full as its population has plummeted amid political squabbling and chronically abysmal test scores. The district's enrollment of fewer than 18,000 students is about half of what the schools had a decade ago and just a quarter of its peak in the late 1960s.

Many students have left for publicly funded charter schools, private and parochial schools and the suburbs. The school district also isn't the only one serving students in Kansas City; several smaller ones operate in the city's boundaries.

Covington has blamed previous administrations for failing to close schools as the enrollment -- and the money that comes with it — shrank. Past school closure plans were either scaled back or scrapped entirely.

Administrators warned that without the cuts, the district would have been in the red by 2011.

"None of us liked voting for this," board member and former desegregation attorney Arthur Benson said, "but it was necessary."

sonst geht's nicht runter ;-)

Nein, diesmal ausnahmsweise nicht in einem Chart, sondern in einer Information, deren Aussage - sollte sie tatsächlich realisiert werden - den Gipfel von MORAL HAZARD darstellen dürfte.

www.wirtschaftsfacts.de/?p=1834

To be sure, the net notional CDS amount, which is what counterparties would be on the hook for in the case of an orderly unwind of the financial system, is materially lower than the gross total. Yet, as systemic unwinds are never orderly, gross tends to become net in those occasions when Lehman bonds go from par to 10 cents in the span of 24 hours. Should systemic risk flare up again (and this time Europe will be both shaken and stirred, thank you Mr. Hazard... Moral Hazard), and fiat-based market values quickly catch up with fair values (which in our ponzi economy can easily be calculated: they are all zero).

The actual organization that will soon be in need of a bailout, is the Warehouse Trust (there's that word again) Company, which in turn will operate the DTCC's Trade Information Warehouse, and will begin operations “once certain organizational conditions have been met, which are expected shortly." Presumably, the TIW, which has been in operation for just over one year, is somehow supposed to inspire confidence that the DTCC has an idea of everything that goes on in the quadrillion + CDS Market. "The release of this information has been an important step forward in helping increase transparency in the marketplace. More detailed information on individual firm trading has been made available confidentially to regulators around the world with the consent of market participants." Oh great, at least someone has information to the confidential information.

What all this implies is that basis spreads will likely compress very shortly, once counterparty risk becomes a thing of the past and all systemic risk in the biggest derivative market out there (ex IR swaps) is fully backstopped by the Federal Reserve. It will also guarantee the DTCC monopoly status when it comes to CDS trading as nobody will desire to transact and/or clear elsewhere.

We shudder to think if the Fed grants DTCC with exclusive status for IR and FX swaps as well, and the associated $600 trillion notional outstanding.

And from an insider, we know that the company will be funded and commence operations by March 1.

www.zerohedge.com/article/...dtcc-cleared-credit-default-swaps

obengehalten wird bis die Konjunkturdaten zu den Kursen passen. Das Firmen Q1 wird vermutlich schlechter laufen weil die US-Exportfirmen einem schlechteren Eur/Usd haben als im Q4 2009.

Renditestruktur von  Staatsanleihen am 11.03.2010  19:25

isht.comdirect.de/charts/...YEN=0.14+0.35+0.60+1.01+1.94&" style="max-width:560px" alt="isht.comdirect.de/charts/...YEN=0.14+0.35+0.60+1.01+1.94&" />

 

Tim Collins von street.com sammelte dazu einige Indizien:

gehen. Es hat sich absolut nichts geändert.

;o)

Wenn sich nichts ändert, steigt Alles ununterbrochen weiter?

Würde normalerweise eher für "seitwärts" sprechen...

länger (mit spezieller Wellentheorie) und wie es bis Mai weitergeht, dazu gibt es auch schon eine bretterfeste Aussage. Bis jetzt alles im Plan.

;o)

Ambrose Evans-Pritchard
www.telegraph.co.uk/finance/newsbysector/...anker-dispute.html
und droht die Allianz sei in Gefahr
France has vowed to retaliate against the United States for allegedly shutting Europe's aviation giant EADS out of a $50bn (£33.4bn) defence contract, warning of potential damage to the Atlantic alliance.
"This is a serious affair," said France's Europe minister Pierre Lellouche. "I can assure you that there will be consequences."

"You cannot expect Europeans to contribute to global defence if you deny their industries the right to work on both sides of the Atlantic," he said, adding that French president Nicolas Sarkozy would take action "at the appropriate time". ......"It is obvious that if we roll over and do nothing after a fait accompli by the Pentagon, it is the end of Europe's credibility," said Mr Lellouche.

Rainer Brüderle, Germany's economy minister, has also expressed outrage, alleging that the tender "had clearly been designed to favour Boeing under political pressure." ...
Germany's Bernhard Stiedl, a member of the EADS board, said Europe needs to rethink its whole approach to defence in light of the affair. There is a risk that the spat could sap goodwill towards a NATO alliance already struggling to reinvent itself after the Cold War. ....

BHP zeigt "vorauseilene Schwäche"

Zum wiederholten Male weise ich darauf hin, dass BlackRock, die einzige noch verbliebene offizielle US-Investmentbank ist, die sich auf ihrer Website als global größte Vermögensverwalterin bezeichnet. Vor einem solchen Hintergrund sollte man jedoch erheblich höhere Umsätze als bei den "Geschäftsbanken" annehmen, was jedoch absolut nicht der Fall ist. Laut Dave Rosenberg handelt es bei dieser "Investmentbank" eindeutig um ein von der New York Fed geschaffenes Structured Investment Vehicle (SIV), um außerhalb der Bilanz getätigte Finanztransaktionen und -positionen vor der Öffentlichkeit zu verbergen.

Here comes the first municipal Hail Mary: Detroit is attempting to sell $250 million in debt, while disclosing in the associated prospectus of the possibility of filing for Chapter 9 bankruptcy protection. The kicker - no recent financial statements are available. In fact, Detroit is providing investors with a a financial statement from June 30, 2008, with a fiscal 2009 report "expected" to be complete by May 31. To say that a lot has changed in the past two years for the city whose unemployment some say is in the double digits with a 3 handle,would be an understatment. Yet we are confident that having no access to actual financials will not stop investors who in their feverish quest of Return On Capital are completely forgetting about the Return Of Capital concept.
www.zerohedge.com/article/...hout-financial-disclosure-goldman
mehr gibts vorerst nicht weil zerohedge nicht mehr erreichbar ist

/SIV-Gezocke) die iShares-Sparte von Barclays übernommen? Da sind ja fast alle US-ETFs drin enthalten.

Für den "Überblick" wäre dies zumindest hilfreich, wenn man (weiter in # 58909...)

Der Kauf erfolgte am Juni-Tief. Von da an ging's bergauf.

www.bloomberg.com/apps/news?pid=20601087&sid=aP8IpRzYSu2o

........Government programs must also go under the knife, with the welfare program being at the top of the list. California currently has 12 percent of the nation's population but 32 percent of the welfare cases, Whitman said. .....................................
..............................One tax she proposed cutting was the factory tax, which requires businesses to pay a sales tax on equipment they purchase to manufacture. It is estimated this tax has resulted in a loss of 600,000 manufacturing jobs since 2000, or 32 percent of the industrial base in California , she said......................................
http://www.cnbc.com/id/35815813

 

Sehr gut erkannt! Selbstverständlich gehörte diese Acquise auch zum "Großen Spiel", da man diese schließlich Barclays nach der Übernahme der einträglichsten Sparten von Lehman durch Barclays quasi "schuldig war". Die engmaschige Beobachtung der Kursentwicklung von BlackRock halte ich aktuell für wesentlicher als die der Leitindizes.

Ach ja:

boerse.ard.de/content.jsp?key=dokument_414220

ein Jahr nach "Ende" der Bankenkrise...

Leicht Labbrige Leiche

der Nikkei hat in 20 Jahren bei 0% Zinsen 75% verloren.

Der DOW wird 20 Jahre lang zwischen 10.000 und 11.000 gehalten.

Irgendwie passt da nichst mehr!

lieber AL - das wird ein ganz, ganz lllllanges LLLLLLLLLLLLL! Das Beste finde ich aber die Umsatzentwicklung in den Jahren. Nichtsdestotrotz verdient ein durchschnittlicher Mitarbeiter bei der Citi weit über dem Durschnitt eines Industriestaates. Ich glaube, das wird sich auf weiterhin nicht ändern - es sei denn, die US-Amerikaner gehen auf die Strasse wie die Griechen. Es wundert mich ohnehin, dass es in USA so ruhig zugeht - ich mein' bei den Arbeitslosenzahlen, Vollstreckungen, persönlichen Pleiten etc. Letzte Woche mit einem Bekannten telefoniert, er meinte, es gab noch nie so viele "Freiwillige" die den Appalachian Way bestritten ;-)) Tja, Zeit haben Sie, das ist wohl wahr. Und die Erstantrage auf AL-Hilfe ist bleibt auch verschont...

in den letzten 10 Jahren hat sich eine kleine Welt der Investmentbanker herausgebildet und die versucht, egal welche Szenarien kommen, mit möglichst viel Geld aus dem Tag gehen. Während der Otto-Normalverbraucher seiner Arbeit nachgeht (oder zeitweise auch nicht) und brav die Steuern zahlt und bei Bedarf den Gürtel enger schnallen muss, ist die "Elite" davon verschont. Fraglich ist, wie lange so ein Imperium erhalten bleiben kann. Mir scheint es nicht mehr lange zu dauern - denn ein normaler Mensch wird sich Aktien entweder nicht mehr leisten könne oder gar leisten nicht wollen. Anders kann ich mir die verschwindend geringen Umsätze an den Börsen nicht erklären.

Sorry, bzgl. des beabsichtigten Ratiocharts BLK:$BKX habe ich in # 58922 versehentlich den von BLK:$SPX gepostet. Hier nun der Ratiochart BLK:$BKX! Tendenziell macht das kaum einen Unterschied aus.