Friday, January 25, 2008
'Just one trader'
Did one trader really cause this week's havoc in markets? The world's markets are facing much bigger problems than one bank's $7 billion loss. But Jérôme Kerviel's antics are still scary and undoubtably intensified this week's frenzy at a critical time. ... Also scary: 1.) French regulators allowed Societe Generale to secretly dump its fraud losses onto unsuspecting chumps over the weekend (voila! - problème finis!) 2.) the Fed didn't have a clue about the $7 billion fraud until after its rate cut on Tuesday. ... Makes you feel real confident in the global banking system, doesn't it? ...
Did one trader really cause this week's havoc in markets? The world's markets are facing much bigger problems than one bank's $7 billion loss. But Jérôme Kerviel's antics are still scary and undoubtably intensified this week's frenzy at a critical time. ... Also scary: 1.) French regulators allowed Societe Generale to secretly dump its fraud losses onto unsuspecting chumps over the weekend (voila! - problème finis!) 2.) the Fed didn't have a clue about the $7 billion fraud until after its rate cut on Tuesday. ... Makes you feel real confident in the global banking system, doesn't it? ...
