Weekend Reading: Calm Before the Storm

The New York Times with an insightful review.

stuck_in_customs2WEEK IN REVIEW NOVEMBER 1, 2013  BY ERIC OWLES

[Editors’ note: Please do not read this if you are a junior banker at Goldman Sachs.]

Sit back and enjoy eating your children’s Halloween candy. Looking ahead to next week, we face possible settlements for JPMorgan Chase and Steven Cohen’s hedge fund as well as Twitter’s initial public offering.

A look back on our reporting of the past week’s highs and lows in finance.

FRIDAY, NOV. 1

Currency Traders Put on Leave Amid Investigation | Nearly a dozen traders have been placed on leave at five large banks in recent days amid a wide-ranging investigation into potential manipulation of the foreign-exchange market. DealBook »

To Speed Up Overhaul, R.B.S. Will Split Off Bad Loans | The bank also said it would focus on retail and commercial banking in Britain and move up an offering of Citizens Financial Group in the United States to next year. DealBook »

THURSDAY, OCT. 31

Second N.F.L. Player Signs Public Offering Deal | Fantex has signed Vernon Davis, the star tight end of the San Francisco 49ers. Market commentators have raised questions about the soundness of the deal for investors. DealBook »

Building a Portfolio With a Focus on One Sector: Water | XPV Capital is part of the growing group focused on problems affecting the water supply and the potential solutions. DealBook »

WEDNESDAY, OCT. 30

Leon Weidman

From Anonymity to a Scourge of Wall Street | A onetime engineer who earned his law degree at night has been behind the government’s campaign to punish Wall Street for the financial crisis. DealBook »

Bankruptcy Filing Is a Stunning Fall for a Brazilian Tycoon | The petroleum company OGX, which is the flagship company of the Brazilian entrepreneur Eike Batista, filed for bankruptcy. DealBook »

Russian Diamond Company, a De Beers Rival, Enters Public Trading | The Russian government is spinning off a 16 percent stake in Alrosa, a leading diamond producer that once controlled global prices through a cartel arrangement with De Beers. DealBook »

PricewaterhouseCoopers to Buy Booz Consulting Firm | By purchasing the smaller firm, PricewaterhouseCoopers will strengthen its advisory business, a chief source of growth for the firm and one of its faster-growing operations. DealBook »

Regulator Approves Tighter Commodity Trading Rules | The Commodity Futures Trading Commission gave final approval to rules that close loopholes, add risk controls and require brokers to provide more information to clients. DealBook »

House Votes to Repeal Dodd-Frank Provision | The bill would repeal a requirement that big banks put some derivatives trading into units not backed by the government’s insurance fund. DealBook »

Barclays Rebounds to Profit, Despite Fixed-Income Slump | Barclays also became the latest bank to acknowledge that it had received inquiries from regulators investigating possible manipulation of foreign exchange markets.DealBook »

TUESDAY, OCT. 29

Inta Krueger

For Once-Mighty Sears, Pictures of Decay | The retailer is selling assets and drawing doubts and criticism. Even after the disposals, what remains of Sears appears to have rapidly diminishing value. DealBook »

Dutch Bank Settles Case Over Libor Deceptions | Rabobank admitted to criminal wrongdoing by its employees and agreed to pay more than $1 billion in criminal and civil penalties. Its chief executive stepped down immediately. DealBook »

Under a Cloud, Lenders in Europe Are Grappling With Huge Legal Costs| European lenders, including the British bank Lloyds, face billions of dollars in expenses and years of effort to restore their reputations. DealBook »

Deal Professor: Trepidation and Restrictions Leave Crowdfunding Rules Weak | Crowdfunding has great potential for fraud, but the Securities and Exchange Commission’s proposed rules for this investment model do little to protect investors, writes Steven M. Davidoff. DealBook »

MONDAY, OCT. 28

Jim Himes

House, Set to Vote on 2 Bills, Is Seen as an Ally of Wall St. | Recent financial legislation, critics say, illustrates how the House has become one of Wall Street’s last strongholds in Washington. DealBook »

DealBook Column: Frenzy of Deals, Once Expected, Seems to Fizzle | Prognostications of a return to deal-making have turned out to be very wrong. And deal-making may not be coming back anytime soon, writes Andrew Ross Sorkin.DealBook »

Japanese Bank’s Inquiry Finds Details of Shady Loans | The used-car dealers that dot the outskirts of Tokyo and other Japanese cities are an unlikely link between one of Japan’s biggest banks and the country’s yakuza gangsters. DealBook »

Twitter Public

Twitter Prepares to Feed New Hunger for I.P.O.’s | The sector has shown signs of a recovery of late, with offerings like those of the cybersecurity provider FireEye and the advertising technology company Rocket Fuel. DealBook »

SATURDAY, OCT. 26

Dina Powell

Goldman, Buying Redemption | The firm’s big splash of philanthropy prompts critics to ask: How much is too much? DealBook »

Fair Game: A $13 Billion Reminder of What’s Wrong | The government’s proposed settlement with JPMorgan Chase reminds us of the role banks played in the financial crisis, and the role they could play in creating the next one, writes Gretchen Morgenson. The New York Times »

WEEK IN VERSE

‘Gonna Fly Now’ | The architect of a recent legal crackdown on Wall Street’s dubious mortgage practices was a 69-year-old career prosecutor. YouTube »

‘Planet of the Apes Party Fun Time’ | “I know that some of our members are inclined to whore, but we cannot be apes,” a Republican aide warned on talking points from Wall Street lobbyists. YouTube »

‘Hey Big Spender’ | “It’s run as if it’s a Broadway show,” said one Goldman employee on the bank’s charitable efforts. YouTube »

Well done! See THE NEW YORK TIMES, click HERE.

And let’s not forget – Senate Republicans blocked the nomination of Rep. Mel Watt (D-N.C.) to the Federal Housing Finance Agency on Thursday successfully; but for the wrong reasons.

Mel Watt

The delaying tactic was the latest episode in a contentious series of battles over President Obama’s nominees and could pave the way for a renewed focus on whether Democrats want to change the chamber’s rules. The Senate voted 56 to 42 to proceed to a vote on Watt’s nomination — shy of the 60 votes required to end debate.

Watt is the wrong guy for main street some say because he is tied too closely to the banks.  Have you forgotten Bank of America is in NC? And have you researched Mel Watt’s campaign donation list to see if there are any donations from big banks or Wall Street related firms?

Maybe it’s time we actually have someone from the private sector in this position and not another bought and paid for lifetime political crony?

Main street urges the Senate to vote NO on Mel Watt since there is so much corruption in the housing sector. “We need to look for a more balanced individual with no ties to the banks and Wall Street. Furthermore, when the Senate does confirm someone in this position there should be a mandate that they liquidate all their Wall Street bank-related stocks and mutual funds so that they have no conflicts in the decisions they will have to make and the business that they oversee,” said Sidney Sullivan.

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