- This topic has 22 replies, 9 voices, and was last updated 16 years, 10 months ago by
guitar187.
-
AuthorPosts
-
July 17, 2007 at 2:51 PM #66190July 17, 2007 at 2:51 PM #66254
davelj
ParticipantAgreed. Maybe (trader) Chris Johnston can chime in here but I believe in the past that’s been a sign of a market on its last gasps, that is when the breadth is very poor but the indices keep rising on the backs of a handful of a few big, liquid stocks. I know that’s what happened in the blow-off in early-2000. It seemed like most of the stocks were declining but the biggest, most liquid names kept churning upward… until they stopped and ultimately reversed course.
July 17, 2007 at 2:57 PM #66194Anonymous
GuestGreat timing, I just shorted Bear Stearns this morning. I didn’t even realize the news that was going to come out today.
July 17, 2007 at 2:57 PM #66258GuestGreat timing, I just shorted Bear Stearns this morning. I didn’t even realize the news that was going to come out today.
July 17, 2007 at 3:01 PM #66196LA_Renter
ParticipantBear Stearns Link
Updated from 4:26 p.m.
It is looking like a bear of a summer for Bear Stearns (BSC – Cramer’s Take – Stockpickr) hedge fund manager Ralph Cioffi.Wall Street learned Tuesday just how bad the carnage is in two of Cioffi’s funds, a month after they nearly collapsed under the weight of bad bets on the swooning subprime mortgage business. The two funds chock full of esoteric securities — High-Grade Structured Credit Strategies Fund and its sister vehicle, High Grade Structured Credit Enhanced Leveraged Fund — are now worth less than 10 cents on the dollar, according to media reports.
Sources say investors had been expecting a recovery of around 50 cents on the dollar for the less leveraged fund. Bear shares fell almost 3% in after-hours trading.
The credit markets and parts of the stock market — particularly Bear’s own shares, which are down nearly 20% this year — have already felt subprime pain. The fear in some quarters is that Bear’s pain could have a cascading effect that forces hedge funds and others on Wall Street to offload hard-to-sell assets in a fire sale.
July 17, 2007 at 3:01 PM #66260ParticipantBear Stearns Link
Updated from 4:26 p.m.
It is looking like a bear of a summer for Bear Stearns (BSC – Cramer’s Take – Stockpickr) hedge fund manager Ralph Cioffi.Wall Street learned Tuesday just how bad the carnage is in two of Cioffi’s funds, a month after they nearly collapsed under the weight of bad bets on the swooning subprime mortgage business. The two funds chock full of esoteric securities — High-Grade Structured Credit Strategies Fund and its sister vehicle, High Grade Structured Credit Enhanced Leveraged Fund — are now worth less than 10 cents on the dollar, according to media reports.
Sources say investors had been expecting a recovery of around 50 cents on the dollar for the less leveraged fund. Bear shares fell almost 3% in after-hours trading.
The credit markets and parts of the stock market — particularly Bear’s own shares, which are down nearly 20% this year — have already felt subprime pain. The fear in some quarters is that Bear’s pain could have a cascading effect that forces hedge funds and others on Wall Street to offload hard-to-sell assets in a fire sale.
July 18, 2007 at 12:44 PM #66307guitar187
ParticipantCountrywide cancelled their 2/28 subprime program this morning. And there are several major subprime players no longer offering products with sub 600 FICOs
July 18, 2007 at 12:44 PM #66372ParticipantCountrywide cancelled their 2/28 subprime program this morning. And there are several major subprime players no longer offering products with sub 600 FICOs
-
AuthorPosts
- You must be logged in to reply to this topic.