Anyone paying attention to the collapse in LEH

Just asking for some opinion. Couldn't the point be made that the Fed discount window accepting mortgage bond collateral is a game changer for LEH vs. BSC? BSC didn't have access to this facility while LEH does thanks to the BSC precedence.

I am not saying LEH can't go down the drain, it just appears they have more tools available to stay afloat than BSC had.

All speculation about LEH aside, bond markets clearly see less credit market angst than 2 weeks ago. Here's the TED (Eurodollar/LIBOR VS T-Bills) spread, a good indicator of short term fixed income market paranoia. Once any other major institution is close to going belly up this should reverse, too. However, despite all those LEH rumours it's actually down another 11 bps today:
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Quote from S2007S:
HEY LANDIS, you just dont get it do you, there is a crisis and you think everything is roses.
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S2007S, please I beg you, show me one single post of Landis saying that - in the current context:
a) there is no crisis
b) everything is roses

Can't wait for your reply.
 
Quote from flytiger:

Here's something I didn't think about. UBS is in big trouble. But the Swiss have quite the rep, so they won't let it fail. Hadn't thought about that angle.

But they step in at 5, or 25?
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Thanks for the heads up FlyT, good call.
 
Quote from makloda:

S2007S, please I beg you, show me one single post of Landis saying that - in the current context:
a) there is no crisis
b) everything is roses

Can't wait for your reply.
More...

Notice that I have never said anything of the sort about how there "is not a crisis" or that "everything is roses". I've never, ever said anything close to that here on ET. Not last week, not last month, not last year.

Also notice that this idiot has posted 17 times today and doesn't have the balls to reply back to you with any proof otherwise.

Typical.
 
Quote from makloda:

Just asking for some opinion. Couldn't the point be made that the Fed discount window accepting mortgage bond collateral is a game changer for LEH vs. BSC? BSC didn't have access to this facility while LEH does thanks to the BSC precedence.

I am not saying LEH can't go down the drain, it just appears they have more tools available to stay afloat than BSC had.
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Excellent point.

Unfortunately, people like S2007S doesn't know the difference.
If he did, he would have been able to touch upon the distinction by now.
 
Quote from Mvic:

Thanks for the heads up FlyT, good call.
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Ditto. Good snag.

Also, makloda, I agree LEH seems to have a better firewall than BSC could muster. Maybe it's because it's ex post facto BSC? Not sure.
 
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