Credit deflation and the reflation cycle to come (part 9)

[Pip321]

1 hour ago, spygirl said:

I knew it would nto be long ....

2 days later ...

SocGen trader fired for ‘unauthorised’ bets says ‘risk team and bosses’ share blame

Kavish Kataria complains he lost his bonuses and claims his options trades made money

 

He claimed he had made $50mn for the bank in eight months and complained his “previous year bonuses were also withheld and I was just paid seven days salary”. “I would like to ask during all this time there was no one to check what has been happening on the desk?” he wrote. “I accept I did trade options on Indian indices and according to me it was in my mandate and well within the trading limits.” “Trading industry is so big but there are no rules or regulations which fight for trader justice,” Kataria said. SocGen declined to comment on Kataria’s statement.

 

1 hour ago, Loki said:

Fucking state of it

Looks like a……well, not sure. Doesn’t inspire confidence which reminds me….

I worked in finance, big corporate with lots of brands, channels and areas of interest. We had a channel of IFAs, highly paid and so was their support functions so I went for an interview at 31 years old around 1998. (No one worked there under 30 years old and all advisers were 35 or older) 

I remember being told by a good friend to smarten up, clean my shoes, clean them again, don’t use my sarcasm, don’t be a smart twat and stay conservatively professional throughout.

The CEO interviewing me was a pompous tosser, traditional but certainly a leader….but looking back now and where we are now….I get it completely.

They wanted (and appreciated) the clever guys onboard, even the mavericks, the crumpled suits and bad haircut boffins……but they wanted you to acknowledge the corporate structure almost military like, ie when front facing look like this, act like this and that was understood. 

Got the job and we dealt with very high net worth customers and we looked a certain way…..and behind closed doors the more technical of us could then look and act more like autistic Star Trek watching nerds, and the CEO also looked and appeared different. But we had a front, maybe that was wrong…..but it was what clients expected. And we weren’t fooling the clients because they knew the boffins were all nerds but they wanted (or at least we wanted to project) the appearance of ‘respect’ of a pin stripe when in front of them or we were on thread needle street.

Now we have this….I don’t judge the guy personally (well I do a bit🤣) but I do judge if he wants desperately to express himself physically whilst holding my wallet.

Hugh Hendry I don’t mind…..he’s a YouTuber and it’s part of the whole thing, I don’t take my parents to meet Hendry for advice to invest £15 million, I am being entertained and educated on my laptop. 

I think I am wrong…..but it’s rather just an interesting observation of a trader thinking more about his image than his trade. 

 

Edited May 2 by Pip321

[Yadda yadda yadda]

7 minutes ago, Bobthebuilder said:

That was a whopper of a BATS divi today. Is it a special or something?

My capital overfloweth.

[headrow]

5 minutes ago, Bobthebuilder said:

That was a whopper of a BATS divi today. Is it a special or something?

I've got 2000 and last quarter I got £1154 and this I got £1177. It's just inflation I suppose?

[leonardratso]

i got £2.86

[Bobthebuilder]

6 minutes ago, headrow said:

I've got 2000 and last quarter I got £1154 and this I got £1177. It's just inflation I suppose?

Mmmmh, must have been some sort of over payment on my platform, suppose they will be clawing that back. Shame as I have already withdrawn it. Can you go overdrawn on an ISA?

[Long-game]

3 hours ago, Lightscribe said:

Used to have a bean to cup Gaggia machine (bought from a price mistake from Holland Phillips outlet) , but it took up too much space and required regular maintenance etc so sold it for more than I bought it for.

Nowadays I just grind beans in advance in an air sealed pot and just use a Mokka pot. I also use a frother (ooh er missus) on heated milk.

I've moved back to a delonghi higher end machine. Built in grinder, tamp and double  espresso porta filter. Has steam wand too and you can dial in grind load/fineness. Fab machine. Not messy apart from that rinds in the portafilter. Makes smashing lattes, flat whites, espresso etc. Had it about  year, bought off fleabay second hand. Already had my money's worth out of it. Use Lavazza espresso beans as I've tried fancier beans  and cheape, bit  I like the taste. Several cups a day and I never fail to use it.

Edited May 2 by Long-game

[AWW]

2 hours ago, spygirl said:

SocGen trader fired for ‘unauthorised’ bets says ‘risk team and bosses’ share blame

Remind me who the CP is to the swaps you're buying when you dump your cash balance into low-risk CSH2... 

[leonardratso]

22 minutes ago, Bobthebuilder said:

Mmmmh, must have been some sort of over payment on my platform, suppose they will be clawing that back. Shame as I have already withdrawn it. Can you go overdrawn on an ISA?

lloyds did that to me once, they carried on paying me a monthly dividend for some shares id sold long ago

When they tried to claw it back they made my cash balance negative, i was straight on the blower to get it set back to zero, and i asked them how it could go -ve and would they have expected me to pay it back to zero. Cuntzzzzzz

[leonardratso]

sk telecom gave me 43p as well today

im off down to buy a dogs leg with it down the SK butcher chap.

[DurhamBorn]

1 hour ago, Bobthebuilder said:

Mmmmh, must have been some sort of over payment on my platform, suppose they will be clawing that back. Shame as I have already withdrawn it. Can you go overdrawn on an ISA?

I doubt BATs divi will grow by much more than say 2%/3% for a while as they will want to de-leverage,do 2% buybacks and maybe even buy a few companies.I would not want to pay more than around £27 to £29 for them.Low growth high div stocks its crucial do buy them when they are really out of favour.Iv bought some Woodside Energy with the divi in the SIPP seeing as the thread is pushing it,fag divi into oil and gas.ISA one withdrawn.

[leonardratso]

i got 63 pence a share for woodside divi last sept, mind you they were £19 odd then

[sancho panza]

34 minutes ago, DurhamBorn said:

I doubt BATs divi will grow by much more than say 2%/3% for a while as they will want to de-leverage,do 2% buybacks and maybe even buy a few companies.I would not want to pay more than around £27 to £29 for them.Low growth high div stocks its crucial do buy them when they are really out of favour.Iv bought some Woodside Energy with the divi in the SIPP seeing as the thread is pushing it,fag divi into oil and gas.ISA one withdrawn.

couple of long term themes of yours/others down here in the news ref dedollarization.Im jsut making the point that these theses are now going mainstream imho,used to be jsut rarely visted corners of the web you read this stuff

1) shell launching $3.5bn buy back as shares hit an all time high.not bad if the shares go higher but personally Id rahter have the divi

https://www.theguardian.com/business/article/2024/may/02/shell-unveils-new-35bn-share-buy-back-after-higher-profits-than-expected

2) intersting artile in the graf critisxing gordon brown gold sale.but the more relevant news is in bold

https://uk.news.yahoo.com/gordon-brown-decision-sell-britain-080000596.html

Gordon Brown’s decision to sell Britain’s gold looks more disastrous by the day

Meanwhile, as the BoE frets over the consequences of its funny money programme, other countries are bolstering their gold reserves. The Chinese central bank, the Peoples’ Bank of China, is now in its 17th straight month of rapacious gold-buying. Chinese gold reserves have risen from roughly 1,950 tonnes in the third quarter of 2022 to 2,260 tonnes today – an increase of 14pc.

Not to be bested by their central bank, Chinese consumers are also getting in on the action. Fearing that higher-for-longer American interest rates will force a devaluation of the Chinese yuan, Chinese retail demand for gold is soaring with a 10pc rise in jewellery demand and a 28pc increase in bar and coin investments in the last year. Put together, and gold is flowing in one direction: from West to East. Why?

The straightforward answer is that the Chinese authorities are concerned about being overexposed to the US dollar. After the Russian invasion of Ukraine in February of 2022, the United States and its allies froze Russia’s foreign exchange reserves. This has led to a wave of panic in non-Western countries who fear that if the geopolitical winds turn against them, their reserves might be frozen too. China, in particular, is concerned about this as tensions mount in the South China Sea.

There are also fundamental reasons to be nervous about the US dollar. High interest rates in the United States relative to the rest of the world are currently putting upward pressure on the dollar. But this, combined with high inflation in America, is diminishing the international competitiveness of the economy.

This may mean that the American trade deficit will rise in the coming months. The American trade balance has already taken a beating in recent years, with the deficit growing from $45.3bn at the beginning of 2020 to $68.9bn today, despite the tariffs imposed on China to try and improve competitiveness.

If a rise in the US dollar causes a further deterioration in the balance of trade, we might see a whipsaw effect in the medium-term, where the currency is eventually forced to rebalance so that Americans live within their means. This, in turn, will impact the continued global willingness to use the dollar as the global reserve currency.

If this brave new world starts to emerge, British policymakers have not positioned the country well. Around the same time as then Chancellor of the Exchequer Gordon Brown handed the Bank of England the keys to experiment with funny money policies as it pleased, he also sold down Britain’s gold reserves.

Edited May 2 by sancho panza

[JREWING]

On the lampposts...Hopefully the bastards will be hanging from the same post.

[Errol]

 

[ThoughtCriminal]

5 hours ago, tank said:

The bold George is many things but he's definitely not right wing. 😆😆

He absolutely 100% is. Name any social issue and he's well to the right of any MP.

 

[DurhamBorn]

1 hour ago, Errol said:

 

Nice to see the cross market work start to show itself everywhere.EMs dont want to be fleeced 5% a year from the CBs monetising their saved Labour,2% they accepted.So instead they will consume more among themselves,causing inflation to destroy western economies until we are forced to produce more.Of course this also means higher savings staying at home,or in other EMs outside of western FIAT.Its one of the reasons iv been buying EM leaning hated asset managers heavily.I said the CEO of ABRDN had been in Singapore,no we know why,

https://fundsglobalasia.com/news/abrdn-and-fnz-launch-digital-wealth-platform-in-asia

Obvious they intend to capture lots of the advisor business over there.They are the biggest here in the UK in the same platform business.

13% outperformance so far over the S&P,,i can feel the baby oil already 

[Noallegiance]

2 hours ago, ThoughtCriminal said:

He absolutely 100% is. Name any social issue and he's well to the right of any MP.

 

One man stood on the tip of the left wing, the other stood at the middle of the wing. You can be right of very left and still be left.

[Ash4781b]

What’s Coutts Upto then? Seems to go deeper. Why Thursday on a polling day ? Maybe all coincidence.

“Royal bank Coutts is facing criticism from City figures over plans to pull roughly £2bn of clients’ funds out of London’s stock market.

On Thursday, the iconic 332-year-old private bank and wealth manager confirmed plans to cut its investment in UK equities from 33 per cent of assets to only three per cent as it moves the money into foreign company shares.

Under the plans, Coutts would have 65 per cent of assets in North American equities and 13 per cent in Europe. The business has around £10bn in funds under management.

The news comes as the government races to inject life into London’s beleaguered stock market through a range of capital markets reforms, including a British ISA.”

https://www.cityam.com/coutts-under-pressure-for-pulling-2bn-out-of-london-stock-market/

[Axeman123]

7 minutes ago, Ash4781b said:

What’s Coutts Upto then?

Part of a co-ordinated campaign about non-doms and taxes etc IMO. They don't expect to change poll results today, this is more about parking tanks on both main parties' metaphorical lawns for future reference: "oh yes we fucking would mate!".

[Noallegiance]

The beginning of capital flight?

[Yadda yadda yadda]

19 minutes ago, Noallegiance said:

One man stood on the tip of the left wing, the other stood at the middle of the wing. You can be right of very left and still be left.

I wish they'd all fall off the plane and give someone else a go.

[Yadda yadda yadda]

14 minutes ago, Ash4781b said:

What’s Coutts Upto then? Seems to go deeper. Why Thursday on a polling day ? Maybe all coincidence.

“Royal bank Coutts is facing criticism from City figures over plans to pull roughly £2bn of clients’ funds out of London’s stock market.

On Thursday, the iconic 332-year-old private bank and wealth manager confirmed plans to cut its investment in UK equities from 33 per cent of assets to only three per cent as it moves the money into foreign company shares.

Under the plans, Coutts would have 65 per cent of assets in North American equities and 13 per cent in Europe. The business has around £10bn in funds under management.

The news comes as the government races to inject life into London’s beleaguered stock market through a range of capital markets reforms, including a British ISA.”

https://www.cityam.com/coutts-under-pressure-for-pulling-2bn-out-of-london-stock-market/

If I was a client of Courts I would not want 33% of my wealth in UK equity. Stupidly high. Quite probably the wrong time to cut the allocation but necessary nonetheless.

[Yadda yadda yadda]

8 minutes ago, Axeman123 said:

Part of a co-ordinated campaign about non-doms and taxes etc IMO. They don't expect to change poll results today, this is more about parking tanks on both main parties' metaphorical lawns for future reference: "oh yes we fucking would mate!".

Yes, they're applying pressure, do that and we do this, but far too high an allocation to start with.

[feed]

UK investors pour cash into US equities, data shows (msn.com)

This as well.

British investors continued to take out large sums of money tied up in UK equity funds and 'responsible investments' last month, new data reveals. 

The 'worst-selling' sector in March was UK All Companies, which experienced outflows of £887million, according to the Investment Association (IA). 

UK funds saw net retail outflows of £1.3billion last month, the findings published on Thursday added. 

Meanwhile, inflows into US equities in the first quarter jumped to £1.5billion, more than double the level seen by the same point a year ago, according to the figure

[Lightscribe]

2 hours ago, ThoughtCriminal said:

He absolutely 100% is. Name any social issue and he's well to the right of any MP.

 

Extreme left wing isn’t far from right in the circle. Take Corbyn and his brother, anti big bank, anti big pharma, anti establishment etc etc (not too mention ‘those’ who shall not be named) 

Edited May 2 by Lightscribe