My Dear Friends,
Now the media has everyone looking at Jackson Hole for Bernanke to act.
That is not the way it tends to happen.
Only in America: Corzine Eyes Starting a Hedge Fund
Chris Poley, Benzinga Staff Writer
Jon Corzine, former CEO of the now defunct and bankruptMF Global Holdings may be considering starting up another hedge fund, according to a New York Times report.
As impossible as it seems to believe, once the ongoing criminal investigation into the MF Global mess is put to rest, Corzine appears to be entertaining the notion to get back on the financial horse he was thrown from.
According to the New York Times DealBook, “Mr. Corzine, in a bid to rebuild his image and engage his passion for trading, is weighing whether to start a hedge fund, according to people with knowledge of his plans. He is currently trading with his family’s wealth.”
The former Goldman Sachs CEO will probably escape any criminal charges as the 10 month-long investigation comes to an end. Investigators have concluded that there was no fraud in the disappearance of over $1 billion of customer money, but rather “that chaos and porous risk controls” were to blame.
The former senator was called back to Washington to testify before a Senate committee. Corzine testified to the House Agricultural Committee last December and said “I simply do not know where the money is, or why the accounts have not been reconciled to date."
Jim Sinclair’s Commentary
The following is an excellent write up from Dan Oliver of Myrmikan Capital, LLC.
Jim Sinclair’s Commentary
From Yra Harris today. Each small upgrade of gold works toward the major upgrading of gold as Honest Money.
CME Clearing Europe to Accept Gold as Collateral
LONDON, Aug. 17, 2012 /PRNewswire/ — CME Clearing Europe, the London-based clearing house wholly-owned by CME Group, the world’s leading and most diverse derivatives marketplace, today announced it has extended the range of eligible collateral types to include gold bullion.
The extension offers additional flexibility at a time when high quality collateral is at a premium and the clearing of over-the-counter (OTC) derivatives is increasing. CME Clearing Europe has followed the lead of CME Clearing, which has accepted gold to cover margin requirements since October 2009.
Launched in May 2011, CME Clearing Europe currently clears OTC commodity derivatives and plans, subject to regulatory approval, to introduce OTC Interest Rate Swap clearing later this year.
CME Clearing Europe
CME Clearing Europe is an FSA regulated, multi-asset class clearing house based in London that offers more than 200 OTC products for clearing. Its clearing model ensures stability and increases transparency in the OTC markets that it clears. CME Clearing Europe has its own dedicated staff, and its governance arrangements, capital and default resources are separate from those of CME Clearing in the US. As part of CME Group it nonetheless has full access to the to the clearing and risk management expertise, systems and financial strength of CME Clearing. More information can be found at www.cmeclearingeurope.com
As the world’s leading and most diverse derivatives marketplace, CME Group (www.cmegroup.com) is where the world comes to manage risk. CME Group exchanges offer the widest range of global benchmark products across all major asset classes, including futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural commodities, metals, weather and real estate. CME Group brings buyers and sellers together through its CME Globex® electronic trading platform and its trading facilities in New York and Chicago. CME Group also operates CME Clearing, one of the world’s leading central counterparty clearing providers, which offers clearing and settlement services across asset classes for exchange-traded contracts and over-the-counter derivatives transactions. These products and services ensure that businesses everywhere can substantially mitigate counterparty credit risk.
CME Group is a trademark of CME Group Inc. The Globe Logo, CME, Globex and Chicago Mercantile Exchange are trademarks of Chicago Mercantile Exchange Inc. CBOT and the Chicago Board of Trade are trademarks of the Board of Trade of the City of Chicago, Inc. NYMEX, New York Mercantile Exchange and ClearPort are registered trademarks of New York Mercantile Exchange, Inc. COMEX is a trademark of Commodity Exchange, Inc. All other trademarks are the property of their respective owners. Further information about CME Group (NASDAQ: CME) and its products can be found at www.cmegroup.com.
Jim Sinclair’s Commentary
Is this Germany’s new euro strategy?
Court lifts ban on domestic military ops
Published: 17 Aug 12 11:24 CET
Updated: 17 Aug 12 17:53 CET
Germany’s military was given the right to conduct combat operations within the country in case of a terror attack of "catastrophic proportions" after the country’s top court ended a post-war taboo.
The strict ban on German military operations within the country was adopted following World War II, in reaction to the Nazi regime having used the army and paramilitary forces for its domestic agenda.
On Friday, the Federal Constitutional Court said the Bundeswehr armed forces could deploy under strict conditions in case of an assault in Germany with the potential for scores of casualties.
The deployment of troops in Germany was only acceptable in "states of emergency of catastrophic proportions," the judges ruled, but never "in reaction to the threat posed by demonstrating crowds".
The use of combat weapons was only acceptable "as a last resort" and must be approved by the federal government, not simply delegated to the defence minister.