Monday, October 20, 2008

US, NY to investigage credit default swaps market

The US government and New York attorney general will investigate the credit default swap (CDS) market to see if short sellers violated any laws.

Interestingly, many are blaming the CDS market for the Wall Street meltdown. The Bush administration claimed the taxpayer needed to purchase "toxic" mortgage assets to save these financial companies. It may be that rumors helped cause a collapse in credit default swaps used to insure banks against mortgage defaults. When these swaps failed, the mortgage-related securities also failed.


US, Cuomo Open Credit Default Swap Investigation (Update1)
Bloomberg - 1 hour ago
Cuomo has been investigating whether credit-default swaps were manipulated by short sellers to spread false rumors about financial companies. ...
US, NY Probing Credit-Default Swaps Wall Street Journal
US probing credit-default swap market International Herald Tribune
Joint US-New York Inquiry Into Credit-Default Swaps New York Times

Labels: , ,

Purchase Paul Kekai Manansala's books at


Post a Comment

<< Home

Fat Diminisher September Contest! $20,000 In Winnings! Click Here!

Add to Technorati Favorites!

Add to Google

Subscribe in NewsGator Online

If you have Google or Yahoo! toolbars, drag this link into your bookmarks toolbar to bookmark this page.

Add to reddit
Add to Digg

Press Ctrl + D to add to your browser bookmarks.