Portuguese Regulator Bans Short-Selling After Banco Espirito Santo Unveils Massive $5 Billion Loss

Having waited until after the US equity markets closed, Portugal’s troubled Banco Espirito Santo unveiled an enormous EUR 3.577 Billion loss – that is 15 times larger than the loss the bank suffered a year earlier. The data  – to end-June, before the crisis really got going – already shows notable deposit flight, a 73.1% plunge in banking income, and a EUR 3 billion collapse in repoable assets (i.e. liquidity). On the heels of this Portugal’s securities regulator has enforced a short-selling ban on BES… we suspect they would not have done that if all was systemically well in Portugal.

 

Highlights (or lowlights) of the data as of June 30th – before the crisis escalated

A collapse in banking income

 

Plunge in liquidity, collapse in Net Income, jump in operating costs, and tumble in total equity…

 

*  *  *

With the President warning this is systemic, Draghi better hope they can figure out a bailout (or bail-in) soon…

*  *  *

Full data release below:

BES Results




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The Problem Isn't That Lois Lerner Doesn't Like Conservatives, It's That the IRS Gave Her a Weapon Against Them

Lois LernerIt’s no surprise that Lois Lerner,
the former Internal Revenue Service official whose name is now
eternally connected to politically motivated abuse of the tax
agency’s powers, doesn’t like conservatives. She’s a
registered Democrat
who explicitly
targeted tea party
groups during her tenure at the IRS. So the

release by House Ways and Means Committee Chairman Dave Camp

(R-Mich.) of emails
from 2012
in which she referred to conservatives as “rabid,”
“crazies,” and “assholes” (the “ass” is inexplicably redacted, but
I think we can assume) isn’t a shocker.

It is interesting, though, that she reacted to
overhearing Britons discussing America’s financial straits by
pointing out that “they don’t seem to see that they can’t afford to
keep up their welfare state either.”

But many people have strong political opinions, whether or not
they stupidly express those thoughts in emails sent through
government accounts. She would have still held those beliefs if
she’d confined herself to GMail—or kept her trap shut entirely.

And many of her critics have expressed similar feelings about
liberals. Or about both liberals and conservatives
(*cough* *cough*).

Strong political preferences are almost certain to be held by
people holding government office. That isn’t a reason to go looking
for rare candidates who have managed to develop the competence to
perform a responsible job without, somehow, acquiring political
preferences.

Because there’s almost certainly something seriously wrong with
such people.

The proper response to the “revelation” that people have
political biases is to make sure that they can’t wield government
power against those they don’t like. If the people who are going to
hold position in government are going to be biased, which is to
say, actual human beings, then those positions shouldn’t inherently
represent weapons to be used against the opposition.

Lois Lerner isn’t the problem. The power of the IRS—and so many
other government agencies—is a
bludgeon that will inevitably be used by almost anybody who gets
their hands on it
.

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The Problem Isn’t That Lois Lerner Doesn’t Like Conservatives, It’s That the IRS Gave Her a Weapon Against Them

Lois LernerIt’s no surprise that Lois Lerner,
the former Internal Revenue Service official whose name is now
eternally connected to politically motivated abuse of the tax
agency’s powers, doesn’t like conservatives. She’s a
registered Democrat
who explicitly
targeted tea party
groups during her tenure at the IRS. So the

release by House Ways and Means Committee Chairman Dave Camp

(R-Mich.) of emails
from 2012
in which she referred to conservatives as “rabid,”
“crazies,” and “assholes” (the “ass” is inexplicably redacted, but
I think we can assume) isn’t a shocker.

It is interesting, though, that she reacted to
overhearing Britons discussing America’s financial straits by
pointing out that “they don’t seem to see that they can’t afford to
keep up their welfare state either.”

But many people have strong political opinions, whether or not
they stupidly express those thoughts in emails sent through
government accounts. She would have still held those beliefs if
she’d confined herself to GMail—or kept her trap shut entirely.

And many of her critics have expressed similar feelings about
liberals. Or about both liberals and conservatives
(*cough* *cough*).

Strong political preferences are almost certain to be held by
people holding government office. That isn’t a reason to go looking
for rare candidates who have managed to develop the competence to
perform a responsible job without, somehow, acquiring political
preferences.

Because there’s almost certainly something seriously wrong with
such people.

The proper response to the “revelation” that people have
political biases is to make sure that they can’t wield government
power against those they don’t like. If the people who are going to
hold position in government are going to be biased, which is to
say, actual human beings, then those positions shouldn’t inherently
represent weapons to be used against the opposition.

Lois Lerner isn’t the problem. The power of the IRS—and so many
other government agencies—is a
bludgeon that will inevitably be used by almost anybody who gets
their hands on it
.

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Robby Soave: Amash’s Likely Primary Win Will Vindicate Libertarian Politics

Justin AmashIf current
polling
 is any indication, liberty-friendly Rep. Justin
Amash will coast to victory over his establishment-supported
challenger in the Michigan Republican primary next week. An Amash
victory would be a win for libertarian candidates everywhere, and a
clear sign that independent and conservative voters prefer the
limited government message to the pro-war, pro-corporate platitudes
of Republican Party leadership, writes Robby Soave.

Pundits have described the race as a particularly ugly one,
though that ugliness has been entirely one-sided. Ellis repeatedly
distorted Amash’s voting record in an attempt to portray him as
out-of-step with his conservative district, according to Soave.

It’s the sort of blatant propagandistic demagoguing of
libertarian national security sentiments that might have worked in
the heyday of the Bush and Rove years. But with Amash up by 20
points and less than a week left to go in the campaign, it seems
voters are well aware that Amash represents a different brand of
Republicanism: one they like better.

View this article.

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Right Now: House Voting Whether To Sue Obama

House Republicans are expected to formally approve their lawsuit against President Obama today. As John Boehner wrote earlier in the week, “President Obama has overstepped his constitutional authority — and it is the responsibility of the House of Representatives to defend the Constitution.” Voting has started on the ‘impeachment lite’ bill…

 

Click image for link to CSPAN coverage…




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Bonds & Black Gold Battered But Stocks Give Up GDP Gains

While equity markets were in focus for the mainstream, the big moves today occurred in Treasuries and oil prices. From the GDP release this morning, Treasury yields surged higher, rallied briefly after FOMC, before closing near the high-yields of the day (up around 10bps or the most in 9 months). Oil prices started to tumble at around 1030ET, flushed again on EU close, tumbled early afternoon on sanctions headlines, then pumped-and-dumped after FOMC to close at near 3-month lows (below $100). Equity markets surged on GDP, dumped on sanctions, pumped-and-dumped on FOMC, then lifted to the close. Only the Nasdaq ends the day above pre-GDP data levels. On the day, only the Dow closed the day red. Gold and silver chopped around in a narrow range as the USD index roundtripped from early GDP gains after FOMC. VIX closed modestly higher on the day. The Russell 2000 is -4.2% for July, its worst month in 2 years.

 

Post-GDP, only the Nasdaq held its gains…

 

Post FOMC, stocks roundtripped then limped higher into the close…

 

But on the day, only the Dow closed red…and S&P unch…

 

Since the MH17 Headlines only the bubblicious Nasdaq is holding on to gains…

 

Treasuries dumped…

 

 

Oil slumped below $100 – 3-mo lows…

 

Gold and silver tread water but oil dumps…

 

Charts: Bloomberg




via Zero Hedge http://ift.tt/1kmTKA0 Tyler Durden

Bonds & Black Gold Battered But Stocks Give Up GDP Gains

While equity markets were in focus for the mainstream, the big moves today occurred in Treasuries and oil prices. From the GDP release this morning, Treasury yields surged higher, rallied briefly after FOMC, before closing near the high-yields of the day (up around 10bps or the most in 9 months). Oil prices started to tumble at around 1030ET, flushed again on EU close, tumbled early afternoon on sanctions headlines, then pumped-and-dumped after FOMC to close at near 3-month lows (below $100). Equity markets surged on GDP, dumped on sanctions, pumped-and-dumped on FOMC, then lifted to the close. Only the Nasdaq ends the day above pre-GDP data levels. On the day, only the Dow closed the day red. Gold and silver chopped around in a narrow range as the USD index roundtripped from early GDP gains after FOMC. VIX closed modestly higher on the day. The Russell 2000 is -4.2% for July, its worst month in 2 years.

 

Post-GDP, only the Nasdaq held its gains…

 

Post FOMC, stocks roundtripped then limped higher into the close…

 

But on the day, only the Dow closed red…and S&P unch…

 

Since the MH17 Headlines only the bubblicious Nasdaq is holding on to gains…

 

Treasuries dumped…

 

 

Oil slumped below $100 – 3-mo lows…

 

Gold and silver tread water but oil dumps…

 

Charts: Bloomberg




via Zero Hedge http://ift.tt/1kmTKA0 Tyler Durden

Lerner Called Conservatives 'Crazies,' 'Assholes;' Obama to GOP: 'Stop Hating;' Gaza Gets Uglier: P.M. Links

Follow Reason and Reason 24/7 on
Twitter, and like us on Facebook. You
can also get the top stories mailed to you—sign up
here
.

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Lerner Called Conservatives ‘Crazies,’ ‘Assholes;’ Obama to GOP: ‘Stop Hating;’ Gaza Gets Uglier: P.M. Links

Follow Reason and Reason 24/7 on
Twitter, and like us on Facebook. You
can also get the top stories mailed to you—sign up
here
.

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via IFTTT