Friday, July 13, 2018

POTUS Changes Administrative Law Judge Hiring Process

President Donald Trump changed the appointment process for administrative law judges on Tuesday with an executive order that puts the power with federal agency heads or the president himself.

Issued as he flew to the NATO summit in Brussels, the order follows a U.S. Supreme Court decision in June that decided administrative law judges of the Securities and Exchange Commission are subject to the Appointments Clause of the U.S. Constitution.

In the Lucia v. Securities and Exchange Commission, the justices held the administrative law judge who handed down a fine on an investor was not constitutionally appointed.  The ruling put in doubt the constitutionality of other administrative law judges and opened up potentially thousands of cases to be re-litigated.

The White House framed the executive order as a solution to “ongoing legal uncertainty over administrative law judge appointments and authority” and allowing “the enforcement of dozens of important laws protecting Americans.

The order also serves as an “important step in preempting arguments going forward that administrative law judges have been unconstitutionally selected and that their decisions should be overturned.”

Courthouse News Service July 11th, 2018

Erasing The Illusion

Saturday, June 30, 2018

2018 Bank Stress Test

The Fed has released the results of its most recent Dodd-Frank Stress Tests. This year, 18 of the largest and most complex banks were subject to both the quantitative and qualitative assessments. The 17 other firms in Comprehensive Capital Analysis and Review (CCAR) were subject only to the quantitative assessment.  Decisions as a manager, you take into account qualitative factors like reputations, brand strength and employee morale, as well as quantifiable data such as sales figures, profitability and return on investment.  Quantitative factors include a firm's projected capital ratios under a hypothetical scenario of severe economic and financial market stress.  Qualitative factors include the strength of the firm's capital planning process, which incorporates risk management, internal controls, and governance practices that support the process.

The Board objected to the capital plan (share buybacks) from Deutsche Bank USA Corporation due to qualitative concerns.  Due in part to recent changes to the tax law that negatively affected capital levels. The cut in the corporate tax rate from 35 per cent to 20 per cent cut the value of deferred tax assets.  Furthermore, Trump tax reforms eliminated a beneficial tax treatment that had enabled banks to smooth their earnings by carrying losses forwards or backwards from periods of crisis.

The Fed failed the U.S. subsidiary of Deutsche Bank AG, citing widespread and critical deficiencies in its planning, limiting the unit’s ability to send capital home to Germany.
Goldman Sachs Group Inc. and Morgan Stanley agreed to freeze payouts at previous years’ levels.  Both banks were required to rein in their dividend and stock buyback plans after the Fed warned their initial, more bullish, proposals would have left them with inadequate capital buffers.
JPMorgan Chase, American Express, KeyCorp and M&T Bank Corporation also rethought their original plans for payouts to shareholders, although they got the thumbs up after submitting more modest plans in the past week, the Fed said.

List of Banks moving forward with capital planing and distributions to share holders.

Ally - Buy Back $1b Shares, raise dividend to 15c/shr from 13c/shr

American Express - Buy Back $3.4b Shares, raise dividend to 39c/share, from 35c/share

Bank of America - Buy Back $20.6b Shares, raise dividend to 15c/shr

Capital One - Buy Back $1.2B Shares, keeps dividend at 40c/shr

Citi - Buy Back $17.6b Shares, raise dividend to 45c/shr from 32c

Goldman Sachs - Buy Back $5.0b Shares, raise dividend to 85c from 80c

JPMorgan Chase - Buy Back $20.7b Shares, raise dividend to 80c/shr from 56c/shr

Morgan Stanley - Buy Back $4.7b Shares, raise dividend to $0.30/shr from $0.25/shr

PNC Financial - Buy Back $2.0B Shares, raise dividend to 95c/shr from 75c/shr

U.S. Bancorp - Buy Back $3B Shares, raise dividend to 37c/shr from 30c/shr

Wells Fargo - Buy Back $24.5b Shares, raise divined to 43c/shr up from current 39c/shr

Board of Governors of The FRS


Global debt rose to a record $233 trillion in the third quarter of 2017. According to the most recent data (6/6/18) from the Bank for International Settlements (BIS), the total notional amounts outstanding for contracts in the derivatives market is an estimated $542.4 trillion!

Some Chart Porn

Now not so Good News

6/28/18 - Wells Fargo Class Action

In violation of the Truth in Lending Act, Wells Fargo has created and maintains a credit card program through which it actively encourages retailers to build the “fees” that these merchants must pay Wells Fargo into the regular-price of goods and services, while representing to retail consumers that the goods and services that they purchase are being financed at zero percent interest. In reality, Wells Fargo’s financing scheme results in the creation of illegal hidden finance charges, and the imposition of double-digit interest rates on consumers. (still making money the old fashion way, steal it!)

6/28/18 - Former Chief Financial Officer of Bankrate Inc. Pleads Guilty

Edward J. DiMaria, 53, of Fairfield County, Connecticut, pleaded guilty to one count of conspiracy to make false statements to a public company’s accountants, falsify a public company’s books, records and accounts, and commit securities fraud; and one count of making materially false statements to the Securities and Exchange Commission (SEC). The scheme caused more than $25 million in losses to Bankrate’s shareholders.

“The consequences of this type of financial fraud scheme are far reaching, affecting not only the economy in the United States, but also the world’s financial markets,” said Inspector in Charge Adame. “Those who engage in this type of abuse of power while in positions of authority should know they cannot escape detection.  They will be found and they will be held accountable for their actions.  The U.S. Postal Inspection Service has a long history of investigating complex financial fraud schemes, like this one, in order to protect investors and the integrity of the financial marketplace.”  (end DOJ news)

It's good to see many Banks raising dividends for shareholders and increasing capital position.  But we're not out of the woods yet, we're still seeing market manipulation which has been with us since inception and what's good about that it's being exposed.

Be careful out there and stay frosty, luck is not a factor.

Friday, June 15, 2018

President Trump to Negotiate Brexit?

The former Ukip leader Nigel Farage said he would “absolutely” advise the Tory party to get rid of Theresa May as Prime Minister. “I mean, she’s boxed herself into a position now where we will for the foreseeable future actually be in a worse position than we were before we voted to leave.  It’s ludicrous.  The potential Brexit deal is of course worse than being in the European Union."

It's obvious that the puppet masters of pro-Brussels Tories don't want Britain to exit the EU and the people of Britain want PM May sacked!

The Leader of the Opposition Jeremy Corbyn asked PM Theresa May when meeting POTUS at the G-7 did she do as the Foreign Secretary Boris Johnson suggested?

Saturday, June 9, 2018

POTUS at G-7

Quotes from POTUS: 

"We had productive discussion on having fair and reciprocal trade and market access."

"We're linked in the great effort to create a more just and prosperous world.  And from the standpoint of trade and creating more prosperous countries, I think they are starting to be committed to more fair trade.  We as a nation lost $870 billion on trade...I blame our leaders and I congratulate leaders of other countries for taking advantage of our leaders." (that's a real slap!)

"If they retaliate they're making a tremendous mistake because you see we have a tremendous trade imbalance...the numbers are so much against them, we win that war 1000 times out of a 1000."

"We're negotiating very hard, tariffs and barriers...the European Union is brutal to the United States....the gig is up...there's nothing they can say."

"We're like the piggy bank that everybody's robbing."

"I would say the level of relationship is a ten - Angela, Emmanuel and Justin - we have a very good relationship.  I won't blame these people, unless they don't smarten up and make the trades fair."

Asked if Crimea should be considered Russia now:

"You'd have to ask President Obama because he's the one who let Crimea get away.  He allowed Russia to take Crimea.  I may have had a much different attitude.
Some people like the idea of bringing Russia back in." (end quotes)

Like anything, there's the rub when the feed bag is going to be removed from politicians.  No more games folks, Putin and Trump are running the show and who's riding shotgun?  The people of the world.

Now for that clip after the briefing, seems like a Kleenex monument.

Wednesday, May 23, 2018

The Ticking Time Bomb went Boom!

Q mentions watch the news May 23rd.

“There are agents all over this country who love the bureau (FBI) and are sickened by James Comey’s behavior and Andrew McCabe and Eric Holder and Loretta Lynch and the thugs like John Brennan–who despise the fact that the bureau was used as a tool of political intelligence by the Obama administration thugs,” former federal prosecutor Joe DiGenova told The Daily Caller Tuesday. (from Zero Hedge)

“They are just waiting for a chance to come forward and testify.” (BreitBart)

Here it Comes

For starters, after President Trump was elected, President Putin (aka The Russian 'Patton') of Russia is elected for 6 more years!

President Putin's Translator

Thank You Baker

Tasty Bread on Syria (click to expand)

Listening to Admiral James Lyons Speak at the Citizens Commission on Benghazi in 2013, we knew then we had problems.

Slow Train Coming

Could use a little Sauce

Moving Forward

White collar crime undermines the rule of law, defrauds victims, and disrupts the marketplace. Our goal is to deter crime, and we can only do that by holding accountable the perpetrators who break the law to gain a competitive advantage.

Maryland Detective recognized for capturing Pedophile

Train approaching the Station

The Commander in Chief of  'The American Train' explains something.

A word from The Commander in Chief

What do We have Here?

From IgorGirkin:  За минулу добу, 28 травня, в районі проведення операції Об’єднаних сил інтенсивність бойових дій залишається стабільно високою, обстановка складною та контрольованою. шість наших військовослужбовців отримали поранення

Last day, May 28, in the area of the Joint Forces operation, the intensity of combat operations remains stable, the situation is complex and controlled.  Six of our troops were injured.

Bonus Read on The Deep State (Thanks Anon!)

Playing Board Exposed