Tuesday, February 2, 2010

So much for "too big to fail"

TCW and AllianceBernstein are now buying bank bonds.

“It’s understood now that decisions such as letting Lehman Brothers file for bankruptcy are so dangerous and detrimental to an economy,” said Tad Rivelle, chief investment officer for Metropolitan West Asset Management LLC and a manager of TCW funds, where he helps oversee $55 billion. He’s buying senior and subordinated debt securities of the largest financial firms because a failure is “unlikely to be repeated.”


Anonymous said...

great call on CMI and BUCY


Palmoni said...

CMI ROCKED!!!!!!!!!!!!!

Earnings hit it out of thepark!!!!!!!

What happened to those shills that sold it at 45???? What did they know???


Thanks for the kudos! It gave me an excuse to rant!!!!

Anonymous said...

What's your take on the casinos?

Still holding MGM Feb 10s. Nervous.

palmoni said...

Macau revenue was up 63% in January. Weakness today probably because they were strong yesterday, and the ISM had casinos spending down by 5.8% (hotels were down by 4.6%)

I think the ISM report got some more coverage and maybe that's what is weighing on things today

Anonymous said...

Palmoni Your bear friends seem to have disappeared!

Palmoni said...

On MGM--forgot to mention--they have increased share in Macau--supposedly because of rebates--but MGM will be doing an IPO --so increase share--on Citi's research will post later

Anonymous said...

will the IPO help the stock here?

Palmoni said...


Check out X!!!

That name is ready to rumble!

Anonymous said...

X is already rumbling...kicking myself b/c i was watching it at $44 on friday.

Anonymous said...

how mcuh higher can X go?

does the MGM IPO in Macau delever the balance sheet a little for the shares here in the US?

Palmoni said...

At least then we'll have a valuation of MGM Macau--and yes, it will help!