The Times (May 6)
With voters heading to the polls in a race that’s too close to call, The Times calls the election “historic in both style and substance.” Most had assumed the election would be “dominated by apathy and indifference.” Instead, the election has proven “deeply invigorating.” With Britain both at war and facing economic uncertainty, The Times proclaims, “this is the most important election for a generation.”
With voters heading to the polls in a race that’s too close to call, The Times calls the election “historic in both style and substance.” Most had assumed the election would be “dominated by apathy and indifference.” Instead, the election has proven “deeply invigorating.” With Britain both at war and facing economic uncertainty, The Times proclaims, “this is the most important election for a generation.”
Wall Street Journal (May 5)
Like the market, the Wall Street Journal is calling the €110 billion Greek rescue package “a flop.” Contagion has continued to spread with the euro sinking in value and European stock markets down nearly 3%. At the heart of the matter, however, lies a simple explanation: “Greece is well and truly bankrupt.” This is no mere crisis of market confidence or psychology. Greece will not be able to repay all of its debts on time.
Like the market, the Wall Street Journal is calling the €110 billion Greek rescue package “a flop.” Contagion has continued to spread with the euro sinking in value and European stock markets down nearly 3%. At the heart of the matter, however, lies a simple explanation: “Greece is well and truly bankrupt.” This is no mere crisis of market confidence or psychology. Greece will not be able to repay all of its debts on time.
Tags: Contagion, Europe, Greek crisis
New York Times (May 2)
Lashing out at Wall Street Banks is now an American pastime, but the credit ratings agencies “bear as much responsibility for the financial crisis as the banks.” Largely forgotten is the role Moody’s, S&P and Fitch played. Investors and financial institutions would never have purchased as many mortgage-backed securities and collateralized debt obligations (CDO’s) had the raters properly warned investors that these were essentially “high-tech junk bonds,” rather than triple-A securities. Current proposals aimed at reforming the ratings agencies are not enough. The newspaper supports drastic steps to improve the ratings system.
Lashing out at Wall Street Banks is now an American pastime, but the credit ratings agencies “bear as much responsibility for the financial crisis as the banks.”
Largely forgotten is the role Moody’s, S&P and Fitch played. Investors and financial institutions would never have purchased as many mortgage-backed securities and collateralized debt obligations (CDO’s) had the raters properly warned investors that these were essentially “high-tech junk bonds,” rather than triple-A securities. Current proposals aimed at reforming the ratings agencies are not enough. The newspaper supports drastic steps to improve the ratings system.
Tags: Banks, CDOs, Fitch, MBS, Moody's, NRSROs, Ratings agencies, S&P, U.S., Wall Street
