[alingtonsky]

January 21, 2010 12:44 PM EST

On the same day Goldman Sachs (NYSE: GS ) reported record profits, President Obama dropped a bomb on Wall Street. Obama is proposing limits on the size and scope of the nation's largest banks to put an end to "risky practices that contributed significantly to the financial crisis."

The news has sent shares of the largest U.S. banks lower.

....


StreetInsider.com - Obama Declares War on Wall Street

giovedì 21 gennaio 2010 18:52
...

Obama si è fatto promotore di nuove regole per impedire alle banche, o alle istituzioni finanziarie a cui fanno capo delle banche, di possedere, investire o sponsorizzare un hedge fund o un fondo di private equity.
Le norme, inoltre, impedirebbero alle istituzioni finanziarie dI realizzare operazioni di trading proprietario, ovvero effettuate con i fondi della banca, salvo quelle funzionali ai clienti.
Un funzionario della Casa Bianca, dopo il discorso di Obama, ha rimarcato il concetto: le banche potranno realizzare operazioni di trading proprietario soltanto se legate al business dei clienti.

http://borsaitaliana.it.reuters.com/...60K2BY20100121

Sarebbero regole dannose per banche USA che ricavavano utili da trading proprietario.

Così si renderebbe meno redditizia l' attivita di varie banche USA

[alingtonsky]

JANUARY 21, 2010, 2:30 P.M. ET

NEW YORK (Dow Jones)--Bank bonds weakened Thursday as the government's proposal to limit large banks' size and risk-taking outweighed a strong earnings report from Goldman Sachs.
The White House's proposal could force institutions to choose between commercial banking and proprietary trading in an effort to put a cap on how large the firms can grow. That caused risk premiums on bank bonds to widen and sent the cost to protect them sharply higher.
The plan aims to prevent commercial banks and institutions that own banks from owning and investing in risky hedge funds and private equity firms, and limit the trading they do for their own accounts. That wasn't welcome news for banks that have generated a bulk of their profits from their trading businesses.
"At first take, I think this is more of a populist move for political reasons," said David James at Wall St. Access, a broker-dealer in New York.


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Goldman's credit default swaps were also wider. The annual cost of protecting a notional $10 million of the bank's bonds against default for five years is $120,000 versus a price of $88,000 directly following earnings, and $98,000 on Wednesday.
James said that he expects risk premiums on Goldman Sachs to "most likely hold at that level and creep back in as the dust settles."
Goldman underwrote $225.8 billion in dollar denominated debt in the capital markets in 2009, according to data provider Dealogic. That's an increase from the $135.7 billion the bank was responsible for underwriting in 2008.
The new rules could hurt Goldman's bottom line, as restrictions on trading could put a dent in the bank's profit--a majority of which has been generated from its trading franchise.
....

3rd UPDATE: Bank Bonds Slip Amid Government Overhaul Proposal - WSJ.com

[alingtonsky]

secondo un sondaggio di bloomberg il 77% degli investitori USA pensa che Obama sia troppo contro gli affari, il business. E' anche messa in discussione la capacità di Obama di fronteggiare la crisi

Jan. 22 (Bloomberg) -- U.S. investors overwhelmingly see President Barack Obama as anti-business and question his ability to manage a financial crisis, according to a Bloomberg survey.

The global quarterly poll of investors and analysts who are Bloomberg subscribers finds that 77 percent of U.S. respondents believe Obama is too anti-business .....

Obama Seen as Anti-Business by 77% of U.S. Investors (Update1) - Bloomberg.com