IndyMac: Capital Starvation And Deflating Assets

(From NakedCapital)
For anyone who’s remained in denial, this press release paints a clear picture of the severity of the credit crisis: Indymac can’t raise needed capital, and can only sell off assets at a loss. Part of this story is specific to Indymac, but the problem of capital starvation and deflating assets is a general [...]

Bank Modeling and Financial Derivatives To Hedge Risk Caused Credit Meltdown

As Wolfgang Münchau says in today’s FT:
If this had been a mere financial crisis, it would be over by now. The fact that we are suffering its fourth wave tells us there might be something at work other than merely financial euphoria and bad regulation.

This is true, even if you don’t buy Münchau’s assertion that [...]