Bear Stearns bear market

17Mar08

It’s all about Bear Stearns this morning. A sampling of the blogosphere’s take on the speedy downfall of the once-powerful firm.

Bear Stearns (BSC) sold to J.P. Morgan (JPM) for $2 a share. (WSJ.com)

This is not a bailout or a rescue, but a 98% haircut for Bear shareholders. (Big Picture)

Echoes of the Panic of 1907. (Crossing Wall Street)

“The unhappy experience of Bear Stearns proves that it is a lack of confidence, not capital, that ultimately topples even the savviest financial institutions.” (DealBook)

Focusing on the fact that Bear’s HQ building is worth in excess of $1 billion. (DealBreaker.com, Curious Capitalist)

The Fed is “pulling out all the stops” to avoid a further financial crisis. (Real Time Economics, ibid, Economist’s View)

Bear Stearns employees will take a hit on the stock. Will employee retention be an issue? (Market Movers, DealBook)

Was Bear Stearns worth saving? (Real Time Economics)

Banks need recapitalization. That requires transparency – and that someone takes losses.” (Capital Chronicle)

“This is about the most stunning collapse I’ve ever seen.” (Daily Options Report)

A timely trade in Bear Stearns puts. (TheStreet.com)

Hedge funds have not been an asset for Bear Stearns in the past few weeks. (WSJ.com, DealBook)

Bear Stearns’ book value seemingly has accrued to the benefit of J.P. Morgan.  (Alea)

Case in point. Coattail investing does not always work. (WSJ.com)

Alan Greenspan continues his campaign of trying to blame some one, any one, else for this mess. (Infectious Greed, naked capitalism)

How will this affect the Visa IPO? (FT Alphaville, DealBook)

Measuring how far down the investment bank stocks are. (Bespoke Investment Group)

Be careful out there. Please look for a traditional linkfest later today.

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