On Barclays scavenging Lehman’s corpse and tasty entrails

Hobbes, Bob Diamond did it again. Buy on dips, sell on rallies, they recommend you, and it seems that we are enjoying the mother of all deeps. AIG, Lehman Bros, HBOS, you name it, the castle of cards is being blown away by the winds of change. Well maybe the lack of spare change.

Why get the sinking ship if she can be bought empty of wet furniture and expensive staff? For a reported $1.75bn, Bob’s Barclays has pocketed Lehman’s North American investment banking and trading unit, its New York headquarters and two data centres. And still aiming at other profitable Lehman’s pick’n’mix assets.

But at least, at a massive discount, stockholders of the troubled firms (other than Lehmanians) have been able to sell, at a loss, but sell they have by the bucket.

If trading and investing conditions in Russia weren’t difficult enough, Moscow’s stock exchange has been shut down for the last two days, with no signs of opening any time soon… At $90 the barrel, I think KGB and Co. are playing with fire. I wonder how long it will take for the average pro-Putin citizen to bite the feeding hand of nationalism.



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