In the past two weeks there has been ten heads of banks stepping down from their posts! With all of these resignations happening in such a short time, is it possible that they know something big is coming? Some cite political disagreements, others personal reasons, others cite policy reasons... but it still makes one wonder what is going on behind the scenes.. especially after the resignation of Zellick from the World Bank.
No worries for them, they are cashing in their chips and heading out the door.
Sort of puts a different kind of spin on the term "bank run".
Check this out.
2-06-12: Dhanlaxmi Bank CEO Amitabh Chaturvedi quits
2-10-12: Tamilnad Mercantile Bank MD resigns
2-13-12: Kuwait central bank chief resigns amid political tensions
2-14-12: Nicaragua Central Bank Head Quits Amid Row
2-15-12: World Bank President Zoellick Resigns
2-15-12: Slovenia’s Two Biggest Banks’ CEOs Step Down as Woes Mount
2-16-12: CFO of ANZ Bank Resigns Amid Turmoil
2-16-12: Andrew Chick to lead Royal Bank of Scotland's Australian arm - Stephen Williams quits.
2-17-12: Credit Suisse’s Private Bank Chief Asian Economist Tan Resigns
as well as these two important changes:
2-17-12: Blankfein out as Goldman Sachs CEO by summer?
2-18-12: Embarrassment for Merkel as German president resigns in disgrace after trying to bag the press
Looks like the rats are deserting the ship... if you know what I mean.
... and in case you are wondering... here is why the Dow just passed 13,000.
it is entirely due to the nearly $7 trillion pumped by global central banks into the world stock markets just in the past 4 years.
Just remember... the US dollar has lost 1/3 of it's value since 2008,and 40% since 2007. In 2007 a 14,000 high market would be 23,300 in today's devalued dollars. 13,000 is 55.8% of the 2007 high. So the market is still down 44% (these numbers were provided by a commenter over at Zerohedge)
What we are seeing in the market is the effect of inflation... not an improving economy or an improving business environment.
Just ask any remaining citizens of the Weimar Republic. They know all too well about exponential stock market rises. They also know absolutely everything about the self-delusion that comes with chasing NOMINAL numbers.
More interesting reading/links here.