WSJ headlines and questions for February 2 2011

WSJ headlines and questions for February 2 2011 - WSJ...

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WSJ headlines and questions February 2, 2011. WSJ Headline January 28. Report Details Wall Street Crisis The Financial Crisis Inquiry Commission released its 545-page report last Thursday, which painted a picture of a financial system let loose by lax regulation and careening out of control. The report comes too late to influence legislation, since the Dodd-Frank bill is already long past and the Basel III capital requirements are already in place. However, it could influence the implementation of Dodd-Frank, because the details are still being worked out by regulators. It says that more than 50 hedge funds bet short on mortgage-backed securities (MBSs) and collateralized debt obligations (CDOs), in some cases, hand picking bad mortgages to include in the pools they were betting against. A survey of hedge funds showed that short bets exceeded long bets by $45 billion to $25 billion. Hedge funds also played a role in reducing the liquidity of some financial institutions.
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WSJ headlines and questions for February 2 2011 - WSJ...

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