January 18, 2008
AMBAC Ack! MBIA DOA?
MBIA, Ambac Tumble, Default Risk Soars After Losses
“New York-based Ambac dropped 52 percent and Armonk, New York-based MBIA fell 31 percent as Moody’s Investors Service and Standard & Poor’s increased their scrutiny of bond insurers. Credit-default swaps on both guarantors rose to records, signifying investors see a growing chance that the companies won’t be able to pay their debt.”
Cat: | Time: 9:23 am (utc+8)
January 18th, 2008 at 10:12 am
Ackman = correct
January 18th, 2008 at 10:49 am
Mike: Right, Ack!man is the ax on ABK. :)
January 18th, 2008 at 2:46 pm
Back in Oct. I bought Jan and Feb 25 ABK puts and Jan and Feb 35 MBI puts and have been feeling pretty smug about it until today - I sold all my Jan contracts yesterday.
I also bought Jan 200 AAPL calls back then as well. Ouch.
January 18th, 2008 at 6:29 pm
Cap: I knew this post would drag you out of the woodwork to proclaim your brilliance! :) Nice work but you still have less money than Ack!man.
January 19th, 2008 at 12:51 am
Brilliance!? I appreciate the sentiment, but I sold those jans 18 hours before they both tanked 50%+. Dummy is more like it.
The collapse of MBI and ABK is going to really hurt some of the Ibanks, two in particular, good shorting opportunities.
Matter of fact, the number of potential trades right now is huge, but that’s OT and results in a trip to the wood shed. :-)
January 19th, 2008 at 8:06 am
Cap: Ah, the time difference confused me, my yesterday is your day before yesterday … that’s some bad luck for you… but you must have still made a bundle.