Author Topic: WFC - Wells Fargo  (Read 382671 times)

Parsad

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Re: WFC - Wells Fargo
« Reply #40 on: October 12, 2012, 05:54:04 PM »
Yeah, they were all down today.  I guess the rally this week was a pre-earnings rally.  Everyone is hung up on Net Interest Margins being tight.  My read a few weeks ago was that operation twist should improve NIM.

Operation twist will not help, as it drives down longer term rates, so the spreads on loans and deposits narrows.  That being said, markets are ridiculously stupid about how they react to any reduction in NIM.  Loans are growing by leaps and bounds; loan loss provisions are incredibly low; banks are still making money hand over fist; capital levels are the highest in 50 years...silly reaction today.  Cheers!
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Parsad

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Re: WFC - Wells Fargo
« Reply #41 on: October 12, 2012, 06:36:52 PM »
No man is a failure who has friends!

Parsad

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Re: WFC - Wells Fargo
« Reply #42 on: October 12, 2012, 06:40:27 PM »
No man is a failure who has friends!

Uccmal

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Re: WFC - Wells Fargo
« Reply #43 on: October 12, 2012, 07:25:08 PM »
Yeah, they were all down today.  I guess the rally this week was a pre-earnings rally.  Everyone is hung up on Net Interest Margins being tight.  My read a few weeks ago was that operation twist should improve NIM.

Operation twist will not help, as it drives down longer term rates, so the spreads on loans and deposits narrows.  That being said, markets are ridiculously stupid about how they react to any reduction in NIM.  Loans are growing by leaps and bounds; loan loss provisions are incredibly low; banks are still making money hand over fist; capital levels are the highest in 50 years...silly reaction today.  Cheers!

Yes, of course.  I realize I was confusing operation twist with the latest scheme which is the 40 B/month of mortgage buying.  That Benefits banks by putting a floor on mortgage values, and providing a ready market for servicing new mortgages. 
« Last Edit: October 12, 2012, 07:36:39 PM by Uccmal »
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Parsad

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Re: WFC - Wells Fargo
« Reply #44 on: October 12, 2012, 08:45:58 PM »
Yeah, they were all down today.  I guess the rally this week was a pre-earnings rally.  Everyone is hung up on Net Interest Margins being tight.  My read a few weeks ago was that operation twist should improve NIM.

Operation twist will not help, as it drives down longer term rates, so the spreads on loans and deposits narrows.  That being said, markets are ridiculously stupid about how they react to any reduction in NIM.  Loans are growing by leaps and bounds; loan loss provisions are incredibly low; banks are still making money hand over fist; capital levels are the highest in 50 years...silly reaction today.  Cheers!

Yes, of course.  I realize I was confusing operation twist with the latest scheme which is the 40 B/month of mortgage buying.  That Benefits banks by putting a floor on mortgage values, and providing a ready market for servicing new mortgages.

Yeah Al, you are correct.  Buying mortgage bonds back is beneficial.  Cheers!
No man is a failure who has friends!

mankap

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Re: WFC - Wells Fargo
« Reply #45 on: October 13, 2012, 02:56:27 AM »
I think Fed has not started buying MBS yet.Atleast I do ot see this from this week's balance sheet.
MBS on Fed's balance sheet has not started to go up.
Once Fed starts buying MBS , it should help banks and AIG also.

http://www.federalreserve.gov/releases/h41/current/

dcollon

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Re: WFC - Wells Fargo
« Reply #46 on: October 23, 2012, 11:26:42 AM »
Wells Fargo increases share repurchase authorization
Tuesday, October 23, 2012 05:58:12 PM (GMT)


The Wells Fargo board has increased the company’s authority to repurchase common stock by an additional 200M shares.

boilermaker75

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Re: WFC - Wells Fargo
« Reply #47 on: October 24, 2012, 07:50:44 AM »
On CNBC this morning Buffett said he bought more WFC in the last week.

DCG

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Re: WFC - Wells Fargo
« Reply #48 on: October 24, 2012, 09:44:40 AM »
On CNBC this morning Buffett said he bought more WFC in the last week.

He always says that.

mysticdrew

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Re: WFC - Wells Fargo
« Reply #49 on: October 24, 2012, 09:50:21 AM »
On CNBC this morning Buffett said he bought more WFC in the last week.

Not a surprise. 
I assume he'll continue to be opportunistic and keep on buying on dips until he hits the 10% limit on ownership.