December 29

On Obama’s Sellout (Taibblog)
Mat Taibbi defends his Rolling Stone piece about Obama’s economic hires.

Fed to Offer Term Deposits to Banks (FT)
The US Federal Reserve plans to offer term deposits to banks as part of its “exit strategy” from the exceptionally loose monetary policy used to fight the recession.

Mortgage Twins Eye Delinquent Loans (WP)
To increase “the prospect of large-scale” purchases by the companies of delinquent mortgages, the US government expanded capital backstops and portfolio limits for Fannie Mae and Freddie Mac

Reviving Glass-Steagall Means Escalating ‘War’ on Wall Street (BW)
A one-page proposal gaining traction in Congress could turn back the clock on Wall Street 10 years, forcing the breakup of banks, including Citigroup Inc.

JPMorgan Sues Former Executive Accused of $2.8 Million Theft (NYT)
In a lawsuit, the bank says Hernan Arbizu arranged for the money to be wired to a customer account at his previous employer.

Morgan Stanley to Overhaul Pay (WSJ)
Morgan Stanley is poised to overhaul the way it pays its most senior executives, deferring more of their compensation over time, and benchmarking their pay against rival firms.

JPMorgan’s Dimon Called Darling to Reject Bonus Tax (BLM)
JP Morgon’s CEO Jamie Dimon told U.K. Chancellor of the Exchequer Alistair Darling that his 50 percent tax on banker bonuses would unfairly penalize the U.S. bank

Departing AIG Counsel Gets Millions (WSJ)
AIG will pay Anastasia Kelly several million dollars in severance benefits after she resigned because of federal pay curbs.

Betting Against All of Us (NYT)
The unsavory and dangerous practice of financial firms betting against their clients needs to be thoroughly investigated.

Home Prices in U.S. Probably Fell at Slower Pace, Confidence Up (BLM)
Property values in 20 metropolitan areas probably fell 7.2 percent in October from a year earlier.

Employers See Uptick in Hiring in 2010 (Reuters)
U.S. employers expect to hire more new workers in 2010 than they did in 2009, a sign the U.S. recession may be easing its grip.

The Bankers Who Wouldn’t Say Sorry: A Cautionary Tale (FT)
Martin Dickson writes a cautionary tale about ” a time when naughty boys
Would have to forfeit all their toys…”