Here's how a "Business Highlights" item at the Associated Press summarized the situation between Timothy Geithner and London banks whose officials had admitted to rigging the London Interbank Offered Rate ("Libor") on Friday evening: "The Federal Reserve Bank of New York released documents Friday that show it learned five years ago of big banks understating their borrowing costs to manipulate a key interest rate. The documents also show Treasury Secretary Timothy Geithner, who was then president of the New York Fed, urged the Bank of England to make the rate-setting process more transparent."
Today, Charles Gasparino at the New York Post called total BS such pathetic media spin (bolds are mine):
In a report filed at the Los Angeles Times's Politics Now blog earlier today, Washington Bureau reporter James Oliphant relayed a number of whoppers delivered by Vice President Joe Biden without anything resembling a challenge. In Part 1, I noted how Biden, who in August described Tea Party sympathizers as "terrorists" and in September as "barbarians," today spoke in complimentary terms of how much the Occupy Wall Street crowd has in common with them. In Part 2, I dealt with the Veep's hit at financially struggling Bank of America for having the nerve to try to recover some of what the Dodd-Frank "financial reform" legislation took away by charging some customers a $5 monthly fee for debit-card use.
This final part will deal with Biden's rendition of how the "bank bailout" portion of TARP operated, which is quite different from the reality. The relevant excerpt from Oliphant, which necessarily overlaps the first two parts, follows (bolds are mine throughout):
One day before what many say will be an historic election; CNBC appears to finally be embracing one of the most famous moments in the network’s history: A Feb. 19, 2009 “rant heard around the world” by CME Group floor reporter Rick Santelli, which is credited by many for igniting the Tea Party movement.
Throughout the day on Nov. 1, CNBC aired a 30-second spot encouraging viewers to tune into its network for election night coverage. The promo said to tune to CNBC “when the economy is topic A” and concluded with part of Santelli’s famous rant, “President Obama, are you listening?”
Earlier today, NB's Lachlan Markey covered Bill O'Reilly's interview with the Fox Business Channel's Charles Gasparino.
In that interview, Gasparino confirmed what the New York Post reported in April of last year, namely that "GE Execs Encouraged CNBC Staff to Go Easy on Obama."
The suits at GE, including Chairman Jeff Inmelt, had a clear motivation for encouraging their reporters to lighten up, namely that "General Electric at the time was hoping to profit handsomely from policies that would benefit a few companies, including GE, at the expense of the majority of the economy"-- specifically cap and trade.
But speaking of motivation: What about former CNBCer Gasparino's?
The easy answer would be that sometime in the past two years he has seen the light and realizes his past reporting at CNBC was lacking in fairness and balance. Despite his move to Fox, there's reason to doubt that.
"I always wanted to work for Fox," Gasparino said. "That was the bottom line. And it's, you know, I don't take chances with stories, but, there is an entrepreneurial spirit in me where I want to do something different. I would like to build something, be part of building something and that is why I came."
A year later, a report on ABC's June 4 "World News with Charles Gibson" is seemingly championing that cause. Before a single criminal charge has even been filed, senior justice correspondent Pierre Thomas was already showing footage of jail cells. Thomas blamed Mozilo for being the "catalyst" of the housing crisis.
"Investigators say Mozilo was selling $140 million in stock as Countrywide imploded," Thomas said. "To many, Mozilo, known for his deep tan and aggressive style, was the king of subprime mortgages - those risky loans that were the catalyst for the housing meltdown. Mozilo, the son of a butcher from The Bronx, has always maintained publicly that he's never misled anybody."
The stock market is casting a vote of "no confidence" in Barack Obama (D-Ill.) and his Republican opponent is missing an opportunity to slam the freshman senator for an economic agenda that is a rehash of the worst of Presidents Herbert Hoover and Jimmy Carter.
So argued on-air editor Charles Gasparino in an October 13 op-ed in the New York Post, where the CNBC talent mentioned that even Obama's Wall Street backers are nervously telling him to change course on his economic plans (emphases mine):
Overall, his [Obama's] plan includes some of the most lethal tax increases imaginable, including a jump in the capital-gains rate. He'd expand government spending massively, with everything from new public-works projects to increases in foreign aid to a surge in Afghanistan - plus hand out a token $500 welfare check that he calls a tax cut to everyone else.
This is clearly the wrong way to go in the wake of an economic meltdown- yet Obama, for all his talk of how willing he is to compromise, of how he'd bring people together, is sticking to his tax guns.
I know at least one top Wall Street executive, an Obama supporter from the start of his campaign, who has recently urged Obama to rethink his tax plan - and that was before last week's record losses on the Dow.