Knight 2.0: Jefferies Rescues FXCM With $300 Million Bailout, CNBC Reports

Knight 2.0: Jefferies Rescues FXCM With $300 Million Bailout, CNBC Reports (ZeroHedge, Jan 16, 2015):

In an apparent replay for 2012’s Knight Trading algo-implosion $400 million cash-infusion bailout, Jefferies (owned by NY-based I-bank Leucadia) is riding its white horse to the rescue of FXCM and its $200-million-plus client losses:

  • *LUK IN $300M DEAL TO LET FXCM CONTINUE NORMAL OPS: CNBC
  • *LEUCADIA GIVE FXCM $300M IN FINANCING CNBC

Leucadia will get $250m in senior notes as part of the deal, CNBC says. So – in summary – a central bank blew up an FX broker and a mid-market junk-bond underwriter bailed them out… must be good for a green close for the week in stocks!

No statement from either side yet.

* * *

So FXCM can back to more of the same?

1 thought on “Knight 2.0: Jefferies Rescues FXCM With $300 Million Bailout, CNBC Reports”

  1. The men from behind the sock puppets are emerging. The fact the entire world markets are controlled by a few greedy gut billionaires is now open to any with enough intelligence to look. People should look, the shadow men only emerge when things are too dire to do otherwise.

    Reminds me of going to auto auctions…….a few rich dealers bought up the majority of the good pieces, the junk went to the small players, the auction took their cut, and everyone went home.

    Big story. Bet US media isn’t covering any of it………at least in any truthful depth.

    Reply

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