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LORD COPPER: Reality will bite back

January 23, 2012 - 15:07 GMT Location: London

KEYWORDS: Lord Copper , LME , aluminium stocks , RBS , Lloyds-HBOS , banks

I’ve been thinking about reality recently. For example, here in the UK, we have been treated to the stomach-churning hypocrisy of Her Majesty’s Opposition complaining about the behaviour and treatment of bankers.

Get real. You were the ones who gave a knighthood to the ceo of Royal Bank of Scotland, which had to be bailed out, and you were the ones who nodded through the value-destructive Lloyds-HBOS banking merger – with a nudge-nudge, wink-wink that the Monopolies Commission would keep quiet. On the other side, we have the government telling us cash bonuses at (quasi-) state-owned banks will be limited to £2,000. Yes. And the implication of that is that anything else would be in stock. Well, at the current bombed-out prices both RBS and Lloyds currently fetch, I guess most recipients wouldn’t be too disappointed with that. Let’s not prejudge things, but with the implicit guarantee (that we all know is there) of support from the government (more...

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Comment & analysis

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