Sweets & Peanuts(S & P)

Sweets & Peanuts were served on Wall Street and the stocks jungle were swinging with joy otherwise which it will be dragged by the Carlyle Capital Corp., a publicly traded fund.

The company said earlier it received margin calls totalling more than US$37mil on Wednesday and expected at least one more default notice.

Some of its residential mortgage-backed securities (RMBS) had been liquidated by lenders and that additional margin calls and increased collateral requirements “would be significant and well in excess of the margin calls it received Wednesday.

Listed on the Amsterdam exchange last July, CCC invests in products including investment grade mortgage-backed securities.
As of last month, CCC had a US$21.7bil investment portfolio of AAA-rated floating rate capped US mortgage-backed securities issued by Fannie Mae and Freddie Mac.

Carlyle Capital pledged the mortgage-backed securities as collateral for the loans. But the value of the securities plummeted as U.S. home prices fell and foreclosures surged, prompting the banks to notify Carlyle that a capital infusion was necessary to offset the sharp decline in the fund's value.

The fund said late Monday that banks had already sold $700 million of its securities, on top of $5 billion that were previously sold. Carlyle Capital is seeking to modify the terms of the fund's loans to prevent the liquidation of the remaining $16 billion of assets.
Carlyle Capital Corp. is one of 55 funds managed by the Washington-based Carlyle Group, one of the largest private equity firms in the world with $76 billion in assets.
Carlyle Capital is registered in the United Kingdom but managed by New York-based executives. It was the first Carlyle fund to go public, at $19 a share in July on the Euronext exchange in Amsterdam.

Tracking the Dow on Thursday,13/03/08

Standard & Poor's positive comments help lifts the market from its hell again.

The market rebounded and ended the day with a small dragonfly doji.The ultimate target for a safe landing will be penetrating the Bear main pivot..

The spinning dragonfly's body has engulf the previous day's shooting star and is poised for further recovery.The long shadow beneath the spin is something to be wary about as it can also cover back that position.