Reports about the profits that
Deutsche Bank is supposed to have made (where can we finally expect to see a hard copy of dollars and cents?) are
simplistic to say the least. Of course, ALL trading houses will (hopefully) have made money from 'Libor trades'. The alternative would have been to have lost money in these trades. But as even any intern serving in an investment firm knows, that does not mean that any profit has been made in an improper fashion. Have any of the critics in the media, politics and regulators even had a good look at the acres of office space trading desks occupy? do they know how many different desks and investments are linked to Libor? Then they would understand that even the efforts of a group as large as the (supposed) group of UBS staffers can hardly have shifted the actual Libor rates produced collectively by ALL the contributing banks by more than a tiny amount. And even within UBS, for example, there would have been winners and losers on any given day, just that the people responsible for Libor quotes may have gained a small advantage at their expense. But for that I still would like to see actual proof and not general displays of shock, horror etc
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