The worldwide financial crisis we don\'t notice

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The worldwide financial crisis we don't notice

Here is something that seems to be under reported, there is a worldwide financial crisis quietly happening behind the news right now.

Central banks in the U.S., Europe, Japan, Australia and Canada added about $136 billion to the banking system in an attempt to avert a crisis of confidence in global credit markets.

The Federal Reserve, in a second day of action in concert with the European Central Bank, provided $38 billion of reserves and pledged more ``as necessary,'' in a statement unprecedented since after the Sept. 11, 2001, attacks.

Money market rates rose worldwide the past two days on evidence the subprime crisis is spreading after global investors piled into U.S. securities backed by mortgages. By the end of the day, the central bank actions helped spark a turnaround in American stocks and drive the U.S. overnight bank lending rate below the Fed's target.
... Quote:
They accomplished their short-term mission to make sure the market stabilized ahead of the weekend.' It remains to be seen how much more they'll have to do.
said David Resler, chief economist in New York at Nomura Securities International Inc. ``

Much more on the site
 http://www.bloomberg.com/ap...
By netchicken: posted on 11-8-2007

Oh I noticed allright! The DJIA losing close to a 1000 points in two weeks. People notice. Heck, till last thursday we were of the opinion that the sub-prime thing had maybe gotten as bad as it got when BNP Paribas suddenly pulled a jack in the box and blew the lid off the markets in Europe. People freaked and markets tanked!

At the end of the day, this whole thing is a product of one emotion :GREED. Banks and lending houses were just too greedy to let up an opportunity to make a quick buck and bought heavily into junk bonds, sub-prime mortgages etc and over leveraged themselves to their LBO clients. They became so greedy that corporates became greedy'er and double leveraged themselves to buy out other companies. Imagine companies worth $5 million were trying to buy companies worth $10 or 15 million without having any cash in the bank! They took loans against their fixed assests and then issued bonds against the free capital of their target companies to cover their M&A activity at ridiculous rates. It all boils down to greed! As they say, there is no such thing as too much when it comes to money.
By IAF: posted on 12-8-2007

... Quote:
TOKYO, Aug. 13 (AP) - (Kyodo)—Tokyo stocks opened lower Monday amid continued concern over global credit markets.
In the first 15 minutes of trading, the 225-issue Nikkei Stock Average fell 38.54 points, or 0.23 percent, to 16,725.55. The Topix index of all First Section issues on the Tokyo Stock Exchange was down 4.44 points, or 0.27 percent, to 1,629.49. The Second Section fell.

Stocks extended their losses after falling sharply Friday in the face of turmoil on global financial markets.


the rest.....
http://www.breitbart.com/article.php?id=D8QVQFPG0&show_article=1&catnum=0
By Thomas_Crowne: posted on 13-8-2007

I'm not too sure what this means, but its been published on Reddit.com

 http://finance.google.com/f...

Who is the The SCO Group, Inc. group?

Comments here
 http://reddit.com/info/2ers...
By netchicken: posted on 14-8-2007

The SCO Group, Inc. owns the UNIX operating system technology and is a provider of UNIX-based products and services. The Company's core business is to sell and service its UNIX software products to small to medium-sized businesses and franchisees or branch offices of Fortune 1000 businesses.
By IAF: posted on 14-8-2007

Learn from the fall of Rome, US warned

By Jeremy Grant in Washington

Published: August 14 2007 00:06 | Last updated: August 14 2007 00:06

The US government is on a ‘burning platform’ of unsustainable policies and practices with fiscal deficits, chronic healthcare underfunding, immigration and overseas military commitments threatening a crisis if action is not taken soon, the country’s top government inspector has warned.

David Walker, comptroller general of the US, issued the unusually downbeat assessment of his country’s future in a report that lays out what he called “chilling long-term simulations”.

These include “dramatic” tax rises, slashed government services and the large-scale dumping by foreign governments of holdings of US debt.

Drawing parallels with the end of the Roman empire, Mr Walker warned there were “striking similarities” between America’s current situation and the factors that brought down Rome, including “declining moral values and political civility at home, an over-confident and over-extended military in foreign lands and fiscal irresponsibility by the central government”......

 http://www.ft.com/cms/s/80f...

And now it begins. Banks are closing their doors and refusing to allow withdrawals from accounts that is what the French Bank did last week as well as a major German Bank now it is happening in Chicago USA. Who couldn't see this coming ?????

Aug. 14 (Bloomberg) -- Sentinel Management Group Inc., the Illinois-based cash-management firm that oversees $1.6 billion, froze client withdrawals after saying that credit-market turmoil made it impossible to trade without incurring losses.................

Enlarge Image
The headquarters of the European Central Bank

Aug. 14 (Bloomberg) -- The European Central Bank said it will offer cash to banks for a fourth trading day to avert a crisis of confidence in credit markets. ........

 http://www.bloomberg.com/ap...

And if Wal-Mart is losing money that means that the middle and lower classes are running out of it.

 http://biznes.onet.pl/5,158...

TUT
By TUTUTKAMEN: posted on 15-8-2007

... Quote:
Drawing parallels with the end of the Roman empire, Mr Walker warned there were “striking similarities” between America’s current situation and the factors that brought down Rome, including “declining moral values and political civility at home, an over-confident and over-extended military in foreign lands and fiscal irresponsibility by the central government”.


Says it all.
By Thomas_Crowne: posted on 15-8-2007

Well what spooks me today is that "W" is on vacation in Texass Bad crap usually happens when the drug store cowboy is down there. Brace yourself is all I can say.

TuT
By TUTUTKAMEN: posted on 16-8-2007

Wow Tut, and he isn't just a nobody, but has a serous role, so his reputation is on hte line wiht comments like that.

Seems like a global crisis is happening this morning. Our currency is dropping fast against the $US (which is good)
... Quote:
The Kiwi dollar has nosedived into a "scary" freefall, plunging by US3 cents, while the sharemarket has taken another hammering, wiping hundreds of millions away in a black day for investors.

The currency suffered the biggest slump in 20 years amid panic selling yesterday, crashing as low as US68.2c before rebounding slightly.

ANZ Bank is now predicting the dollar could fall below US60c.

 http://stuff.co.nz/4167266a...
By netchicken: posted on 17-8-2007

^^Carry trade unwinding no worries there, just some good correction!
By IAF: posted on 22-8-2007








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