Archive for the 'Economy' Category
U.S. Banks Brace for Storm Surge as Dollar and Credit System Reel
September 18th, 2007If all of this is still a bit baffling, spend some time with this excellent piece by Mike Whitney. Via: Counterpunch: By now, you’ve probably seen the photos of the angry customers queued up outside of Northern Rock Bank waiting to withdraw their money. This is the first big run on a British bank in […]
Gold Rallies on Rate Cut
September 18th, 2007😉 Via: Bloomberg: Gold futures rose to a 27-year high after the Federal Reserve cut interest rates, sending the dollar to a record low against the euro and boosting the appeal of the precious metal as a currency hedge. The Fed lowered its benchmark rate by 0.5 percentage point, more than economists forecast, to 4.75 […]
U.K.: Strong Decline in Housing Prices
September 18th, 2007Could the top finally be in on that thing? Via: in2perspective: The Rightmove monthly report shows a 2.6% decline in house prices across England and Wales in the last month. Rightmove, the largest advertiser of property for sale in England and Wales, has published figures showing the largest monthly fall in asking prices since the […]
OIL RECORD
September 18th, 2007Another eddy current to add to the perfect storm. Via: IHT: Oil prices climbed to a fresh high above US$81 a barrel amid hopes that the U.S. Federal Reserve will cut a key interest rate later Tuesday, a move the market believes would bolster the economy and strengthen petroleum demand in the world’s largest energy […]
Collapsitalism: What I’d Keep in My Collapse Portfolio
September 18th, 2007WARNING: This is not a recommendation to buy, sell or hold any financial instrument. NOTE: I am a BullionVault client and affiliate. I have no relationship with Everbank. I have no relationship with Powershares. I hold gold, U.S. dollars and New Zealand dollars. – – – – – Becky and I don’t have much money […]
U.S. Treasury Secretary: Prepare for Prolonged Turmoil
September 18th, 2007Does anyone understand the French connection here? Via: Times Online: Investors should brace themselves for a prolonged period of market turmoil, Henry Paulson, the US Treasury Secretary, said yesterday as he held emergency meetings with the Chancellor and the French Finance Minister. Mr Paulson flew to London to discuss the financial crisis with Alistair Darling […]
EMERGENCY: U.K. GOVERNMENT TO COVER 100% OF DEPOSITS
September 18th, 2007WARNING: This is not a recommendation to buy, sell or hold any financial instrument. An overnight shift in policy from covering roughly £30,000 worth of deposits to 100% of deposits!? Sterling holders, consider reducing or eliminating your exposure to GBP denominated assets immediately. If a bank CEO tells me not to panic, I’d remove my […]
Alliance & Leicester Denies Problems After Shares Plunge
September 18th, 2007Remember the roughly $1 billion dollar bet that the Eurostoxx 50 index would decline sharply in September? Those put options expire on the 21st. What follows is almost certainly worthless rambling, but I’m going to do it anyway, just in case: Let’s assume that the option bet isn’t simply cost-of-doing-business hedging for some large fund. […]
Greenspan Says Euro Could Replace U.S. Dollar as Reserve Currency of Choice
September 17th, 2007Via: International Herald Tribune: Former U.S. Federal Reserve chairman Alan Greenspan said it is possible that the euro could replace the U.S. dollar as the reserve currency of choice. According to an advance copy of an interview to be published in Thursday’s edition of the German magazine Stern, Greenspan said that the dollar is still […]
NORTHERN ROCK SHARES HALTED
September 17th, 2007Can’t sell your Northern Rock shares? Try again later. Via: Reuters: Shares of Northern Rock PLC, one of Britain’s largest mortgage lenders, tumbled another 30 percent Monday as customers, driven by fears of insolvency, made a run on the bank and withdrew billions. Treasury Secretary Alistair Darling sought to assure depositors that their money was […]
