BEIJING, Dec. 26 (Xinhua) — Yi Gang, a senior official of China’s central bank, said Friday that the nation’s economic fundamentals are “in good shape” and urged people to have faith in the country’s growth.
Yi, vice governor of the People’s Bank of China (PBOC), said his assessment is based on the balance sheets of residents, [...]
NEW YORK (Reuters) - Jim Rogers, one of the world’s most prominent international investors, on Thursday called most of the largest U.S. banks “totally bankrupt,” and said government efforts to fix the sector are wrongheaded.
Speaking by teleconference at the Reuters Investment Outlook 2009 Summit, the co-founder with George Soros of the Quantum Fund, said the [...]
A future out of control, bankrupt financial institutions trying to hold on, limitation on credit severely limits ability of the economy to start up again, debt totally embraces our lives, handouts a state secret, soon cash infusions wont work for banks anymore, banks hold too much toxic garbage to even know if they are solvent [...]
George Washington’s Blog
Tuesday, Dec 09, 2008
The Bank for International Settlements (BIS) is often called the “central banks’ central bank”, as it coordinates transactions between central banks.
BIS points out in a new report that the bank rescue packages have transferred significant risks onto government balance sheets, which is reflected in the corresponding widening of sovereign credit [...]
(J. Ronald Trost in the NY Times DealBook) The American automobile industry is too big to fail. The loss of jobs and the adverse impact on the suppliers and perhaps many financial institutions is simply too great not to be addressed. The private capital markets cannot solve the problem. Federal government assistance is needed.
What are [...]
Without a very strong manufacturing base where “real wealth” is created this system will be doomed.
The stock market is not a true measure of wealth creation, it’s a game for the Oligarchy and yes, an average investor can have some limited success playing the stock market game but ultimately the success will be fleeting.
How can [...]
The unabated greed that we have seen in executive compensation while having no growth in wages for the working class has only made the gap in wealth greater. An nation that wants to prosper must have a growing middle class and our country continues to go in the wrong direction. Having a structure where the [...]
Suddenly, our consumer society is doing a lot less consuming and slaming the door on the ” Buying Binge ” we’ve been on in the last few years! The numbers are pretty incredible. Sales of new vehicles have dropped 32 percent in the third quarter. Consumer spending appears likely to fall next year for the [...]
“”It really is business as usual. We are encouraging them now to be more creative,” Lockhart told a ballroom crowd at the Urban Land institute fall meeting here. “In this marketplace we really need Fannie and Freddie to provide liquidity and support.”
Although the government takeover of Fannie and Freddie, which included for each a $100 [...]
Was listening to a few podcasts tonight: Disciplined Investor and Bloomberg. I’m getting the distinct feeling that all the bailout plans are simply being applied directly to insolvency issues.
The financials with their credit multipliers and all the markets and equities they helped inflate around the world have run out of the speculative greed and [...]
Paul J. Vigna writes:
The U.S. government, despite a massive support operation that’s largely merged the balance sheets of the banking system with the Federal Reserve, lacks the resources to solve the credit crisis, Sempra Metals economist John Kemp writes, as relayed by FT’s Alphaville. “The scale of the rescue operation will strain the Fed’s and [...]
BOSTON (MarketWatch) — Investors were set to focus on banking stocks again after Citigroup Inc. and Merrill Lynch & Co. reported more quarterly losses Thursday, one day after the financial sector saw a double-digit percentage decline.
Markets have had plenty of earnings reports to comb through this week, and investors are trying to decide whether more [...]
Making sense of the bailout:
Hello People. I am trying to make sense of this bailout and I have a thought process. Please correct me if I am wrong. So here it goes:
Say I am a financial institution with $500 worth of assets of which $400 are my Level 3 assets. Now suddenly I find counterparties [...]
I am very worried about the bank bailout plan being passed by Congress. It posed the risk of lowering the value of the dollar, busting the national debt, and may not even work. At the same time there are alternatives.
Because of this $700 billion plus bailout bill over the next two years you can expect [...]
Some are horrified at the prospect of putting $700 billion in public money on the line. Others are outraged that Wall Street, home of the eight-figure salary, may get rescued from the consequences of its real estate bender, even as working families give up their houses to foreclosure.
Most economists accept that the nation’s financial crisis [...]
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