BAILOUT CHIEFS FACE HOLLYWOOD PARADE April 8, 2010 HERE’S betting that the key players in the downfall and rescue of the US banking system never believed they’d have it so good. After countless sleepless nights and stress-soaked days, it’s probably fair to say that policymakers and bank bosses weren’t looking their best when they emerged, battered and bruised, on the other side of [...]
Wall St slides on Fed rate concerns April 7, 2010 US STOCKS fell in a broad late-day drop yesterday after a top Federal Reserve official said interest rates should not stay low for much longer, giving investors an excuse to take profits. A speech by Kansas City Federal Reserve Bank President Thomas Hoenig drove afternoon selling after he said keeping interest rates too low for [...]
Greenspan defends record April 7, 2010 FORMER Federal Reserve chairman Alan Greenspan came under fire for failing to take measures to prevent the financial crisis yesterday, but defended himself by arguing banks – not regulators – were to blame. In a heated appearance at the Financial Crisis Inquiry Commission in Washington, Greenspan insisted reckless mortgage lending and the securitisation of home [...]
Bernanke: US economy is not out of the woods yet April 7, 2010 THE US economy still faces significant headwinds, including a housing sector that has yet to recover convincingly and an ailing employment market, Federal Reserve chairman Ben Bernanke said yesterday. In a speech that suggested the central bank chief was in no rush to begin raising interest rates, Bernanke outlined a number of challenges to the [...]
The biggest Mad Man in the world still retains a close eye for detail April 7, 2010 This downturn is evidently really beginning to get on the nerves of WPP chief executive Sir Martin Sorrell. He says: “People’s expectations have shifted. Company profits were down 30 per cent in 2008, now that they were only down, say, 13 per cent last year, they are calling that good. But if profits keep falling [...]
Fed says rates could stay low April 6, 2010 THE Federal Reserve could keep interest rates ultra-low for even longer than investors expect if the economic outlook worsens or inflation drops, minutes from the central bank’s last meeting suggested. The minutes of the Fed’s March gathering showed lingering concern about the economy’s prospects, with policymakers indicating they were in no hurry to raise interest [...]
S&P 500 boosted by lift for bankers April 6, 2010 THE S&P 500 and Nasdaq rose modestly yesterday as the banking sector got a lift from positive analyst comments, while minutes from the Federal Reserve’s last meeting eased concern over rising rates. The minutes suggested the central bank could keep interest rates at ultra-low levels longer than investors have anticipated if the economy worsens. Lower [...]
Five tips for traders in the second quarter April 5, 2010 THE first quarter of 2010 was a rocky one. We had confirmation that the British economy exited recession in the last three months of 2009 but political polls increasingly pointed towards a hung parliament come the general election. The Eurozone suffered dreadfully from the Greek fiscal crisis and fears grew that its woes could spread [...]
FOREX FLASH March 30, 2010 CHINESE REVALUATION SAGA CONTINUES BlueGold Capital Management’s Stephen Jen said yesterday in a client note that China may refloat the yuan next month to counter the criticism that it is giving its exporting firms an unfair advantage. A revaluation “should help diffuse much of the risks associated with trade protectionism and allow China to resume [...]
CITI SELL-OFF REAPS $9BN PROFIT March 29, 2010 AMERICAN taxpayers stand to nearly double their profit from the bailed-out Wall Street banks after the US Treasury said it would sell its entire stake in Citigroup yesterday. The US government will reap up to $8.8bn (£5.9bn) if it manages to offload the shares at yesterday’s opening price of $4.39, a four-month high. The profit [...]