Last edited by ATG (2008-09-16 22:15:54)
OrangeHound wrote:
Buy.
No.TheAussieReaper wrote:
Did you also notice what the Japanese Yen was doing yesterday, ATG?
Actually it's the opposite:ATG wrote:
No.TheAussieReaper wrote:
Did you also notice what the Japanese Yen was doing yesterday, ATG?
But if my limited experience is correct mega banks in Japan are loaning/investing money and cleaning up?
Japan's central bank on Tuesday injected a total of 2.5 trillion yen ($24 billion) into money markets and issued a statement vowing to take measures to maintain stability in the country's financial markets.
Last edited by TheAussieReaper (2008-09-16 22:44:09)
Global economy is .....global.MOSCOW (AFP) - Trading halted on Russia's main stock markets when dealing was suspended for a second day on Wednesday as shares dived and officials pledged 44 billion dollars to fight collapsing investor confidence.
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Analysts said the closure was a bid by officials to buy time to let the money filter through to the market and to reassure rattled investors.
Trading was halted on both the RTS and the Micex on the orders of a Federal Service for the Financial Markets (FSFM) after the RTS fell 6.39 percent in the first two hours, exchange officials said.
The ruble-denominated Micex suspended trading after a fall of 3.09 percent, a spokeswoman said.
The RTS has now lost 57 percent since hitting an all-time high in May, a slump analysts put down to a combination of falling energy prices, global market turmoil and political issues.
After an hour of trading, the finance ministry announced in a statement that it would inject 44 billion dollars into the market via three state banks, VTB, Sberbank and Gazprom Bank.
And that is what I'm afraid of."Uncertainly is affecting all countries in the world but I think on the positive side, governments, central banks and regulators have made it clear that we will do everything that we possibly can to maintain stability in the financial system,"
Monetarists, including Milton Friedman and current Federal Reserve System chairman Ben Bernanke, argue that the Great Depression was caused by monetary contraction, the consequence of poor policymaking by the American Federal Reserve System and continuous crisis in the banking system. On this view the Federal Reserve, by not acting, allowed the money supply as measured by the M2 to shrink by one-third from 1929 to 1933. Friedman argued that the downward turn in the economy, starting with the stock market crash, would have been just another recession. The problem was that some large, public bank failures, particularly that of the Bank of the United States, produced panic and widespread runs on local banks, and that the Federal Reserve sat idly by while banks fell. He claimed that, if the Fed had provided emergency lending to these key banks, or simply bought government bonds on the open market to provide liquidity and increase the quantity of money after the key banks fell, all the rest of the banks would not have fallen after the large ones did, and the money supply would not have fallen as far and as fast as it did.
With significantly less money to go around, businessmen could not get new loans and could not even get their old loans renewed, forcing many to stop investing. This interpretation blames the Federal Reserve for inaction, especially the New York branch.