Pacific Tribune
Gathering Art and Lifestyle News about Issues for the Pacific Basin
China calls again for a worldwide currency
Friday, June 26th, 2009U.S. Stocks Drop as Savings Rate Hits 15-Year High, Oil Falls – Bloomberg.com
June 26 (Bloomberg) — U.S. stocks fell as the highest American savings rate in 15 years spurred concern that spending will slow, while falling oil drove down energy producers. The dollar dropped after China’s central bank reiterated a call for a worldwide currency.
Deepening US Financial Crisis: China Daily viewpoints
Thursday, October 9th, 2008China cuts rates to ward off slowdown
China, following other economies, cut the benchmark deposit and lending rates by 0.27 percentage point Wednesday to anchor its economy amid a worsening global financial crisis. Fed’s Emergency Rate Cut 
Japan Stocks Dive 9.4% Iceland on Brink of Bankruptcy World Economy to Slow Sharply Full Coverage
Japan Stocks Dive 9.4% Iceland on Brink of Bankruptcy World Economy to Slow Sharply Full Coverage
Black Monday
Monday, September 15th, 2008Lehman Brothers, Merrill Lynch: Wall Street awakes to 2 storied firms falling
NEW YORK — In a stunning reshaping of America’s financial landscape, two venerable Wall Street firms fell from the shock waves of a credit crisis that has plunged the financial system into turmoil, as stocks tumbled across the globe Monday in response.Lehman Brothers, a 158-year-old bank burdened by $60 billion in soured real-estate holdings, filed for federal bankruptcy protection in U.S. Bankruptcy Court after attempts to rescue firm failed. Bank of America Corp. said it is snapping up Merrill Lynch & Co. Inc. in a $50 billion all-stock transaction.
MORE:
Dealbreaker Editor: “Wall Street Is Broken”
McCain Advisor Thinks the economy is doing okay
The financial crisis was predictable – and predicted
US bailout ‘positive’ move for markets – analysts
Tuesday, September 9th, 2008The first article is an article from China, the nation that holds the most paper on the USA. The following links are more info on the same subject.
US bailout ‘positive’ move for markets – analysts
The government takeover of beleaguered mortgage finance giants Fannie Mae and Freddie Mac will benefit its debt holders, but could pose questions for major holders of US treasury bonds, such as China and Japan, analysts said.But the central bank described the move as positive. “Chinese investors have a certain amount of exposure” to the companies, Zhou Xiaochuan, governor of the central bank, said Monday.
The US is experiencing a breakdown of the dollar system
Thursday, April 17th, 2008Full story here: Bangkok’s Independent Newspaper
The NationThe US is experiencing a breakdown of the dollar system that is similar to the 1971 breakdown of the Bretton Woods system of international monetary management, says an authoritative US financial report.
“The breakdown of the US-dollar system has gone from slow to moderate in pace, and there is a significant risk of an acceleration in the coming months,” said the report, which was released earlier this month.
With extreme provisions of liquidity, investors are now extremely bearish for the dollar, which still has ample room to fall further.
“While the global nature of financial markets means that financial problems are affecting every major developed economy, the US consumer is at the centre of this current crisis,” it said.
“The change from having extremely easy access to credit to almost none has been most extreme in the US. All the entities that rely on the US consumer, from smaller US businesses to US commercial real estate to municipalities, are under significant strain. In aggregate, the amount of US-dollar-denominated debt that is trading at historically high spreads is huge, and it is likely that the Fed (and the US government) will have a lot more heavy lifting to do to keep the financial system and the economy from a severe contraction.
“The implications for the balance of payments are very negative as well, and the US is at the edge of a full-blown balance-of-payments crisis.”
Despite the magnitude of the financial crisis, the US faces the daunting prospect of attracting foreign capital with its economy contracting.
Last year, foreign and sovereign funds were quick to snap up distressed US assets at bargain value, but they may have moved in too quickly.
“Ultimately, the US balance-of-payments situation means that either a combination of a deep contraction in US consumption and a much larger decline in the dollar will occur or American households will keep going deeper into debt. But American households can’t keep going into debt, because they can’t handle the debts they [already] have, and lenders don’t want to continue to aggressively lend to them,” the report said.
Fourth-largest US bank resorts to emergency fundraising
Monday, April 14th, 2008Not a good start for a Monday morning.
Fourth-largest US bank resorts to emergency fundraising | Business | guardian.co.uk
Fourth-largest US bank resorts to emergency fundraising
Yuan appreciation more rapid: Paulson
Thursday, April 3rd, 2008Full China Daily story here: Yuan appreciation more rapid: Paulson
Visiting US Treasury Secretary Henry Paulson said Thursday that US appreciates China’s holding of US treasuries and admitted that the yuan appreciation has been “more rapid”.
US Treasury Secretary Henry Paulson (L) speaks to Ed Zhang, senior consultant of China Daily, during an exclusive interview with the China Daily website in Beijing, April 3, 2008. [chinadaily.com.cn] Click here to watch the video
more bad news for Asia
Wednesday, March 19th, 2008
Coming financial crisis will make times much harder, warns economist
By LALA RIMANDO
abs-cbnNEWS.com/NewsbreakExpect the coming months to be tough, warned an economics professor. And the tough times may start next month.
“It’s going to be a hard year for us. Everyone will be affected. And the hurt will be deepest among the low-income families,” Ernesto Pernia, a professor of economics at the University of the Philippines and former economic chief at the Asian Development Bank told abs-cbnnews.com/Newsbreak in an interview.
Interest rate adjusted.
Tuesday, March 18th, 2008ABC News (Australian Broadcasting Corporation)
Slashed: The Fed has cut a key interest rate by 0.75 per cent
Fed slashes key interest rates
The US Federal Reserve has slashed key interest rates by 0.75 per cent, bringing the federal funds rate to 2.25 per cent, to fight a mushrooming credit crisis.
‘Bubbles’ Greenspan: wrong, wrong, wrong … but unrepentant
Monday, March 17th, 2008Daily Kos: ‘Bubbles’ Greenspan: wrong, wrong, wrong … but unrepentant
….as the Bear meltdown is about to hit Wall Street this morning, Alan “Bubbles” Greespan has one of the most disgusting articles I have read on the financial crisis in today’s Financial Times: We will never have a perfect model of risk.
He brazenly claims that the now obvious crisis could not have been predicted – indeed that such crises can never be predicted, and thus that not only his policies (the very ones that led us to this unfolding disaster) were correct, but that more of the same is needed now.
This is not incompetence – this is unrepentant, brazen praise of looting, and a call for more.See also the full list of earlier Bubbles Greenspan stories
-
Translate
