Financial crisis: Mortgage lending plunges 95 per cent as housing market suffers

The value of mortgages lent to British homebuyers fell 95 per cent last month, according to the Bank of England.Mortgage approvals hit a record low after banks tightened lending Photo: PAIt said mortgage lending dived to just £143 million during August - its lowest since this data was first collected in April 1993 and [...] continue reading world news

Ron Paul: We are on the verge of destroying a worldwide economy

Added: Sept. 29, 2008Source: YouTube continue reading world news

FDIC Announces Citigroup to Buy Wachovia

Citigroup has agreed to buy Wachovia bank in a deal brokered by the Federal Deposit Insurance Corporation to avoid another major corporate failure in the midst of the ongoing financial crisis.The FDIC announced the deal on its Web site this morning. No price for the transaction was included in the announcement. But the FDIC said [...] continue reading world news

Fortis Gets EU11.2 Billion Rescue From Governments

Sept. 29 (Bloomberg) — Fortis, the largest Belgian financial-services firm, received an 11.2 billion-euro ($16.3 billion) rescue from Belgium, the Netherlands and Luxembourg after investor confidence in the bank evaporated last week.Belgium will buy 49 percent of Fortis’s Belgian banking unit for 4.7 billion euros, while the Netherlands will pay 4 billion euros for a [...] continue reading world news

U.K. to Protect Bradford & Bingley; BBC Reports Nationalization

Sept. 28 (Bloomberg) — The U.K. government will act to protect Bradford & Bingley Plc customers, Chief Whip Geoff Hoon said after the British Broadcasting Corp. reported the country’s biggest lender to landlords will be taken over by the state. Prime Minister Gordon Brown and Chancellor of the Exchequer Alistair Darling “have worked right [...] continue reading world news

Markets face major crash if US bail-out plan collapses

There will be a depression anyway, but if the bailout “succeeds” there will be a complete meltdown in the not too distant future. Again the elite is pressing the fear button._____________________________________________________________________________World markets depend on Paulson’s plan Photo: GETTY London shares could lose a fifth of their value and the money market faces collapse unless [...] continue reading world news

Bailout can’t hide it - the United States is broke

By Chris PowellCHRIS POWELL IS MANAGING EDITOR OF THE JOURNAL INQUIRER IN MANCHESTER.Even leading Republicans in Congress, including presidential nominee Sen. John McCain, recoiled from Treasury Secretary Henry M. Paulson’s proposal to take absolute power over $700 billion to be borrowed by the federal government and used to purchase every sort of bad debt without [...] continue reading world news

WaMu shares plummet 25%

WaMu Said to Approach Blackstone as Bailout DebatedSept. 25 (Bloomberg) — Washington Mutual Inc.’s options may be dwindling as potential bidders shy away from making an offer because it’s not clear how much the proposed $700 billion U.S. bank rescue package will benefit the Seattle-based lender.Five banks that were considering bids, including JPMorgan Chase & [...] continue reading world news

WaMu: The biggest bank failure in U.S. history.

JPMorgan Buys WaMu Bank Business as Thrift SeizedSept. 25 (Bloomberg) — JPMorgan Chase & Co., the third- biggest U.S. bank by assets, agreed to acquire Washington Mutual Inc.’s deposits and branches for $1.9 billion after regulators seized the thrift in the biggest bank failure in U.S. history.Customers withdrew $16.7 billion from WaMu accounts since Sept. [...] continue reading world news

Hundreds of Economists Urge Congress Not to Rush on Rescue Plan

Sept. 25 (Bloomberg) — More than 150 prominent U.S. economists, including three Nobel Prize winners, urged Congress to hold off on passing a $700 billion financial market rescue plan until it can be studied more closely.In a letter yesterday to congressional leaders, 166 academic economists said they oppose Treasury Secretary Henry Paulson’s plan because it’s [...] continue reading world news

Eurozone falls into recession

The eurozone has fallen into recession, with industry particularly badly hit by the fall-out from global economic turmoil, results of a closely watched survey indicated on Tuesday.Private sector output in the 15-country region contracted in September for the fourth consecutive month, according to eurozone purchasing managers’ indices. The pace of decline was the fastest since [...] continue reading world news

UK: COST OF BREAD AND BUTTER UP 43%

INCREASE: Bread price has soaredTHE cost of basic foods has soared by nearly 10 times the official inflation rate.A loaf of sliced white bread and a packet of butter now add up to £2.33 - a 43 per cent rise from £1.62 last year.Eggs are up 27 per cent at £2.90 a dozen, cheddar cheese [...] continue reading world news

Ron Paul: Bailouts will lead to rough economic ride

By Ron PaulSpecial to CNNRep. Ron Paul says the government’s solution to the crisis is the same as the cause of it — too much government.(CNN) — Many Americans today are asking themselves how the economy got to be in such a bad spot.For years they thought the economy was booming, growth was up, job [...] continue reading world news

Democrats and Republicans alike sceptical of Bush bailout plan

Federal Reserve chairman Ben Bernanke folds his hands while testifying with US Treasury secretary Henry Paulson before the Senate banking committee on Tuesday. Photograph: Charles Dharapak/APThe proposed $700bn bailout of US financial markets faced harsh criticism in Congress today, with liberals and conservatives both sceptical that granting the Bush administration power to buy up risky [...] continue reading world news

Goldman Sachs and Morgan Stanley have been put under Federal control

Morgan Stanley headquarters in New YorkInvestment banks Goldman Sachs and Morgan Stanley have been put under Federal control as part of a package aimed at rescuing the US finance system.The move not only puts the two financial services giants under the direct supervision of bank regulators but also gives the Fed the power to force [...] continue reading world news

Mushroom Clouds Over Wall Street

By MIKE WHITNEY“One bank to rule them all;One bank to bind them…”These are dark times. While you were sleeping the cockroaches were busy about their work, rummaging through the US Constitution, and putting the finishing touches on a scheme to assert absolute power over the nation’s financial markets and the country’s economic future. Industry [...] continue reading world news

America Versus the Financial Elite

The people don’t want it (see this poll showing that only 28% support the bailout; and see this).Most economists don’t want it (see this and this).Many congress people don’t want it (see here and here).So who wants the bailout?The only people who want it are the big money boys, the ultra elite, including the Wall [...] continue reading world news

Treasury Seeks Asset-Buying Power Unchecked by Courts!

Sept. 21 (Bloomberg) — The Bush administration sought unchecked power from Congress to buy $700 billion in bad mortgage investments from financial companies in what would be an unprecedented government intrusion into the markets.Through his plan, Treasury Secretary Henry Paulson aims to avert a credit freeze that would bring the financial system and the world’s [...] continue reading world news

Wall Street’s Big Banking Boys Are Bankrupting America (Rep. Kapture)

Source: YouTube continue reading world news

Paulson Bailout Plan a Historic Swindle

Financial-market wise guys, who had been seized with fear, are suddenly drunk with hope. They are rallying explosively because they think they have successfully stampeded Washington into accepting the Wall Street Journal solution to the crisis: dump it all on the taxpayers. That is the meaning of the massive bailout Treasury Secretary Henry Paulson has [...] continue reading world news

Bush wants OK to spend $700.000.000.000

Bailout proposal sent to Congress seeks authorization to spend as much as $700 billion to buy troubled mortgage-related assets.NEW YORK (CNNMoney.com) — President Bush has asked Congress for the authority to spend as much as $700 billion to purchase troubled mortgage assets and contain the financial crisis.The legislative proposal - the centerpiece of what would [...] continue reading world news

US Taxpayer: A Giant Dumpster For Illiquid Assets

Paulson, Bernanke, and Congress are conspiring to make the US taxpayer the fall guy for financial stupidity by banks and brokers. Congress is now willing to ram through legislation at the last moment, even though Senate Majority Leader Reid Says “No One Knows What to Do”.Please consider Paulson, Bernanke Push New Proposal to Cleanse [...] continue reading world news

Ron Paul on the Global Financial Crisis 9/18/08

Added: Sept. 18, 2008Source: YouTube continue reading world news

Stocks rally on report of entity for bad debt

Stocks end sharply higher on report that government will create entity to hold banks’ debtNEW YORK (AP) — Wall Street rallied in a stunning late-session turnaround Thursday, shooting higher and hurtling the Dow Jones industrials up 400 points following a report that the federal government might create an entity to absorb banks’ bad debt. The [...] continue reading world news

Fed, ECB, Bank of Japan Lead Global Plan to Pump $247 Billion Into Markets

Sept. 18 (Bloomberg) — The Federal Reserve almost quadrupled the amount of dollars central banks can auction around the world to $247 billion in a coordinated bid to ease the worst crisis facing financial markets since the 1920s.The Fed increased the amount of dollars that the European Central Bank, the Bank of Japan and other [...] continue reading world news

Russian stock markets closed until Friday

Medvedev calls for more measuresMOSCOW (AP) — Russia closed its stock exchanges for a second day Thursday as President Dmitry Medvedev pledged a 500 billion ruble ($20 billion) injection into financial markets to stem a dizzying plummet in share prices — and quash fears of a repeat of the country’s 1998 financial collapse.Russian President Dmitry [...] continue reading world news

Nigeria militants threaten broader delta “oil war”

PORT HARCOURT, Nigeria (Reuters) - Nigerian militants threatened on Wednesday to broaden their “oil war” to offshore oilfields and announced attacks on a crude oil pipeline in the Niger Delta and another Shell-operated facility.The Movement for the Emancipation of the Niger Delta (MEND), responsible for attacks that have cut a fifth of OPEC member Nigeria’s [...] continue reading world news

Nigeria militants threaten broader delta “oil war”

PORT HARCOURT, Nigeria (Reuters) - Nigerian militants threatened on Wednesday to broaden their “oil war” to offshore oilfields and announced attacks on a crude oil pipeline in the Niger Delta and another Shell-operated facility.The Movement for the Emancipation of the Niger Delta (MEND), responsible for attacks that have cut a fifth of OPEC member Nigeria’s [...] continue reading world news

AIG has under 24 hours to raise $80bn and avoid collapse

A man walks through a revolving door at an American International Group (AIG) building in New York’s financial district September 16, 2008. REUTERS/Lucas JacksonThe world’s largest insurance company has less than 24 hours to raise $80bn (£45bn) or face collapse, a leading US politician has warned. The dire diagnosis for American International Group (AIG), made [...] continue reading world news

SEC issues new rules against abusive naked short-selling

WASHINGTON (MarketWatch) — U.S. securities regulators issued new rules Wednesday designed to protect investors against so-called “naked” short-selling, including requiring short sellers to deliver securities by the close of business on the settlement date and making clear that those lying about their ability or intention to deliver on time are breaking the law.“These several actions [...] continue reading world news

Fed to give AIG $85 billion loan and take 80% stake

A man behind the door at an American International Group building in New York’s financial district on Tuesday. (Lucas Jackson/Reuters)In an extraordinary turn, the Federal Reserve agreed Tuesday night to take a nearly 80 percent stake in the troubled giant insurance company, the American International Group, in exchange for an $85 billion loan.The Federal Reserve [...] continue reading world news

Fed to give AIG $85 billion loan and take 80% stake

A man behind the door at an American International Group building in New York’s financial district on Tuesday. (Lucas Jackson/Reuters)In an extraordinary turn, the Federal Reserve agreed Tuesday night to take a nearly 80 percent stake in the troubled giant insurance company, the American International Group, in exchange for an $85 billion loan.The Federal Reserve [...] continue reading world news

WaMu shares hit hard

Already battered, Washington Mutual shares fall as potential capital sources’ attention is diverted.NEW YORK (CNNMoney.com) — Don’t forget about Washington Mutual.Concerned that Wall Street has done just that, the nation’s largest savings-and-loan plummeted 22% in mid-day trading. Investors are concerned that potential sources of capital have disappeared in the upheaval this weekend on Wall Street [...] continue reading world news

Wall Street’s Next Big Problem

WHEN I drove to the Beverly Hills offices of Drexel Burnham Lambert on Feb. 13, 1990, the last thing I expected to hear was that the investment bank where I worked was going under. Yet early that morning, we were told that the company was filing for bankruptcy. I was, to put it mildly, blown [...] continue reading world news

Bolivia’s President Morales declares martial law in rebellious state

Supporters of Bolivia’s President Evo Morales burn dolls representing Leopoldo Fernandez, governor of the opposition state of Pando, in La Paz, Monday, Sept. 15, 2008. Several opposition provinces are seeking greater autonomy from Morales’ government and insist on the cancellation of a Jan. 25, 2008 referendum on a new constitution that would help him centralize [...] continue reading world news

Wilbur Ross: Possibly a Thousand Banks Will Close

In an exclusive interview with CNBC.com, Wilbur Ross, chairman and CEO of WL Ross & Co., says he sees possibly as many as a thousand bank closures in the coming months. And this will create opportunities for investors.(Watch the full CNBC.com exclusive interview with Wilbur Ross )“I do think a lot of the regional ones [...] continue reading world news

Wilbur Ross: Possibly a Thousand Banks Will Close

In an exclusive interview with CNBC.com, Wilbur Ross, chairman and CEO of WL Ross & Co., says he sees possibly as many as a thousand bank closures in the coming months. And this will create opportunities for investors.(Watch the full CNBC.com exclusive interview with Wilbur Ross )“I do think a lot of the regional ones [...] continue reading world news

AIG shares fall 52 percent

NEW YORK (Reuters) - Shares of American International Group fell more than 50 percent in early trading on reports that the insurer had turned to the Federal Reserve for $40 billion in bridge financing to ward off a liquidity crisis and ratings downgrades.AIG shares dropped 52 percent to $5.82 on the New York Stock Exchange [...] continue reading world news

Bank of America Said to Reach $44 Billion Deal to Buy Merrill

Sept. 14 (Bloomberg) — Bank of America Corp. reached a deal to acquire Merrill Lynch & Co. for about $44 billion, the Wall Street Journal reported, after shares of the third-biggest U.S. securities firm fell by more than 35 percent last week and smaller rival Lehman Brothers Holdings Inc. neared bankruptcy.The boards of Merrill and [...] continue reading world news

Bank of America Said to Reach $44 Billion Deal to Buy Merrill

Sept. 14 (Bloomberg) — Bank of America Corp. reached a deal to acquire Merrill Lynch & Co. for about $44 billion, the Wall Street Journal reported, after shares of the third-biggest U.S. securities firm fell by more than 35 percent last week and smaller rival Lehman Brothers Holdings Inc. neared bankruptcy.The boards of Merrill and [...] continue reading world news

Jobless set to top two million as the UK economy heads for meltdown

A JobCentre officeThe true scale of the jobs disaster facing Britain is revealed today as experts issue dire warnings that up to half a million workers will lose their jobs over the next two years, as companies cut costs and scale back investment plans to survive the economic downturn.Official figures are widely expected to reveal [...] continue reading world news

China may cut its dollar holdings - CICC

China, which holds a fifth of its currency reserves in Fannie Mae and Freddie Mac debt, may cut the portion held in US dollars, according to China International Capital Corp (CICC), one of the nation’s biggest investment banks.The US government this week seized control of the two mortgage-finance companies, which account for almost half of [...] continue reading world news

China may cut its dollar holdings - CICC

China, which holds a fifth of its currency reserves in Fannie Mae and Freddie Mac debt, may cut the portion held in US dollars, according to China International Capital Corp (CICC), one of the nation’s biggest investment banks.The US government this week seized control of the two mortgage-finance companies, which account for almost half of [...] continue reading world news

USDA Cuts US Corn, Soy Estimates; Grain Mkts Up (2nd UPDATE)

(Updates with closing grain prices; additional analyst comments)CHICAGO -(Dow Jones)- The U.S. Department of Agriculture Friday cut its projections for 2008 U.S. corn and soybean production, keeping supplies of the commodities tight and helping lift grain prices.The reduction in crop size, which was the result of poor growing weather in August, could be the start [...] continue reading world news

USDA Cuts US Corn, Soy Estimates; Grain Mkts Up (2nd UPDATE)

(Updates with closing grain prices; additional analyst comments)CHICAGO -(Dow Jones)- The U.S. Department of Agriculture Friday cut its projections for 2008 U.S. corn and soybean production, keeping supplies of the commodities tight and helping lift grain prices.The reduction in crop size, which was the result of poor growing weather in August, could be the start [...] continue reading world news

Lehman survival questioned on scramble to sell assets

NEW YORK (Reuters) - Lehman Brothers Holdings Inc’s survival was called into question as its chief executive scrambled to sell assets to cover losses from toxic real estate investments, sending shares down as much as 46 percent.The investment bank’s need to raise desperately needed cash, broadly outlined by CEO Dick Fuld on Wednesday, failed to [...] continue reading world news

Report: Oil Agency Ran Amok, Interior Dept. Inquiry Finds Sex, Drugs, Corruption

Government officials in charge of collecting billions of dollars worth of royalties from oil and gas companies accepted gifts, steered contracts to favored clients and engaged in drug use and illicit sex with employees of the energy firms, federal investigators reported yesterday.Investigators from the Interior Department’s inspector general’s office said more than a dozen employees, [...] continue reading world news

Bailouts Will Push US into Depression

Source: YouTubeThe end result of the global economic slowdown may be the U.S. announcing national bankruptcy as the government cannot afford the bailouts that it promised and the market will not bail out the government, Martin Hennecke, senior manager of private clients at Tyche, told CNBC on Thursday.“We expect a depression in the United States. [...] continue reading world news

Bailouts Will Push US into Depression

Source: YouTubeThe end result of the global economic slowdown may be the U.S. announcing national bankruptcy as the government cannot afford the bailouts that it promised and the market will not bail out the government, Martin Hennecke, senior manager of private clients at Tyche, told CNBC on Thursday.“We expect a depression in the United States. [...] continue reading world news

Report: Oil Agency Ran Amok, Interior Dept. Inquiry Finds Sex, Drugs, Corruption

Government officials in charge of collecting billions of dollars worth of royalties from oil and gas companies accepted gifts, steered contracts to favored clients and engaged in drug use and illicit sex with employees of the energy firms, federal investigators reported yesterday.Investigators from the Interior Department’s inspector general’s office said more than a dozen employees, [...] continue reading world news

Washington Mutual shares sink below $2 on capital worry

NEW YORK (Reuters) - Washington Mutual Inc (WM.N: Quote, Profile, Research, Stock Buzz) shares sank below $2 for the first time since 1990 as anxiety grew about the largest U.S. savings and loan’s mortgage losses, capital needs and survival prospects.Its shares were down 17 cents, or 7.3 percent, at $2.15 on Thursday on the New [...] continue reading world news

Washington Mutual shares sink below $2 on capital worry

NEW YORK (Reuters) - Washington Mutual Inc (WM.N: Quote, Profile, Research, Stock Buzz) shares sank below $2 for the first time since 1990 as anxiety grew about the largest U.S. savings and loan’s mortgage losses, capital needs and survival prospects.Its shares were down 17 cents, or 7.3 percent, at $2.15 on Thursday on the New [...] continue reading world news

Japan wholesale prices rise 7.2 percent in August

TOKYO (AP) - Japan’s wholesale inflation remained near a 27-year high in August, the government said Wednesday, as the soaring costs of energy and raw materials continued to pressure businesses.The index for domestic corporate goods prices rose 7.2 percent from a year ago, the Bank of Japan said.The result was largely in line with market [...] continue reading world news

Recession forecast for Germany, Spain and UK

Germany, the UK and Spain all face recessions this year, the European Commission forecast yesterday, dashing finally any remaining hopes that Europe would avoid a sharp economic downturn. France and Italy would fare little better, it said.The steep downward revisions in growth forecasts by the European Union’s executive arm showed it had accepted that tumbling [...] continue reading world news

Recession forecast for Germany, Spain and UK

Germany, the UK and Spain all face recessions this year, the European Commission forecast yesterday, dashing finally any remaining hopes that Europe would avoid a sharp economic downturn. France and Italy would fare little better, it said.The steep downward revisions in growth forecasts by the European Union’s executive arm showed it had accepted that tumbling [...] continue reading world news

Japan wholesale prices rise 7.2 percent in August

TOKYO (AP) - Japan’s wholesale inflation remained near a 27-year high in August, the government said Wednesday, as the soaring costs of energy and raw materials continued to pressure businesses.The index for domestic corporate goods prices rose 7.2 percent from a year ago, the Bank of Japan said.The result was largely in line with market [...] continue reading world news

Lehman posts $4 billion quarterly loss, plans sales

NEW YORK (Reuters) - Lehman Brothers Holdings Inc plans to sell a majority stake in its asset management unit and spin off commercial real estate holdings, hoping to restore investor confidence and ensure its survival after reporting a record quarterly loss of about $4 billion.Shares failed to rebound on Wednesday morning after plunging 45 percent [...] continue reading world news

Saving Fannie and Freddie was nationalisation pure and simple

Steve BellTuesday September 9 2008Source: The Guardian continue reading world news

Saving Fannie and Freddie was nationalisation pure and simple

Steve BellTuesday September 9 2008Source: The Guardian continue reading world news

Why Government Bailout Of Fannie And Freddie Will Fail

With yesterday’s announcement of the most massive federal bailout of all time, it’s now official: Fannie Mae and Freddie Mac, the two largest mortgage lenders on Earth, are bankrupt.Some Washington bigwigs and bureaucrats will inevitably try to spin it. They’ll avoid the “b” word with vengeance. They’ll push the “c” word (conservatorship) with passion. And [...] continue reading world news

Taxpayers take on trillions in risk in Fannie, Freddie takeover

USA TODAY WASHINGTON - The unprecedented federal takeover of mortgage giants Freddie Mac and Fannie Mae announced on Sunday is a bold attempt to stabilize financial markets and restore the faltering housing market, but it thrusts trillions of dollars of risk directly onto taxpayers’ shoulders.“You can call it a bailout, you can call it a [...] continue reading world news

Taxpayers take on trillions in risk in Fannie, Freddie takeover

USA TODAY WASHINGTON - The unprecedented federal takeover of mortgage giants Freddie Mac and Fannie Mae announced on Sunday is a bold attempt to stabilize financial markets and restore the faltering housing market, but it thrusts trillions of dollars of risk directly onto taxpayers’ shoulders.“You can call it a bailout, you can call it a [...] continue reading world news

US waves goodbye to prosperity and democracy

THE events of the weekend begin the greatest intervention in the US economy by the Federal Government since the Great Depression, with the Bear Stearns rescue but a splutter on this road we must now travel.If you were wondering what all the flag-waving at the Republican convention has been about, it is now clear. Americans [...] continue reading world news

US waves goodbye to prosperity and democracy

THE events of the weekend begin the greatest intervention in the US economy by the Federal Government since the Great Depression, with the Bear Stearns rescue but a splutter on this road we must now travel.If you were wondering what all the flag-waving at the Republican convention has been about, it is now clear. Americans [...] continue reading world news

U.S. seizes Fannie and Freddie

Treasury chief Paulson unveils historic government takeover of twin mortgage buyers. Top executives are out.NEW YORK (CNNMoney.com) — Federal officials on Sunday unveiled an extraordinary takeover of Fannie Mae and Freddie Mac, putting the government in charge of the twin mortgage giants and the $5 trillion in home loans they back.The move, which allows the [...] continue reading world news

U.S. Losses on Fannie, Freddie May Be $300 Billion, Poole Says

Sept. 7 (Bloomberg) — William Poole, former president of the Federal Reserve Bank of St. Louis, said taxpayers may face a $300 billion bill to revive Fannie Mae and Freddie Mac, the mortgage giants being taken over by the Federal government.“I would not be surprised if their total losses aggregate about 5 percent of their [...] continue reading world news

U.S. Losses on Fannie, Freddie May Be $300 Billion, Poole Says

Sept. 7 (Bloomberg) — William Poole, former president of the Federal Reserve Bank of St. Louis, said taxpayers may face a $300 billion bill to revive Fannie Mae and Freddie Mac, the mortgage giants being taken over by the Federal government.“I would not be surprised if their total losses aggregate about 5 percent of their [...] continue reading world news

FDIC shutters Silver State Bank of Nevada

Son of presidential nominee John McCain was reportedly former board member; closing marks the 11th bank failure this year.WASHINGTON (AP) — Regulators on Friday shut down Silver State Bank, saying the Nevada bank failed because of losses on soured loans, mainly in commercial real estate and land development.It was the 11th failure this year of [...] continue reading world news

Huge rise in the price of food

Supermarket food prices are soaring, with the price of key items rising at several times the rate of inflation, figures show.The rising cost of the shopping basketThe price of fresh food has risen by 12 per cent since the start of the year, while meat and fish now costs 23 per cent more on average. [...] continue reading world news

9% of homeowners are late with bill or in foreclosure, study says

WASHINGTON - An industry group says a record 9.2% of American homeowners with a mortgage were either behind on their payments or in foreclosure at the end of June, as damage from the housing crisis continued to mount.The latest quarterly snapshot by the Mortgage Bankers Association on Friday broke records for late payments, homes entering [...] continue reading world news

9% of homeowners are late with bill or in foreclosure, study says

WASHINGTON - An industry group says a record 9.2% of American homeowners with a mortgage were either behind on their payments or in foreclosure at the end of June, as damage from the housing crisis continued to mount.The latest quarterly snapshot by the Mortgage Bankers Association on Friday broke records for late payments, homes entering [...] continue reading world news

Record bail-out in US of Fannie Mae and Freddie Mac

THE US TREASURY will today announce a rescue of Fannie Mae and Freddie Mac, two giant American mortgage banks, in what is likely to be the biggest financial bail-out of recent history.The move may trigger a bounce in global stock markets tomorrow. However, analysts warn that some of the uncertainties that plagued the markets last [...] continue reading world news

Record bail-out in US of Fannie Mae and Freddie Mac

THE US TREASURY will today announce a rescue of Fannie Mae and Freddie Mac, two giant American mortgage banks, in what is likely to be the biggest financial bail-out of recent history.The move may trigger a bounce in global stock markets tomorrow. However, analysts warn that some of the uncertainties that plagued the markets last [...] continue reading world news

Huge rise in the price of food

Supermarket food prices are soaring, with the price of key items rising at several times the rate of inflation, figures show.The rising cost of the shopping basketThe price of fresh food has risen by 12 per cent since the start of the year, while meat and fish now costs 23 per cent more on average. [...] continue reading world news

World’s richest got even richer last year

NEW YORK (Reuters) - The old saying holds true: The rich do get richer.Even as world financial markets broke down last year, personal wealth around the world grew 5 percent to $109.5 trillion, according to a global wealth report released on Thursday by Boston Consulting Group.It was the sixth consecutive year of expanding wealth. The [...] continue reading world news

Main Bank of China Is in Need of Capital

Dollar and yuan currency at a bank in China. China’s central bank has accumulated about $1 trillion in United States debt.HONG KONG - China’s central bank is in a bind.It has been on a buying binge in the United States over the last seven years, snapping up roughly $1 trillion worth of Treasury bonds and [...] continue reading world news

Main Bank of China Is in Need of Capital

Dollar and yuan currency at a bank in China. China’s central bank has accumulated about $1 trillion in United States debt.HONG KONG - China’s central bank is in a bind.It has been on a buying binge in the United States over the last seven years, snapping up roughly $1 trillion worth of Treasury bonds and [...] continue reading world news

World’s richest got even richer last year

NEW YORK (Reuters) - The old saying holds true: The rich do get richer.Even as world financial markets broke down last year, personal wealth around the world grew 5 percent to $109.5 trillion, according to a global wealth report released on Thursday by Boston Consulting Group.It was the sixth consecutive year of expanding wealth. The [...] continue reading world news

GM, Ford, Chrysler Sales Collapse

Chrysler President Jim Press: “Maybe towards the end of ‘09, going into 2010, there’ll start to be some signs of recovery.” Maybe not. ____________________________________________________________________________The Wall Street Journal is reporting Auto Sales Tumble, But Industry Sees Signs of Hope.Sales of cars and light trucks fell 15.5% to 1.25 million last month, down from 1.48 million a [...] continue reading world news

JPMorgan Is Facing Federal Probe

Sept. 4 (Bloomberg) — JPMorgan Chase & Co. will stop selling interest-rate swaps to government borrowers in the $2.6 trillion U.S. municipal bond market roiled by an antitrust probe and the near bankruptcy of Alabama’s most-populous county.At least seven former JPMorgan bankers are under scrutiny in a Justice Department criminal investigation of whether banks conspired [...] continue reading world news

JPMorgan Is Facing Federal Probe

Sept. 4 (Bloomberg) — JPMorgan Chase & Co. will stop selling interest-rate swaps to government borrowers in the $2.6 trillion U.S. municipal bond market roiled by an antitrust probe and the near bankruptcy of Alabama’s most-populous county.At least seven former JPMorgan bankers are under scrutiny in a Justice Department criminal investigation of whether banks conspired [...] continue reading world news

U.S. Companies Cut 33,000 Jobs in August

Sept. 4 (Bloomberg) — Companies in the U.S. cut an estimated 33,000 jobs in August, a private report based on payroll data showed today.The decrease followed a revised gain of 1,000 for the prior month that was lower than previously estimated, ADP Employer Services said.The extended housing slump, high raw material costs and weaker demand [...] continue reading world news

People’s Bank of China powers into Britain

China’s central bank has acquired a secret stake in Drax, the owner of the UK’s biggest coal-fired power station.The People’s Bank of China is understood to have been building its stake in Drax for about a year and now owns just over 0.7pc of the company.The stakebuilding provides a further illustration of the extent to [...] continue reading world news

Coca-Cola to buy Huiyuan in largest China takeover

HONG KONG (Reuters) - Coca-Cola Co (KO.N), the world’s largest soft drinks maker, offered to buy juice maker China Huiyuan (1886.HK) for a hefty premium, marking the biggest takeover in China by a foreign company.The all-cash deal of $2.5 billion, which still requires regulatory approval, values Huiyuan at nearly three times its closing price on [...] continue reading world news

Coca-Cola to buy Huiyuan in largest China takeover

HONG KONG (Reuters) - Coca-Cola Co (KO.N), the world’s largest soft drinks maker, offered to buy juice maker China Huiyuan (1886.HK) for a hefty premium, marking the biggest takeover in China by a foreign company.The all-cash deal of $2.5 billion, which still requires regulatory approval, values Huiyuan at nearly three times its closing price on [...] continue reading world news

Scramble for cash as central banks dry up

British banks soon could be scrambling for short-term funding once more amid reports that supplies from Threadneedle Street and from Frankfurt may be drying up.The Bank of England explicitly ruled out extending its Special Liquidity Scheme (SLS), while the European Central Bank is reportedly considering tightening its lending criteria.The two central banks have been huge [...] continue reading world news

Scramble for cash as central banks dry up

British banks soon could be scrambling for short-term funding once more amid reports that supplies from Threadneedle Street and from Frankfurt may be drying up.The Bank of England explicitly ruled out extending its Special Liquidity Scheme (SLS), while the European Central Bank is reportedly considering tightening its lending criteria.The two central banks have been huge [...] continue reading world news

Google to launch browser to compete with Microsoft

Chrome intensifies the battle between the tech giants and continues Web software’s drive to supersede the operating system.SAN FRANCISCO — Bidding to dominate not only what people do on the Web but how they get from site to site, Google Inc. plans to release a browser today to compete with the likes of Internet Explorer [...] continue reading world news

Google to launch browser to compete with Microsoft

Chrome intensifies the battle between the tech giants and continues Web software’s drive to supersede the operating system.SAN FRANCISCO — Bidding to dominate not only what people do on the Web but how they get from site to site, Google Inc. plans to release a browser today to compete with the likes of Internet Explorer [...] continue reading world news

EU, Dependent on Russian Energy, Balks at Georgia War Sanctions

Sept. 2 (Bloomberg) — European Union leaders refused to impose sanctions on Russia over the invasion of Georgia, acknowledging their reliance on Russian oil and gas at a time of faltering economic growth.EU leaders took the symbolic step yesterday of suspending talks over expanded trade ties with Russia, fearing that tougher measures would expose the [...] continue reading world news

Home Office: Recession will bring big rise in crime and race hatred

Ministers are bracing themselves for a rise in violent crime and burglaries and a shift to far-right extremism as the effects of the economic downturn take their toll, a leaked Home Office report to the Prime Minister says.In a series of warnings, the Home Secretary, Jacqui Smith, says that Britain also faces a “significant increase” [...] continue reading world news

Home Office: Recession will bring big rise in crime and race hatred

Ministers are bracing themselves for a rise in violent crime and burglaries and a shift to far-right extremism as the effects of the economic downturn take their toll, a leaked Home Office report to the Prime Minister says.In a series of warnings, the Home Secretary, Jacqui Smith, says that Britain also faces a “significant increase” [...] continue reading world news

Lehman Brothers in urgent talks on capital injection

The Wall Street investment bank Lehman Brothers is this weekend locked in talks with a group of foreign government-backed investment funds in an effort to secure billions of dollars in new equity capital.The Sunday Telegraph has learned that Lehman has intensified talks in recent days with Korea Development Bank, the South Korean ­government-backed lender, about [...] continue reading world news

Millions more face big energy price increases

· Up to 34% rise as last two big suppliers get into line· Government urged to act as more face fuel povertyPhotograph: Steve Taylor/Getty ImagesThis summer’s misery for energy consumers reached a climax yesterday when the last two of the big six suppliers raised prices for millions of household customers.ScottishPower, which has just over 5 [...] continue reading world news

Millions more face big energy price increases

· Up to 34% rise as last two big suppliers get into line· Government urged to act as more face fuel povertyPhotograph: Steve Taylor/Getty ImagesThis summer’s misery for energy consumers reached a climax yesterday when the last two of the big six suppliers raised prices for millions of household customers.ScottishPower, which has just over 5 [...] continue reading world news

Lehmans puts another 1,500 jobs on the block

Lehman Brothers is planning to axe up to 1,500 more jobs, as part of its desperate struggle to reduce costs, raise money and rebuild its battered balance sheet.The job losses, which are still being planned by executives at the company’s New York head office, are expected to be spread among its 26,000-strong global workforce, including [...] continue reading world news