123jump.com Staff
17 Mar, 2008
New York City
Stocks in Hong Kong fell sharply after the rescue of Bear Stearns at a fire sale price. Hang Seng index dropped 5.2% or 1,152 to 21,084. The news of the fifth largest bank liquidation in the U.S. over the weekend kept investors guessing for the next victims and impact on the exports from the region. Separately Hong Kong reported 2007 real GDP rose 11.4% and fourth quarter growth of 11.7%. Banks, properties, and telecom stocks fell sharply. Japan, India, and China indexes declined.
123jump.com Staff
17 Mar, 2008
New York City
Stocks in Japan and in Asia plunged after the fire sale of Bear Stearns, the fifth largest investment bank in the U.S. to JP Morgan. The news sent shock waves in the financial markets in Asia with Mumbai, Shanghai, Hong Kong, and Tokyo declining sharply. In Tokyo trading Nikkei 225 declined 3.71% or 454.09 to 11,787.51, and the broader Topix Index fell 3.7% or 43.58 at 1,149.65.
123jump.com Staff
17 Mar, 2008
New York City
Bear Stearns facing bankruptcy and under heavy supervision from the Fed, agreed to a purchase price of $2 per share or $235 million from JP Morgan. The fifth largest broker was essentially liquidated, wiping out the company that only a year ago had a market value of $40 billion. The fire sale price of Bear Stearns sent shock waves around the world. Global markets plunged as investors worried that the U.S. regulators and politicians appear to lack effective tools to stem the recession.
123jump.com Staff
14 Mar, 2008
New York City
Bear Stearns plunges 49% in the morning trading after it agreed for a secured credit facility with JP Morgan. The company in a press release said that its capital position has deteriorated in last 24 hours and is working with JP Morgan to arrange for a permanent financing. The emergency financing arranged with the help of the New York Fed suggests the gravity of th situations. The news also dragged Lehman Brothers stock lower by 10%.
123jump.com Staff
14 Mar, 2008
New York City
Investors are increasingly grappling with a possibility of a recession in Japan if the U.S. demand for Japanese goods keeps falling. Japan, which relies on exports for most of its economic growth, may be the first nation to enter into a recession following the U.S. Most economists believe that the U.S. is already into a recession. Rising yen against the dollar will hurt corporate profits and inflation in food and energy prices will crimp disposable income.
123jump.com Staff
13 Mar, 2008
New York City
Indian stocks declined a day after industrial production fell January data and a weak global markets. Sensex plunged 4.8% or 770.63 to close at 15,357.35. The Sensex index is now down 29% from its peak in the first week in January 2008. Record crude oil above $110 lifted worries related to inflation. DLF plunged 13% after the reports that the company may dealy its offering in Singapore. ICICI Bank dropped 5.7% and State Bank of India declined 7%.
123jump.com Staff
13 Mar, 2008
New York City
Hang Seng index plunged 4.8% to 22,301 on the weakness in global markets, rising inflation in China and worries related to corporate profits. China reported 75% rise in foreing direct investment in the first two months of 2008 from 2007. Capital inflows from U.S. companies rose 43.7% in the first two months, while inflows from the European Union advanced 110%.
123jump.com Staff
13 Mar, 2008
New York City
Stocks in Japan fell in Thursday trading after the consumer confidence declined and crude oil price reached another record. The dollar also fell to a 12-year low against yen after it dipped below 100 yen mark. In Tokyo trading Nikkei 225 plunged 3.33% or 427.69 to 12,433.44, and the broader Topix Index fell 3.1% or 39.26 to 1,215.87.
123jump.com Staff
13 Mar, 2008
New York City
European markets fell after February retail sales declined in the U.S. and new worries related to martgage securities defaults. Carlyle Capital Corp and a group of 13 lenders failed to agree on refinancing of $17 billion in debt. Carlyle Capital is expected to a default on margin call tomorrow and may lose all of its assets to lenders. UBS and Credit Suisse fell 4%. Unicredit fourth quarter profit declined 0.8%.. BMW 2007 net income increased 9% and boosted dividend by 51%.
123jump.com Staff
13 Mar, 2008
New York City
Stocks in the morning fell sharply after the release of February retail sales, import and export prices and weekly unemployment data. Dow, S&P 500 and Nasdaq fell quickly 1%. The market reversed its direction after a S&P research report. The credit analyst revised his estimate of sub-prime loan losses by $20 billion to $285 billion and added that most of the losses are already reported. The relatively positive note lifted market sentiment. European markets closed lower.
123jump.com Staff
13 Mar, 2008
New York City
U.S. stocks rebounded from earlier losses after S&P credit analyst estimated total losses related to subprime loans of $285 billion. The statement further added that nearly 65% of these losses are already announced. The relatively positive tone in the note lifted mood in trading and financial and consumer stocks rebounded. S&P and other agencies are at the heart of the credit market malaise as they rated 85% of subprime loans issued between 2005 and 2007 as AAA, many of these are now worthless.
123jump.com Staff
13 Mar, 2008
New York City
U.S. stocks pulled back at the opening after the release of retail sales, weekly unemployment and import and export prices. February retail sales declined 0.6% from a revised rise of 0.4% in January. Sales of furniture, auto and parts, and building materials declined the most. Import prices in February rose 0.2% from January and 13.6% from a year ago prompting inflation worries. European markets are trending lower and in Asia, Japan, China, and India fell sharply.
123jump.com Staff
13 Mar, 2008
New York City
Carlyle Capital Corporation may lose all of its remaining assets as early as next week after the company and lenders failed to agree on refinancing terms. The fund assets may be liquidated adding more strains to already volatile credit markets and dragging dollar to a record low against euro. The recent decline in mortgage securities prices prompted margin calls of $98 million due tomorrow. Carlyle will not meet these margin calls and is forced to surrender its collateral assets of $17 billion.
123jump.com Staff
12 Mar, 2008
New York City
UK Finance Minister Chancellor of Exchequer Alistair Darling proposed financial budget that lowered UK economic growth rate estimate in the year 2008-09. The government proposes to increase borrowing to sustain spending in healthcare, transportation, and education. Darling also proposed to tax domiciled foreign residents and simplify corporate taxes. Capital gains tax will be relaxed.
123jump.com Staff
12 Mar, 2008
New York City
European markets advanced 1.5%, a second day of rise after the Fed and European central banks coordinated a liquidity injection plan. UK in the fiscal 2008 budget lowered its economic growth target and propose to borrow funds. UK budget is expected to have a deficit of
