Largest Market Declines Since 2001
Bleeding all the way to China...
BNP Paribas said Bank of China may write down overseas securities by $4.8 billion.
Bank of China, which has the largest holdings among Asian banks of U.S. subprime mortgages, slid 6.4%.
The bank may write down $2.4 billion for Q4 of 2007, and an equal amount for this year.
More European writedowns...
WestLB AG, Germany's #3 state-owned lender, said today it will report a full-year loss of about $1.45 billion and shore up capital after writedowns and trading losses.
The BOE needs cash back...
the British government said it will guarantee a sale of bonds backed by Northern Rock's home loans and gave bidders two weeks to come forward with proposals.
The Plan would make it easier to find a buyer for Northern Rock and repay the estimated $47 billion in emergency funds borrowed from the Bank of England.
A 5 year beating... Last week, the worst week in 5 years. Friday's downgrade of guarantor Ambac could be the straw that broke the camels back.
Carry Trade Unwind...
Oil -2%; Gold -2%; Euro 2 year low vs Yen; dollar plunges under 106 Yen...
as higher yielding investments funded with cheap loans from Japan got liquidated. The yen advanced 3% vs Brazilian real and South African rand.
Crash... Nikkei 225 -3.86%, a 2 year low; Hang Seng -5.49%; CAC -6.83%; FTSE -5.48%; DAX -7.16%; MEXICO -4.41%; Brazil -6.33%
Tuesday US Market Futures... DJIA -514; SP500 -60; NAZ -76, OUCH!!!
BNP Paribas said Bank of China may write down overseas securities by $4.8 billion.
Bank of China, which has the largest holdings among Asian banks of U.S. subprime mortgages, slid 6.4%.
The bank may write down $2.4 billion for Q4 of 2007, and an equal amount for this year.
More European writedowns...
WestLB AG, Germany's #3 state-owned lender, said today it will report a full-year loss of about $1.45 billion and shore up capital after writedowns and trading losses.
The BOE needs cash back...
the British government said it will guarantee a sale of bonds backed by Northern Rock's home loans and gave bidders two weeks to come forward with proposals.
The Plan would make it easier to find a buyer for Northern Rock and repay the estimated $47 billion in emergency funds borrowed from the Bank of England.
A 5 year beating... Last week, the worst week in 5 years. Friday's downgrade of guarantor Ambac could be the straw that broke the camels back.
Carry Trade Unwind...
Oil -2%; Gold -2%; Euro 2 year low vs Yen; dollar plunges under 106 Yen...
as higher yielding investments funded with cheap loans from Japan got liquidated. The yen advanced 3% vs Brazilian real and South African rand.
Crash... Nikkei 225 -3.86%, a 2 year low; Hang Seng -5.49%; CAC -6.83%; FTSE -5.48%; DAX -7.16%; MEXICO -4.41%; Brazil -6.33%
Tuesday US Market Futures... DJIA -514; SP500 -60; NAZ -76, OUCH!!!
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