Wall Street continued its plunge with the Dow finishing more than 500 points down to close at 11,383. The S&P ended in “correction territory” at 1200 a 4% drop as well as the Nasdaq which ended 5% down. Wall Street is reflecting the growing concern of the increased debt turmoil in both the USA and… Continue Reading
Wall Street plunged more than 1.5 percent in early morning trading signalling a return to reality. With the debt limit raised and and borrowing continuing at a record pace, investors are jumping ship realizing that the U.S. debt is no where close to getting under control. Many investors are moving their money out of riskier… Continue Reading
In an attempt to raise the US debt limit to help “restore growth” to his country’s economy, President Barack Obama probably left feeling somewhat beaten. In an article in Reuters, it was reported that “the outcome of the debt battle dismayed Obama’s liberal base just when he needs them for 2012 fundraising and support, and… Continue Reading
Despite the coveted debt deal that was passed just before the deadline, stocks sank across the board. A realization that the US economy was no where near salvation caused investors to turn bearish. Although no new rating agencies downgraded US bonds since Egan-Jones downgraded it last week, Fitch and the S & P threatened to… Continue Reading
First-Half Pre-Tax Profit Drop Today, Barclays announced a drop of 33 percent in its first-half pre-tax profit. This brings it to £2.64bn following a £1bn absorption charge for the price of sorting out complaints on the sale of payment protection insurance which led to a scandal. According to an article in the Belfast Telegraph, Barclays… Continue Reading
There has been a lot of talk lately about lowering the USA’s AAA credit rating. So who else is in the AAA club? The following is the official list: Continue Reading
With Senator Reid’s bill struck down, many politicians still anticipate a last minute compromise between Democrats and Republicans. Despite the glimmer of hope from Mitch McConnel, there is a quiet forbodence about where things are in the next 48 hours. Let me put it this way, despite the claims of compromise, there is a large… Continue Reading
According to Senate Majority Leader Harry Reid, the current negotiations taking place on a way of escalating the debt limit, “still had a way to go.” They were pushed off until last Sunday in a “test vote on a Democratic deficit reduction bill.” Right now, the White House is hoping for “as much time as… Continue Reading
For a third consecutive day there was a drop in European stocks. This might have been due to the fact that earnings missed estimates from Clariant AC (CLN) (a Swiss chemical maker) to Merck KGA (MRK) (second largest drug manufacturer in Germany). The former plummeted 13 percent and the latter, 5.1 percent. Other dives were… Continue Reading
The CME Group – the world’s “leading and most diverse derivatives marketplace) has increased the price of trading Treasury futures. This, according to a recent Reuters article, is an “effort to curb market swings created by growing fears of a government default.” This latest action comes after CME increased the Treasury futures’ margin requirements. Usually,… Continue Reading