"Stocks turn lower after Fed keeps rates stable
NEW YORK (AP) -- Stocks are turning lower after the Federal Reserve disappointed some investors by keeping interest rates unchanged. The Dow Jones industrials, up modestly before the Fed move, fell 106 points to the 10,811 level."
Stocks rise on report of government aid for AIG
Stocks turned higher Tuesday after CNBC reported that the government is considering extending aid to troubled insurer American International Group Inc.... In late morning trading, the Dow rose 80.12, or 0.73 percent, to 10,997.63. The Dow fell as much as 175 in the opening minutes of the session."
As is this?
"Meanwhile, another positive for the economy.... some economists found a silver lining...."
"Stocks plunge after crisis in investment firms; US hastens to ease fears, keep credit flowing; Another stimulus package and rate cut may be in offing" by Robert Gavin, Globe Staff | September 16, 2008
Policy makers from President Bush to New York Governor David Paterson moved yesterday to prevent further panic that could cause even greater damage to the financial system and the US economy.
The Federal Reserve has made additional money available to banks to keep the flow of credit going in markets, while New York regulators allowed AIG to use $20 billion in assets from its insurance subsidiaries to bolster the parent firm's balance sheet.
Yuh-huh: "Firms have hoarded cash and clamped down on lending."
The insurance firm last night was also trying to arrange additional capital through loans from Goldman Sachs Group Inc., and JPMorgan Chase & Co., after US officials rebuffed its request for federal help, according to news accounts.
NOT NOW (see above update)!!
The fallout has reached across the globe. The Asian markets plummeted today, with Japan's benchmark Nikkei 225 index down 5.3 percent to 11,560.66 in mid-afternoon trading and Hong Kong's blue-chip Hang Seng Index shedding 5.7 percent.
The market upheaval could also reshape the financial services industry in Greater Boston, raising questions about the future of Bank of America's money management operations in Boston. Meanwhile, the financial crisis could mean the loss of hundreds of financial services jobs, not just at Lehman's offices, but at other investment firms in Boston. Losses in the stock market and declining values of other assets reduce the profits of the many mutual fund companies and private equity and venture capital firms that are located here.
In Washington, congressional Democrats said they would push to pass a new, $50 billion stimulus package to aid the US economy in the wake of the financial turmoil.
Nothing like FARTING in the WIND, huh?
The Fed, concerned about rising inflation this year, has held its key interest rate steady since spring, at a historically low 2 percent. But oil prices, which have largely been blamed for the jump in inflation, are suddenly dropping, and that could give the Fed the room to lower rates again.
Crude plunged about $9 barrel yesterday and early today to $91.80. The fall was the biggest two-day drop in almost four years. Meanwhile, another positive for the economy is the recent drop in mortgage rates, which fell more than a half percentage point after the US government took over home loan funders Fannie Mae and Freddie Mac last week. Rates again nudged downward yesterday, as investors piled into the safety of bonds such as 10-year Treasury notes, to which many mortgage rates are tied.
You gotta love the SHIT DIGGING MSM for finding the CORN KERNELS in the PILE of SOFT-SWERVE SWIRLIES!!!
Still, many analysts say lower interest rates won't have much impact because lenders, worried about ending up like Lehman, will cut back on making loans to preserve capital they may need to survive the turmoil.
Yup, the TAXPAYER BAILOUT is to keep the ooans going -- and here are the banks KEEPING THE $$$$!!
Aren't you tired of GETTING FUCKED, Americans?
In Boston, real estate professionals said that will worsen a credit crunch that has already forced developers to delay major projects, such as the redevelopment of Downtown Crossing and Columbus Center.
Lehman and Merrill Lynch are the latest to succumb to the nation's housing crisis, which began with risky loans known as subprime mortgages and spread in a vicious downward cycle to the broader credit markets.
And at the time, the shit media and their "experts" were telling us it WOULD NOT SPREAD!!!
Yes, I AM TIRED of the GOD-DAMN LIES!!!!!!!!!
Both Lehman and Merrill Lynch had large holdings of securities backed by mortgages, which have fallen sharply in value as home prices have declined and foreclosures soared. Both have reported billions of dollars in losses over the past year.
For these companies, the decline in the housing market made it difficult to recover. As home values slipped, so did the value of their assets, requiring them to raise more money to offset the losses, which in turn became even harder as housing markets deteriorated without an end in sight.
It is called a VICIOUS CIRCLE!!!!
Merrill acted before it was too late, finding a buyer in Bank of America, which has the financial underpinnings to weather the downturn.
So the LYING MSM says!!!!
Under criticism already for the Bear Stearns bailout and the takeover of mortgage giants Fannie Mae and Freddie Mac, policy makers decided they could let Lehman fail without catastrophic results, analysts said.
Yeah, THEY are not losing THEIR JOBS -- that's why the shit government can say that!!!
Conditions had changed since that sudden Bear Stearns collapse, which prompted a Depression-era style run on funds by investors, and a near-halt of the global financial system. Since then, the Fed has opened its lending window to securities dealers and other investment firms to provide liquidity, or ready cash, to keep the system operating.
What is with the repetitive LYING, MSM?!!!
The banks are HOARDING THE MONEY to COVER THEIR LOSSES!!!!
With the Fed making plenty of money available, it became unlikely that Lehman would bring down the financial system, analysts said.
While Lehman's collapse will add to unemployment rolls - the nation's jobless rate has soared above 6 percent in recent months as hundreds of thousands of employees were laid off - some economists found a silver lining: The failure may signal that the financial industry is finally working through its crisis of devalued assets and problem loans.
But that is not catastrophic -- unless it is YOUR JOB that gets the axe!!!!