G-7 Finance Ministers and Central Bank Governors
Plan of Action
Washington– The G-7 agrees today that the current situation calls for urgent and exceptional action. We commit to continue working together to stabilize financial markets and restore the flow of credit, to support global economic growth. We agree to:
1. Take decisive action and use all available tools to support systemically important financial institutions and prevent their failure.
2. Take all necessary steps to unfreeze credit and money markets and ensure that banks and other financial institutions have broad access to liquidity and funding.
3. Ensure that our banks and other major financial intermediaries, as needed, can raise capital from public as well as private sources, in sufficient amounts to re-establish confidence and permit them to continue lending to households and businesses.
4. Ensure that our respective national deposit insurance and guarantee programs are robust and consistent so that our retail depositors will continue to have confidence in the safety of their deposits.
5. Take action, where appropriate, to restart the secondary markets for mortgages and other securitized assets. Accurate valuation and transparent disclosure of assets and consistent implementation of high quality accounting standards are necessary.
The actions should be taken in ways that protect taxpayers and avoid potentially damaging effects on other countries. We will use macroeconomic policy tools as necessary and appropriate. We strongly support the IMF’s critical role in assisting countries affected by this turmoil. We will accelerate full implementation of the Financial Stability Forum recommendations and we are committed to the pressing need for reform of the financial system. We will strengthen further our cooperation and work with others to accomplish this plan.
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- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
So nothing…great…
You actually expected… something?
Why is this a fucking news event… Everyone knew about this yesterday. HP is wasting time that would be better spent selling MS. Tick tock. Asian markets open in 48 hours.
Monday will be an interesting Shit Show if this is it…
However I think we get a G-20 announcement Sunday…
What is the over / under on a full Bankers Holiday coming up?
dow 15,000 tuesday morning at open
SEG@#4…
I agree with you. On Monday, the clowns on CNBC will all be saying, “Welcome back to ShitsVille”.
BTW, TGFD went to All Cash on Tuesday.
The Guy from Delaware
@2… actually, yeah…
This market is getting ridiculous:
http://upzero.com
Love your headline! But CNBC called their press release a “communique”.
interesting politics…
The draft communiqué under consideration is “too weak” and fails to reflect the gravity of the financial turmoil, Italian Finance Minister Giulio Tremonti told reporters in Washington before the talks began. “We won’t sign it.”
While Britain has pushed for a coordinated agreement to guarantee loans between banks, one official from a G-7 member said it was unlikely the G-7 would endorse their proposal. Two European officials said earlier that the group was considering saying that no systemically important bank would be allowed to fail, and laying out principles for all nations to follow.
http://www.bloomberg.com/apps/news?pid=20601068&sid=asrj_KC23zi4
Market has bottomed as predicted last night by financialtraders blog ( http://www.financialtraders.blogspot.com/ ) . No need for any government support from tax payers. Do not let them use your money to mark up this market, and sell it later.
PS: check the live trading that the blogger did today. It is amazing, he nailed the bottom and the top today!
http://financialtraders.blogspot.com/2008/10/stock-market-crash-2008-ended-today.html
Everybody practice together “Would you like fries with that?”
Maybe Pelosi can give a speech before they put it to vote
sigh
What is a “systemically important bank”? Who decides who lives or dies among the banks?
Cramer on his show said that there are twelve banks on the precipice of failure.
First, cut a hole in the box.
did that rumble ever take place at 6pm?
Oh here is something we already knew: CNBC saying that the SEC inspectors dropped the ball, reporting on an investigation in connection with BSC going back to 2005.
#12, that would be funny if there wasn’t such a grain of truth in it. Me, I’d rather go for the Home Depot job, maybe checking the receipts at the door.
what does it mean for the stock price of a financial company if the government buys a non-management stake in it?
WHAT DOES THIS MEAN???
http://www.newswire.ca/en/releases/archive/October2008/10/c5395.html
it’s N/A #19.
@ 19:
It’s self-explanatory.
Thank God the weekend is here. Not like I did anything during the week, but I like to play the part.
http://www.youtube.com/watch?v=iTW8oUV8Aq0
SPODE
Europe rarely agrees on anything so I wouldn’t expect anything decisive.
Time to short the EAFE
where do you send an email here?
there is an entire article referencing your link # 19:
http://tinyurl.com/4fe2hh
but, it is in Italian.
I’m glad to hear about equity injections of taxpayer cash into our banks — for a while I was starting to wonder from where the bonus cash would come!
Hey, at least we are not as bad off as Cuba yet… All though they are a good example of what happens when capital is cut off for too long…
http://www.breitbart.com/article.php?id=D93NQBO00&show_article=1&state=-1|0|0|0|0|0|0|1|0|0#6
Alaska ethics probe report says Governor Sarah Palin “abused” her power in order to benefit personal interests 8:23pm EDT
Confirmed, Obama won.
SPODE
Not really, the guy tasered his own ten year old kid and threatened his father in law with a gun. Even Keith Oberman and Rachel Maddow, on the night this was discovered said they would have done the same thing.
She was found not guilty as she had every right to fire Moneghan.
@29 Key words dumbass “abused her power.” This is news, right or wrong it’s still news and will be leveraged accordingly.
Get back to me on this in three weeks.
I don’t think #30 that it will make a difference to anyone after all with Obama’s associations and such, no one cares about that so no one will care about this. I’m actually looking forward to the presidential election in 4 years when it will be hillary against sarah.
neither obama or mccain will be given more than 1 term, they are both like jimmy carter and GWB one. BTW, you obanaoids are very interesting. YOu attack just like he told you too, you get in a person’s face by calling them a “dumbass”. Lovely. no class becomes obvious.
SEG
I agree with you about possible bank holiday. Does your version of banl holiday include world wide shut down of all stock exchanges?
And if so do you think it will allow cooler heads to prevail or just cause more panic?
If they close the banks or the exchanges for any reason the minute they open we will see bank runs like never before.
BTW, #30. The “investigation” was not done according to state law (something Palin repeatedly asked for) and it was conducted by a partisan democrat. Which is why people will make their own judgments and ignore it. It won’t hurt Palin one iota.
@32, US and Western Europe bank holiday on Tuesday. Wednesday, all banks are nationalized. The rest of the world will probably follow. Banking as we know it is dead.
Question: If MS is not nationalized by the government over the weekend, wont it open way down on Tuesday on the expectation of massive dilution?
@35. I agree with the last sentence. I’m not so sure about the rest of it…
@31/34
Look at the scoreboard, 11 point lead.
Hillary against Sarah in 4 years? How dumb are you 31?
Even if proof of Palin’s affair came out, Republicans always ‘fall in line’ and vote Republican.
@37, risk has risen to unsustainable levels. Risk aversion is at its maximum, paralyzing everyone but the governments. It is all based on trust, and there is none now. All that is left is for governments to step in and take over, as they are the ones who own the printing presses. It is indeed bad news.
an oldie, but it is Friday night drinks time…
If you had purchased $1000 of Delta Airlines stock one year ago, you would have $49 today. If you had purchased $1000 of AIG stock one year ago, you would have $33 today. If you had purchased $1000 of Lehman Brothers stock one year ago, you will have $0 today. However, if you had purchased $1000 worth of beer one year ago, drank all the beer, then turned in the aluminum cans for recycling, you would have received $214 today at redemptions. Based on the above, the best current investment plan is to drink heavily & recycle. It is called the 401-KEG Plan.
it won’t come out because their is an affair on the other side that is not the norm.
At this point seeing these two characters I’m about ready to vote for Micky Mouse at least he would keep me entertained.
What do you think of the announcement on CNBC that Chrysler is merging (possibly) with GM?
Maybe in the surrealistic world we are living in Ford can join them too and we can create a giant monopoly ala Ma Bell.
Haven’t looked at the IRA, we can’t deduct it and it is probably nearly gone.
#39. Hillary should have been the candidate and then it would be no contest. Obama cheated in the Democratic race.
back to yahoo 45. leave now.
Hillary’s lesbian lover is pretty hot.
http://www.urbansurvival.com/week.htm
This dude has some really fascinating stuff to say.
” suspect that Bush / Paulson / Bernanke may have no choice but to use their power to invalidate all Credit Default Swap contracts not held by holders of the underlying debt securities. These specs could then be given a right to assert claims against the under a statutory structure. This would re-establish parity between assets and liabilities and deleverage the system on the back of a few people who probably would be burnt at the stake if they were identified.”
http://tinyurl.com/5yxsq9
@45: Hillary ran the longest, borderline racist to everyone (as in white people in Pennsylvania won’t vote for a black guy, so, don’t vote for a black guy) campaign in history. She lost fair in square, and given more time than usual to waist her own and Obama supporter’s money. Anyway, it’s over.
@31/34:It was a bipartisian investigation of Palin, and one she originally agreed to work with until she was inappropriately named vp candidate by Cain. If you are gonna lie, be more creative.
Also, the comparison between Obama and Carter is just someone’s ridiculous talking point. Like those people who suggested that Obama could not win Pennsylvania, where he now leads in the polls…people confusing one thing (a primary between people of the same party) with another thing (a general election between two vastly different people).
It just amazes me. In many instances people clamor for something different. I think McCain and Obama are about as different as we are likely to get, but even that is still not enough.
***
Unrelated, I too was wondering what effect the gov taking a stake in financial firms will have on both the shares and bonds. If anyone with knowledge would have any thoughts to share, would appreciate it.
Hesitation, death
Three blind mice run G7
See how we all lose
SPODE
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“It Is What It Is~Wisdom is knowing the right path to take…Integrity is taking it”
“October 10, 2008
Goldman Sachs Files To Raise Cash (GS)
Goldman_sachs_logo It has long been thought that Goldman Sachs Group Inc. (NYSE: GS) was going to escape this credit crisis mostly unscathed and that the firm would never have capital issues. The good news is that both of those may still remain true. The bad news is that the (now) bank holding company has just filed a shelf registration statement with the SEC to allow it to raise funds for itself and its units.”
http://www.247wallst.com/2008/10/goldman-sachs-f.html#more
“October 10, 2008
Goldman Sachs Files To Raise Cash (GS)
Goldman_sachs_logo It has long been thought that Goldman Sachs Group Inc. (NYSE: GS) was going to escape this credit crisis mostly unscathed and that the firm would never have capital issues. The good news is that both of those may still remain true. The bad news is that the (now) bank holding company has just filed a shelf registration statement with the SEC to allow it to raise funds for itself and its units.”
http://www.247wallst.com/2008/10/goldman-sachs-f.html#more
52 is a hack
aol email and an efax number
Financial warfare is rather quiet.
I don’t care where your political ideologies lie, if you’re stupid enough to think Sarah Palin is qualified for the office she seeks you have no business working on Wall Street and/or investing. Please go back to perezhilton.com.
And I’m pretty sure half the banks in the country will be nationalized by Monday morning. That’ll do the trick. Maybe a mass consolidation… reap the synergies, Treasury IPOs the survivors in 3 years, pays off the national debt. That would be sweeeet.
off topic thought here
Lessons of the past decade (I think)
1) Markets love bubbles. Tech in 2000 didn’t teach people much of anything.
2) Governance in the U.S. isn’t working. We won’t let real companies fail (too nig to fail) but they keep the profit when they do well. All these disgraced CEOs are still game-over rich.
3) Short-term horizons may be hurting long-term investment (companies and govts)..rationale for going private
4) we as Americans overconsume and borrow to do it.
so what do we do now?
As someone said everyone, the traders, have been saying that they don’t want to do anything becasue the rules of the game keep changing. That, is as martha would say “NOT a good thing”.
They haven’t said they aren’t going to securitize future mortgages, have they?
They are saying americans have to save, americans have to sacrifice. Rules for borrowing will change yet they still are advertising arm’s and telling you if you don’t have a job you can get one. So what the heck is changing really?
#57, I’m really truly undecided. But heck we have tried the ivy league guys and gals and look where we are. At this point people are willing to think, why not try a regular person? She is as close to a regular person as you get. Her attractiveness to people is that she is not a Washington insider and she has run the state of Alaska. But, more importantly, she seems to have common sense, something we don’t see much of in DC.
@60
Maybe you can nominate the hillbillies as your leaders.
Moron.
hey $61, What difference does it make if we all have ivy league degrees on the wall. They open the door but then after that, you are on your own. They failed, it’s time to let someone else step up to the plate. Part of the problem is the belief that just cause you went to an ivy is that you are better than everyone else. When you realize we are not, you will be closer to growing up.
BTW, a long time ago #61, I learned that the people who know the least are the ones who get angry and lob insults. Calling someone a “Moron” doesn’t make the m a “moron” just because you say they are. In fact, it diminishes how readers view you.
Legitimate Rumor:
Some in G-7 including US are proposing Sovereign guarantee of virtually all bank issued “trade credit” (for lack of a better word). But it has to be all or none.
Ron Paul was just on Cavuot and he said he was fearful they would try to globalize the banking system.
#64, what does that mean exactly?
Did you hear the little snippets in the media about good left on the docks? Ships filled with oil, just parked at sea?
Where are we going with this now?
@66 -”Ships filled with oil, just parked at sea?”
Did you hear abut the hurricane that hit the gulf and damaged a lot refineries? Did you also get the memo that gas comes from oil? Are you from Yahoo?
#67. I am a sophisticated city dweller it is not polite to call me a yahoo.
wow, CNN is really on this voter fraud issue. The reporter said that both dems and republicans have come to him with concerns. Now, why didn’t they do that before we were in this financial crisis. Yeah I know McCAin and a bunch of senators said something but then everyone dropped the ball. Guess they learned from this and they aren’t dropping the ball now on this voter fraud.
@67, stfu.
No Worries. Socialize them ALL, then we can get to work underwriting “Workers Bonds” to finance third-world socialism and break the back of Capitalism once and for all.
You Capitalist Pigs don’t know what pain is, but you will once Obama is HNIC.
Down with the Man!
Just in time for the holidays! Unilateral power with no mechanisms for checks and balances necessitated by a manufactured series of crisis is the pattern I am seeing over the last decade, and it is accelerating. http://tinyurl.com/4ofhre
Just in time for the holidays! Unilateral power with no mechanisms for checks and balances necessitated by a manufactured series of crisis is the pattern I am seeing over the last decade, and it is accelerating. http://tinyurl.com/4ofhre
57 & 61. It’s smug, pompous Ivy-league doucebags like you who got us all INTO this mess. Why don’t you stifle it and go get me a beer, then I’ll tell youse how the real world works.
Ivy-leaguers are a bunch of effete WASP-influenced blowhards. Most of them are legacy rich-lids or coddled honor-students like G.W. Bush and Barack Obama. They are two sides of the same coin.
As for the qualifications of Sarah Palin to be President? She has more executive experience than all the other 3 on the ticket combined, and she has won several elections competitively, without getting her opponents disqualified, or playing the cynical fake “race card” “Vote for me or you are a Racist” “If you criticize me in any way you are a Racist.” I call BULLSHIT on that.
Ivy-leaguers have f*cked this country up long enough. Get someone who hasn’t had all of the common sense educated out of her in there.
Let’s go down the record, shall we?
Jimmy Carter – Annapolis (might as well be Ivy) – unmitigated disaster.
Ronald Reagan – Eureka College – Easily one of the top 5 Presidents EVER.
G.H.W. Bush – Yale – a fortunate mediocrity.
Bill Clinton – Georgetown, Oxford & Yale Law (and Governor of a piss-ant 3rd-rate Podunk State) – was restrained in his socialist tendencies by the Newt Gingrich Congress. Impeached for Perjury & Obstruction of Justice. Sued for Sexual Harrassment. Disbarred.
G.W. Bush. Exeter, Yale & Harvard M.B.A. ‘Nuff said.
Eureka College 1, Ivy league ZERO.
The market is tanking out of FEAR of OBAMA
“It isn’t only that the most anti-capitalist politician ever nominated by a major party is favored to take the White House. It’s that he’ll also have a filibuster-proof Congress led by politicians who are almost as liberal.
Throw in a media establishment dedicated to the implementation of a liberal agenda, and the smothering of dissent wherever it arises, and it’s no wonder panic has set in.
What is that agenda? It starts with a tax system right out of Marx: A massive redistribution of income — from each according to his ability, to each according to his need — all in the name of “neighborliness,” “patriotism,” “fairness” and “justice.”
It continues with a call for a new world order that turns its back on free trade, has no problem with government controlling the means of production, imposes global taxes to support continents where our interests are negligible, signs on to climate treaties that will sap billions more in U.S. productivity and wealth, and institutes an authoritarian health care system that will strip Americans’ freedoms and run up costs.
All the while, it ensures that nothing — absolutely nothing — will be done to secure a sufficient, terror-proof supply of our economic lifeblood — oil — a resource we’ll need much more of in the years ahead.
The businesses that create jobs and generate wealth are already discounting the future based on what they know about Obama’s plans to raise income, capital gains, dividend and payroll taxes, and his various other economy-crippling policies. Which helps explain why world stock markets have been so topsy-turvy.
But don’t take our word for it. One hundred economists, five Nobel winners among them, have signed a letter noting just that:
“The prospect of such tax-rate increases in 2010 is already a drag on the economy,” they wrote, noting that the potential of higher taxes in the next year or two is reducing hiring and investment.
It was “misguided tax hikes and protectionism, enacted when the U.S. economy was weak in the early 1930s,” the economists remind us, that “greatly increased the severity of the Great Depression.”
We can’t afford to repeat these grave errors.
Yet much of the electorate is determined to vote for the candidate most likely to make them. If he wins, what we consider to be a crisis in today’s economy will be a routine affair in tomorrow’s.”
- IBD Editorial
So if Obama didn’t exist, but the screwed up everything else existed, the market would be soaring? That’s funny.
“So if Obama didn’t exist, but the screwed up everything else existed, the market would be soaring? That’s funny. ”
#76, the market looks ahead. You have no idea how many people have told me to buy certain stocks “if BO does win” and to get rid of certain other stocks. Ironically the stocks they told me to get rid of are down significantly. WS obviously believes the polls and they aren’t happy.
#74. this is the all time best line I’ve read in a long time:
“Get someone who hasn’t had all of the common sense educated out of her in there.”
And, I agree with you, been telling my friends, Barack looks more like GWB to me every day. Since he is a liberal socialist democratic they ask me how that could be since GWB is a republican. But I’m beginning to think that GWB is a real RINO.
What really frightens me about Barack is the fact that he has mentioned no less than three times a propensity to want to go into Pakistan. And od what, Barack, start a war. Is Barack a closet war hawk, that is what worries me the most.
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