Wednesday, August 22, 2007
Subprime
Before deciding the next move, I have to re-consider what had been happened ...
(June 07) Bear Stearns hedge funds collapse - apparently believed that collaterised debt obligations (CDOs) backed by subprime mortgages would start to increase in value over the longer term following their recent decline.
(July 19, 07) DOW record high closing above 14,000 for the 1st time.
(Aug 07) American Home Mortgage Investment Corp., announced it might be forced to liquidate assets, sending its shares down more than 90%. It filed Chapter 11 bankruptcy on August 6, 2007
(Aug 07) IKB Bank stocks lost 40 percent in Frankfurt trading in one day. IKB is believed to have an exposure of 17.5 billion euros ($24 billion) to US subprimes and could lose up to one fifth of its investments. Then SachsenLB Bank ...
(Aug 07) Worldwide market panic ...
The Rescue
(Aug 9, 07) Fed injected $30B to bail out investors over-extended in risky mortgage investments.
(Aug 10, 07) Injected $38B to bail out investors over-extended in risky mortgage investments.
(Aug 13, 07) Injected another $5B.
(Aug 14, 07) Injected another $7B to $15B.
(Aug 16, 07) The Fed added $17B.
(Aug 17, 07) Fed, the discount rate was reduced by 50 basis points from 6.25 percent to 5.75 percent, trying to halt market meltdown.
(June 07) Bear Stearns hedge funds collapse - apparently believed that collaterised debt obligations (CDOs) backed by subprime mortgages would start to increase in value over the longer term following their recent decline.
(July 19, 07) DOW record high closing above 14,000 for the 1st time.
(Aug 07) American Home Mortgage Investment Corp., announced it might be forced to liquidate assets, sending its shares down more than 90%. It filed Chapter 11 bankruptcy on August 6, 2007
(Aug 07) IKB Bank stocks lost 40 percent in Frankfurt trading in one day. IKB is believed to have an exposure of 17.5 billion euros ($24 billion) to US subprimes and could lose up to one fifth of its investments. Then SachsenLB Bank ...
(Aug 07) Worldwide market panic ...
The Rescue
(Aug 9, 07) Fed injected $30B to bail out investors over-extended in risky mortgage investments.
(Aug 10, 07) Injected $38B to bail out investors over-extended in risky mortgage investments.
(Aug 13, 07) Injected another $5B.
(Aug 14, 07) Injected another $7B to $15B.
(Aug 16, 07) The Fed added $17B.
(Aug 17, 07) Fed, the discount rate was reduced by 50 basis points from 6.25 percent to 5.75 percent, trying to halt market meltdown.
# posted by Lobo @ 4:11 AM 
