"If you're going to panic, do it fast and beat the crowd." ~ Jesse Livermore

Wednesday, July 27, 2011

IMF's Lagarde warns on US default or downgrade

IMF's Lagarde warns on US default or downgrade
Reuters
NEW YORK, July 26 (Reuters) - A US default or significant credit downgrade would be a "very, very serious event," Christine Lagarde, the new head of the International Monetary Fund, said on Tuesday. Lagarde, who began as the IMF's managing director ...
IMF chief urges US to raise borrowing limit
Newsday (subscription)
Click here IMF chief urges US to raise borrowing limit Originally published: July 26, 2011 10:04 AM Updated: July 26, 2011 11:17 AM By The Associated Press CHRISTOPHER S. RUGABER (AP Business Writers), PALLAVI GOGOI (AP Business Writers) (AP) -- The ...
Earnings, debt worries drag European shares lower
Reuters
DE) cut its exposure by about 70 percent to five peripheral euro zone countries due to contagionfears over Greece's debt crisis. There were also concerns over a possible default or credit rating cut in the United States as lawmakers remained in ...
Eurozone Watch: Contagion Continues, Despite Greek Bailout Deal
Minyanville.com
It put the brakes on dramatic bond yield rises among the PIIGS, at least momentarily. 2. It displayed that compromise between the European Central Bank, the Germans, the French and other factions was possible. 3. It was a more sizable step than many ...
'Less risk' of euro area break-up
Sydney Morning Herald
THE risk of a break-up in the euro area is lower than a year ago, says Nouriel Roubini, the economist who predicted the global financial crisis. The risk of deflation in advanced economies has also fallen, Professor Roubini, the co-founder and chairman...
Italy forced to pay high rates in bond issue
AFP
The rates were at their highest level since the financial crisis in 2008. "You can really feel that not everything is settled. The market is still very nervous. There are quite a few questions," said Jean-Francois Robin, a bond market expert with ...
Boehner presses debt plan opposed by Democrats; IMF urges raise in debt limit
Washington Post
She said a default or downgrading of US debt “would be a very, very, very serious event, not just for the United States but for the global economy at large.” Lagarde also urged caution in adopting large deficit-reduction measures, saying that “the ...
MONEY MARKETS-Counterparty risk rises on US, euro zone worries
Reuters
The gap between three-month Libor and expectations of central bank rates in the euro zone -- a measure of counterparty risk -- rose six basis points to 26 bps but was still below 100 bps scaled at the height of the financial crisis two years ago. ...
As IMF Dodges Sudan Currency War, Lagarde Preaches to Friends at CFR
Inner City Press
I'll turn if I may to a question from the Media Briefing Center [from Inner City Press,] “with South Sudan now a UN member, what's the IMF's program there and what's the comment on currency war talk from Sudan?” Well, as you know, South Sudan has ...
Pakistan revenues fudge deepens IMF loan doubts
Asia Times Online
Pakistan's failure to meet the thrice-revised revenue target may prompt the IMF to cut or further delay the remaining funds of its US$11.3 billion bailout program agreed in 2008, leaving the country with little option but to request a fresh loan ...
Euro Short Taken Above 1.4500; Last Chance for Lower Top
Forex Rate It!
In an attempt to accelerate the process through fear, President Obama was on the wires late Monday warning of a deep economic crisis in the event of a default. Meanwhile, although the passage of the Eurozone bailout plan had generated some positive ...
President Obama Addresses the Nation on Dangers of Default
YouTube
With eight days until our nation faces an unprecedented financial crisis, the President addressed the nation on the consequences the stalemate in Congress could have on the stability of our economy. July 25, 2011.
FOREX: Ringgit Ends At 2.95 Against Dollar, Its Highest Since 1997
Bernama
KUALA LUMPUR, July 26 (Bernama) -- The ringgit closed at its highest level against the US dollartoday since the Asian financial crisis, boosted by lingering concerns on possible default by the US on its debt, dealers said. ...
REUTER MONEYGRAPH-IMF SDR RATES-JULY 25 US 1.60324
Reuters
JULY 25 JULY 22 JULY 25 JULY 22 US 1.60324 1.60455 IRANIAN 18695.0 N/A EURO 1.11491 1.11497 KUWAIT 0.43793 0.43917 UK 0.98491 0.98390 NORWEGIAN 8.66461 8.66056 AUSTRALIA 1.48133 1.47898 S. AFRICAN 10.8598 10.8565 JAPANESE 125.662 126.117 SWEDISH ...
We need 'Protestant' discipline of EU, says Greek minister
Europolitics.info
Private sector investment in Greece, including from the United States, would be crucial if Greece is to meet its IMF (International Monetary Fund) and EU-imposed debt reduction targets. Venizelos said that he was "very optimistic" following his ...
US debt crisis starts affecting the dollar
FXstreet.com
However, as there was no clear driver and as contagion on EMU sovereign bond markets was still on the radar, the rebound of the euro had also no strong legs. EUR/GBP closed the session at 0.8809, compared to 0.8833 on Friday. ...
EURO GOVT-Bunds down, but may recover as US debt talks drag on
Reuters
2 deadline to avoid a technical default and a potential cut in the country's AAA ratings. However, investors were not panicking and many analysts expect a last-minute deal to be reached. "Treasuries didn't really sell off yesterday so there's no real ...
FM calls for measures to prevent recurrence of euro crisis
Indian Express
Expressing concern, the finance minister said that the new package being worked out by the International Monetary Fund (IMF) and the European Central Bank should be so structured as to minimise the probability of a recurrence of the crisis. ...
European stocks dip on poor results, rising yields
Reuters
Yields also rose at a Spanish debt auction on Tuesday, signalling mounting pressure on both country's finances despite Greece's fresh bailout package announced last week that failed to quashcontagion fears. "It's positive that Italy was able to place ...
U.S. default deadline looms, no deal in sight
MetroNews Canada
WASHINGTON - The political and financial crisis gripping the US appeared Tuesday to have deepened after President Barack Obama and House Speaker John Boehner accused one another in nationally televised speeches of failing to negotiate in good faith to ...
IMF: Malawi's Economic Backsliding, Uprisings Cause For Concern
Wall Street Journal
And while the IMF has suggested that the government depreciate its currency to close the gap between imports and exports, the president has resisted, she said. Rafiq Hajat, a protest organizer, said protests will resume if the president doesn't heed ...
Minister warns Ireland must clear debt or 'go back under Britain's skirts'
Irish Central
Hayes also ruled out any possibility of a default on the EU-IMF bail-out. He said: “Our economy is not like Iceland or Argentina, where governments can devalue or print money and give two fingers to the international community. “Leaving the euro would ...
The economy – a Q&A session
The Guardian (blog)
Could the US really default? What would the knock-on effects be? And finally, is there a better way to run the global economy? Are such bodies as the IMF fit for purpose? Can you really fireproof the global economy, or will periods of prosperity always ...
IMF - Transcript of a Conference Call on the 2011 United States Article IV ...
ISRIA (registration)
I read three things in the document: one, that the dollar is at its lowest level in decades; two, that it's overvalued; and three, that people around the world are concerned with the possibility of the USdollar falling lower. ...
Euro Zone Rescue Effect Appears to Peter Out
New York Times
Christine Lagarde, the IMF chief, said Tuesday in New York that “the agreement shows that European leaders believe in the euro zone.” But, she added, according to prepared remarks, “turbulence could easily resurface. For this reason, it is essential ...
Eman El-Shenawi: When the Euro disease lurks…are Gulf markets immunized?
Al-Arabiya
Gulf export/ import markets and general economic indicators will not take much of a hit, as they would if the US debt talks end askew and disaster strikes (due to their chummy and popular Gulf dollar pegs). As contagion still threatens Italy and Spain ...
METALS-London copper rises after 4-day fall, gains capped
Reuters Africa
Over at the euro zone, Moody's cut Greece's credit rating further into junk territory on Monday and said it was almost certain to slap a default tag on its debt as a result of a new EU rescue package. * It was the second rating agency to warn of a ...
EU rescue of Greece 'a default', says Moody's
Business Day
EU leaders reached an agreement on July 21 on a second rescue package for Greece worth ¤159bn and strengthened the region's bail- out mechanism to offer protection to other euro- zone nations in a bid to stamp out contagion from the debt crisis. ...
European stocks mixed on US debt jitters
Ninemsn
European equities were mixed with investors focused on the debt-ceiling struggle in Washington and debt crisis contagion in Europe. Stock market investors shunned equities on Tuesday as they sought to lessen their risk exposure amid lingering concern ...
Analysis: US downgrade minor threat next to default prospect
Montreal Gazette
Countries like China and Japan, the largest foreign holders of US Treasuries, would over time further diversify their portfolios away from dollar assets. Default would catapult the United States to the top of the list of sovereign states whose ...
3 Wall Street scenarios for debt debate
USA Today
He notes that no one on Wall Street thought the government would let Lehman Bros. fail at the height of the financial crisis. When it did fail, the Dow plunged 504 points. "A default is much more harmful than a downgrade," says David Kelly, ...
Analysis: CEOs count on cash to cushion default risk
Reuters
As the days tick down to the August 2 deadline for a compromise in the capitol that will allow the United States to avoid defaulting on its debt, chief executives are looking to a big lesson of the financial crisis -- the best security is in cash. ...
Latin America learns the price of growth
AFP
None is worried about contagion from the eurozone or US financial crises. But what is worrying them is inflation and currency appreciation. Surging currencies in general have been strongly positive for regional companies. They have attracted foreign ...
What if the talks fail?
The Economist (blog)
What would be the consequence of even a notional default? The IMF has talked of a global recession if there was a loss of confidence in US solvency although it's not clear that a failure to roll over debt for a few days would qualify for that ...
US stock market daily report (July 25, 2011, Monday)
Stock Markets Review
The drop for crude came despite a weaker dollar, which traded lower on the US debt impasse. The IMF already issued a warning about the need for the US to increase the debt ceiling and carefully reduce the deficit. Various comments from the ...
IMF chief warns of global dangers of U.S. default | The Raw Story
By Agence France-Presse
IMF chief Christine Lagarde warned Tuesday the clock was ticking on a US debt deal, as the dollar slid to new lows amid concerns of a looming and unprecedented default by the world's top economy. President Barack Obama, in a solemn late ...
The Raw Story
NewsDaily: IMF chief urges U.S. to immediately resolve debt spat
IMF chief Christine Lagarde on Tuesday urged the United States to quickly resolve a political stalemate over raising the debt ceiling, warning that failure to reach an agreement would have serious consequences for the world economy. ... Her warning on the dangers of not raising the $14.3 trillion debt ceiling by August 2 came as the dollar fell across the board after U.S. President Barack Obama gave no sign of a breakthrough in deadlocked talks in a televised speech late ...
NewsDaily: Top Headlines
Latest deal won't save Greece, and the contagion is spreading ...
By Calgary Beacon
This contagion effect has seen bond ratings collapse in both Portugal and Spain. Now the Euro-zone sovereign debt disease has entered a dangerous new phase as Italy, the zone's third largest economy with a debt over five times that of ...
Calgary Beacon
Crises, crises everywhere: Atlantic contagion | The Economist
The ratings agency expressed concern that a Greek default would hit financial institutions in other peripheral countries, and it fretted that, "The support package sets a precedent for future restructurings should the finances of ...
Free exchange
Christine Lagarde, IMF Chief, Urges U.S. To Raise Borrowing Limit
By The Huffington Post News Editors
Lagarde said a default or downgrade of U.S. debt "would be a very, very, very serious event not just for the United States but for the global economy at large." U.S. Treasury bonds play a "central role" in world financial markets, ...
The Huffington Post | Full News Feed
Moody's downgrades Greek debt again, warns of default | MAARS News
By Valkyries
The EU bailout to Greece protected all countries holding Europe's common currency the euro, Moody's said, by “containing the severe near-term contagion risk that would likely have followed a disorderly payment default or large haircut ...
MAARS News
US Debt Crisis Starts Affecting The Dollar | Forex Journal
By KBC Bank
US debt crisis starts affecting the dollar. Yesterday, EUR/USD traders didn't know which card to play (uncertainty on the US debt ceiling or EMU contagion). However, overnight, a speech of Mr. Obama indicated that an agreement on the US ...
The Forex Journal Magazine
Euro zone, IMF agree on second bailout for Greece - South Eastern ...
Euro zone and IMF back further 109 billion euro rescue package for Greece; banks and other private investors will contribute 37 billon euro to the package.
sofiaecho.com/.../1127530_euro-zone-imf-agree-on-second-b...
Under pressure from the IMF, the euro area is preparing for a ...
by Bud Wise Under pressure from the IMF, the euro area is preparing for a summit on debt Posted at 15:20 Edited 12-07-11 at 21:27 by Le Nouvel.
economicsnewspaper.com/.../under-pressure-from-the-imf-the...
Sovereign default risks amplify supply shocks: IMF paper - Central ...
imf-2. An International Monetary Fund paper, published on Thursday, shows sovereign default risks raise firms' financing costs and amplify negative ...
www.centralbanking.com/.../sovereign-default-risks-amplify-s...
PIIGS Update: Greece to Get Voluntary Debt Restructuring | www ...
And that, in turn, has reduced the likelihood of a sovereign debt default contagion. It's interesting that the ISDA (the International Swaps & Derivatives ...
www.bullfax.com/?q=node-piigs-update-greece-get...
IMF:Eurosystem Liquidity Support Key In Case Of Greek Default ...
FRANKFURT (MNI) - Ongoing Eurosystem liquidity support for the banking system is critical to limitcontagion risks in case of a Greek default...
imarketnews.com/node/33674
Contagion from Euro-zone comes to Poland via strong CHF
Contagion from Euro-zone comes to Poland via strong CHF. Mon, Jul 25 2011, 11:27 GMT. ECB to increase rates and happy to leave for the beaches ...
www.fxstreet.com/fundamental/analysis-reports/kbc.../25/
Euro under 'shadow': IMF sees nations' debt crises putting ...
Euro under 'shadow': IMF sees nations' debt crises putting currency in peril. Wednesday, July 20, 2011. By Howard Schneider, The Washington Post ...
www.post-gazette.com/pg/11201/1161535-82-0.stm?cmpid...

Euro Crisis - Google News

Fiscal Cliff - Google News

Economics, interest rates, house prices, inflation, Bank of England

Markets News - Global Financial Market News

Financial Crisis

Jeremy Warner - Finance and business comments

Ambrose Evans-Pritchard - Finance and business comments

Jeff Randall - Business and politics comments

New Normal News

Views under the Palm

johnyah