Monday, January 21, 2008

Great Depression 2 Headlines

Global markets plunge on U.S. recession fears
Wall St execs collect $US33b bonuses.

It's good to see what is really happening in financial markets. Behind every institution there are profits and losses. The profits get filtered through to some and the losses, defaults, home repossessions or insolvencies to others - get the idea.

Global markets plunge on U.S. recession fears

Britain's benchmark FTSE-100 slumped 5.5 percent to 5,578.20, France's CAC-40 Index tumbled 6.8 percent to 4,744.15, and Germany's blue-chip DAX 30 plunged 7.2 percent to 6,790.19.

In Asia, India's benchmark stock index tumbled 7.4 percent, while Hong Kong's blue-chip Hang Seng index plummeted 5.5 percent to 23,818.86, its biggest percentage drop since the Sept. 11, 2001, terror attacks.

On a global level this amounts to huge finances.

Wall St execs collect $US33b bonuses.

The Wall Street gurus who presided over the subprime mortgage crisis currently shredding global sharemarkets have awarded themselves bonuses totalling $US33.2 billion ($38 billion).

In a concession to the crisis - which has forced America's largest banks to write off billions in bad investments and raise billions more to shore up their capital reserves - the bonuses were down nearly 5 per cent on the previous year.

Same day - 2 headlines. We have winners and losers in todays papers.

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