Fed Keeps Rates Low Due to Tighter Bank Lending Standards
You may already know that the Federal Reserve decided to keep its benchmark rates at all time lows for a continued period of time.
“Economic Recovery Will Be Moderate,” Says Vice Chairman of Federal Reserve
Donald L. Kohn, the Vice Chairman of the Board of Governors of the Federal Reserve System, gave a speech yesterday in which he said the economy appears to be recovering, but will most likely do so gradually.
Optimistic News From the Federal Reserve Board
In a press release produced by the Federal Reserve Board of Governors, continued stabilization in household spending and a slower rate of layoffs from businesses have prompted the Federal Open Market Committee
CD Rates This Week: Fed Says Recovery Is Near But CD Rates Fall Some More
Even as the Federal Reserve boldly declared only this week that the recession was coming to an end, its benchmark short-term interest rates remained low at 0% to 0.25%, further saying that rates "will stay low for a longer period of time."
Credit Card Usage: Biggest Percentage Decline in 31 Years
According to the Federal Reserve, consumer credit card spending suffered its biggest decline in more than 30 years in February 2009. As consumers tighten their belts due to the economic crisis, job woes, and overall dampened sentiment, their reliance on plastic is likewise declining. The downtrend is outlined at the Fed’s G.19 report on consumer credit.
Goldman Sachs and Morgan Stanley: Shifting Gears
The high-paying, king-making Wall Street that everyone was once in awe of practically vanished after JP Morgan's purchase of Bear Stearns in March, Lehman Brothers' closure in September, and Bank of America’s acquisition of Merrill Lynch that same time. When the dust had settled, only two were left standing: Goldman Sachs and Morgan Stanley.
The Rising Dollar: Fortune or Fluke
Stronger Dollar? What It Means to the Average Consumer As measured by six major currencies, the US dollar has appreciated 19% during the past three months (August to October 2008). To be specific, the US dollar index is now at 85 up from the low of 71.3. The reversal takes the valuation of the US dollar back to October 2006 levels. It just experienced its best week of appreciation in almost 16 years. By any measure, the stronger dollar was unexpected by the financial market in terms of its speed, timing, and magnitude. Typically, a strong currency should be the sign of the strong economy. However, everyone knows that America’s biggest financial institutions today are insolvent and some had even filed for bankruptcy. The government is also spending millions to “bail-out” everything from banks to insurance companies to auto manufacturers. If that’s not enough, the value of commercial real estate is sinking together with residential real estate.
Merrill Lynch, Morgan Stanley Battle Independent Brokerages For Wealthy Investors
U.S. Bank Acquires FBOP Corporation’s 9 Failed Banking Subsidiaries
Assessing the Impact of the FDIC’s Temporary Liquidity Guarantee Program
FDIC Chairman Shelia Bair on The State of American Banking – Summary and Analysis
Citibank Credit Card Interest Skyrockets In Anticipation of Federal Regulation
Commerce Bank of Southwest Florida Fails, Becomes 123 Bank to Close in 2009
ING Direct Black Friday Special: Save ‘Til You Drop
Savers Left With Fewer Options as Hudson City Savings Lowers Top CD Rates
Wells Fargo Settles $1.4 Billion Lawsuit Regarding Auction-Rate Securities
‘Too Big To Fail’ Firms May Be Broken Down To Smaller Size
