No image available
/ 22 May 2008

Oil races above $135, stocks and bonds shudder

Record high oil prices at a barrel deepened worries about inflation on Thursday and weighed on some Asian stocks although Japanese shares ended slightly higher, as dealers trimmed their bets on further weakness. The dollar trudged higher against the euro after earlier hitting a one-month low after the Federal Reserve slashed its United States 2008 growth forecast

No image available
/ 15 April 2008

Oil sets new record high above $113

Oil set new record highs above a barrel on Tuesday as investors sought to hedge against a battered dollar. United States crude rose by ,80 to ,56 a barrel at 2.05pm GMT, after touching a record high of ,93. London Brent crude was up by ,91 at ,75, after a record high of ,85.

No image available
/ 4 April 2008

Bank chief blames rumours for Bear’s collapse

The head of the crisis-hit investment bank Bear Stearns has blamed short sellers and market manipulators for spreading negative financial rumours to induce a collapse of the 85-year-old Wall Street institution. Bear’s chief executive, Alan Schwartz, told the senate’s finance committee in Washington that his firm had been as well-capitalised as its rivals.

No image available
/ 3 April 2008

Paulson says China market reforms to continue

China is too far down the road toward a market economy to turn back from reforms now, even if United States financial market turmoil is causing it some qualms, US Treasury Secretary Henry Paulson said on Thursday. Paulson told reporters the biggest threat to continued reforms came from firms in China that want to be protected against competition.

No image available
/ 2 April 2008

Costly food? Investors only partly to blame

High food prices around the world? Blame — at least in part — the investors who moved their money into commodities in the past five years, looking for better returns than they were getting from stocks and bonds. Global investment funds saw the potential for profits in commodities outstripping those from the stock market, and from 2002 started diving into oil.

No image available
/ 17 March 2008

JP Morgan to buy Bear, Fed opens lending to Wall Street

JP Morgan Chase set a deal to buy stricken rival Bear Stearns for a rock-bottom price, while the United States Federal Reserve expanded lending to securities firms for the first time since the Great Depression to prop up the financial system. The shock news, the biggest sign yet of how devastating the credit crisis is for Wall Street, slammed the US dollar to a record low against the euro,

No image available
/ 30 January 2008

US economic growth weakest in five years

United States growth skidded lower in the fourth quarter and was the weakest in five years for all of 2007, according to a government report on Wednesday that highlighted the toll an enfeebled housing sector has taken on the national economy. The dollar’s value declined against other major currencies on the soft GDP data.

No image available
/ 15 January 2008

Record-breaking gold could hit $1 000

The price of gold is hitting new record highs owing to the troubled United States economy and a cocktail of other supportive factors, leading some analysts to predict  000 per ounce could happen soon. In recent days the precious metal has blasted past in a record-breaking run. On the London Bullion Market on Monday, gold blazed a trail as high as ,30 dollars per ounce.

No image available
/ 19 November 2007

East Africa integration ‘good for growth’

The momentum towards regional integration in East Africa received encouragement from the United States this week, with US Treasury Secretary Henry Paulson saying that it should boost economic growth in the five-member East Africa bloc. "This is a region that has showed great economic growth over the last couple of years," he said.

No image available
/ 4 November 2007

Citigroup CEO Prince to resign

Citigroup chief executive Charles Prince plans to resign this weekend, the Wall Street Journal said on Friday, as the widening subprime mortgage crisis brings to an end the reign of Sanford Weill’s troubled successor. The largest United States bank by assets plans to hold an emergency board meeting on Sunday, at which Prince will step down.

No image available
/ 31 August 2007

Bush, Bernanke to launch twin subprime assault

United States President George Bush will outline reforms on Friday to help struggling subprime mortgage borrowers and his central bank chief will deliver a speech which will be pored over for hints of a looming rate cut. Federal Reserve chairperson Ben Bernanke speaks on ”Housing and Monetary Policy” at around 2pm GMT.