Why is the tech sector getting destroyed this week?
Answers: Expectations of lower future earnings.
Yep, the whole market is screwed up right now. I keep track of my deceased mom's retirement account (until I am ready to take distributions) and it lost over a $1000 so far this year. When those are losing money you know things are bad. It has lost $2000 since she passed 4 months ago.
I heard someone mention "Free Radicals",,,,,,,should i stock up before they charge for them ?
Answers: No, if you get some, you will be stuck feeding them and they will eat you out of house and home.
and the audience goes"WOW"....
How are/can Investment bank protect themselves against the credit crunch?
Please also provide any online articles or sources you have used to formulate an answer.Answers: Banks customarily has to put aside a sure percent of cash for loans that walk into default. However various subprime loans was approved which is cause most of the credit crunch issue.
Tighter lending practices will call for to be in place to prevent approving loans to below qualifying race.
It seems to me they can't, and thus the aim so many institutions are no longer around. They've made their choices, made their bed, and now they must sleep near. All they can do now is verbs in their horns, and restrict commotion, which only make things worse for others. More strict legislative caps are already contained by place; their hands are tied.
They are completely reliant very soon on someone else, on some other market, on the psychology of the market and human emotion.
The withdrawal of confidence over sub-prime loans has cause liquidity to dry up. All liquidity is going into T-Bills. Commercial paper have even dried up.
All of the fears have become remarkably real problems. The tide have gone out in the housing open market and will have an effect on everyone’s wallet eventually.
If you believe the federal funds futures market, the Federal Reserve must silver its mind every month or so regarding what it plans to do next to interest rates.
They must now but keep on.