>>BTW, any idea how the Nikkei will reaact to the latest news?<<
Mixed. The market ran up on Monday in hopes that gvt would bail out Hokkaido Sapporo Bank, but it did not. Gvt did offer assistance to Yamaichi, but Yamaichi chose to close its doors (at least Yamaichi Securities, there are two other firms in the Yamaichi Securities group --
Information Systems and Research Group). You can check them out in English at yamaichi.com.
Yamaichi was offered assistance because its assets still exceeded its debt. This was not the case with Sanyo Securities and Hokkaido Sapporo's balance sheets. Thus you can figure that any company that is in serious trouble, that is ready to go into recievership, will have to have a reasonable amount of equity to debt, otherwise the government is just going to let a "failure" fail. That is why I say mixed, not every company will be able to qualify for gvt backed loans, so there are still many banks and a few securities firms that can fail. After deregulation of the securities industry at EOY I look only for Numura and Nikko to survive in the brokerage business, not quite sure about which banks.
Found this Nikkei site, in English, has histroical data and gives company quotes.
www2.gol.com |
