Clinton -- doomed & wagging, Japan collapses, Y2K bug, etc Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Clinton -- doomed & wagging, Japan collapses, Y2K bug, etc

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Lucky Lady who wrote (334)	9/17/1998 9:13:00 AM
From: SOROS	of 1151

DEPRESSION WARNING #1 BBC-London - 09/17/98 US Federal Reserve Chairman Alan Greenspan failed to reassure markets US Federal Reserve Bank Chairman Alan Greenspan has said there is no effort under way to launch a co-ordinated round of interest rate cuts among major countries to deal with the worsening global financial crisis. Speaking before the US Congress his comments lowered hopes of an imminent cut in US interest rates. "I can safely say that at the moment there is no endeavor to co-ordinate interest rate cuts," he said. Mr Greenspan's comments disappointed traders and caused shares to fall in New York, before a late rally inspired by President's Clinton's comments that he is determined not to resign. Hopes of US rate cuts have buoyed stock markets around the world over the last few days. US slowdown However, Mr Greenspan did not rule out a co-ordinated rate cut in the future, saying that US officials are staying in close touch with other industrialised countries. Mr Greenspan could also look to lower US rates in due course as the global financial crisis takes its toll on domestic growth. In testimony to the US lawmakers, Mr Greenspan called for countries to abandon attempts at exchange controls as a means of dealing with the global financial crisis. He said that the free flow of capital was necessary to preserve long-term growth prospects. Mr Greenspan said that the failure of domestic financial systems was now transmitted worldwide more quickly, but these needed more transparency, not isolation from the world economic system. But he said that there had not been "due diligence" by foreign investors who were influenced by high equity prices in the US, and by some foreign borrowers. Call for more IMF funds Meanwhile, the US Treasury Secretary Robert Rubin praised the work of the IMF in reducing the impact of the financial crisis and called on Congress to fully fund the IMF. So far the House of Representatives has blocked approval of its requested quota increase. "Every day the Congress does not approve the request for IMF funding increases our vulnerability to a crisis and decreases confidence in global markets," said Mr Rubin. The IMF has come under a barrage of criticism in the wake of the economic crises in Asia and Russia, most recently by the United Nations Conference on Trade and Development or UNCTAD. In its annual report, it says the IMF was mistaken in rejecting the idea of setting up a special fund to tackle economic difficulties in Asia. It warns that the world economy is on a knife-edge and could go into a full-blown recession, unless urgent action is taken in Europe and Asia.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next