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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies -- Ignore unavailable to you. Want to Upgrade?

To: TokyoMex who wrote (3298)	9/6/1998 5:17:00 AM
From: TokyoMex	Respond to of 119973

From Yahoo Today: (September 4, 1998) " ... U.S. banks, brokers crumble as emerging mkts roil By Mary Kelleher NEW YORK, Sept 4 (Reuters) - Shares of U.S. banks and brokerage houses were clobbered this week, receiving sharp blows from Wall Street for being too close to the eye of the storm brewing in volatile emerging markets. Many financial firms have already warned of lower results in the third quarter due to Russia's economic crisis and tough market conditions, but Wall Street is demanding more figures about potential liabilities abroad as the U.S. banks' old nemesis -- Latin America -- once again rears its head. Investors are also bailing out of bank stocks on the belief that the good times could be over for the sector, if once-lucrative businesses like corporate finance, trading and asset management dry up in the face of an economic downturn. ''Clearly it has been a punishing half a dozen weeks for the commercial banks and now the brokerage stocks,'' James McDermott Jr., an analyst at Keefe, Bruyette & Woods Inc. said. ''The fear has spread from one region to another. I don't hear too many discriminating questions -- I just hear an awful lot of fear being expressed.'' The pain that big banks have felt in Russia and Asia could significantly pale in comparison if leading Latin American economies like Brazil, Argentina and Mexico falter, as many did during the less developed country (LDC) crisis in the 1980s. In 1982 Mexico shocked its bankers, including most of the biggest U.S. bank holding companies, by announcing the need to restructure its bank debt. The move touched off a crisis in less developed countries that didn't completely fade from most U.S. money center balance sheets until the mid-1990s. And... "Brazil Bovespafalls 10 pct, trading halted SAO PAULO, Sept 4 (Reuters) - Brazil's Bovespa exchange plunged 10 percent at 1528 local/1828 GMT, setting off the circuit-breaker and halting trading for 30 minutes, a spokeswoman at the exchange said. Shares fell on concern that Latin America's biggest economy could see another surge in capital flight drive more investors out of the market, traders said. Sao Paulo's key Bovespa index bounced back slightly before the exchange was able to halt trading. Operations were suspended at 5,618 points, down 9.65 percent. Trading will resume at 1558 local/1858 gmt. Some $3.81 billion fled Brazil's foreign exchange market in the first three days of September, unnerving investors already worried about flight from emerging markets. A decline in U.S. equities coming after Moody's Investor Service downgraded Brazil's debt on Thursday fueled declines, traders said.