World economy talk

[uls]

China rate cut 0.25%

this is not the usual RRR (reserve requirement ratio)

this is major

[interruptedz]

dont forget that china recently open its currency for trading.its now being traded in japan.it plans to overtake the dollar as the new intl currency. red it in business world di ko makita online link

[uls]

Bernanke disappoints

DOW +46.17 +0.37%, NASDAQ -13.70 -0.48%, S&P 500 -0.14 -0.01%

Bernanke offers few hints of Fed stimulus | Reuters

(Reuters) - Federal Reserve Chairman Ben Bernanke said on Thursday the U.S. central bank was ready to shield the economy if financial troubles mount, but offered few hints that further monetary stimulus was imminent.

Bernanke told Congress the Fed was monitoring "significant risks" to the U.S. recovery from Europe's debt and banking crisis closely.

But for financial markets hungry for clues about the prospect for a third round of Fed bond buys, Bernanke's testimony disappointed. Many economists at prominent banks have been expecting the Fed to take some new policy steps at its June 19-20 meeting.

[uls]

News Headlines

Asian stocks opened mixed on Friday, as the optimism over China's surprise 25 basis point rate cut was tempered after U.S. Federal Reserve Chairman Ben Bernanke did not offer the prospect of an immediate stimulus in a speech on Thursday.

[Monseratto]

No QE3 on the horizon?

[uls]

now everyone's waiting for the June 20 FOMC statement

hoping hints of QE is in there

[uls]

rumortime:

Spain to make formal request for aid this weekend

update:

Spain - no comment

Spain - no decision until after bank audits

[uls]

eto may article na

Exclusive: Spain to request EU bank aid on Saturday: sources | Reuters

Exclusive: Spain to request EU bank aid on Saturday: sources

By Julien Toyer and Matthias Sobolewski
MADRID/BERLIN | Fri Jun 8, 2012 6:23am EDT
(Reuters) - Spain is expected to request European aid for its ailing banks at the weekend to forestall worsening market turmoil, becoming the fourth and biggest country to seek assistance since the euro zone's debt crisis began, EU and German sources said.

[Monseratto]

eto may article na

Exclusive: Spain to request EU bank aid on Saturday: sources | Reuters

Also the news of no QE3, commodities rally loosing steam...


Brent Crude Oil
$98.03

WTI Crude Oil
$82.24



EUR/USD
1.2462




USD Index

[Monseratto]

Imagine Aguirre and Brenda...




Greek extremist party member punches rival on live TV | Inquirer News

[uls]

good afternoon

kinda late no? hehe

last night began with risk-off mood but sentiment improved at the European close

DOW 12554.20 +93.24 +0.75%, NASDAQ 2858.42 +27.40 +0.97%, S&P 500 1325.66 +10.67 +0.81%

Brent crude $99+

WTI at $84+

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quote ko lang sarili ko

the global financial system works like a ponzi scheme

to keep it working properly ever greater amounts of money has to be created to service the previous amounts created

by creating money meaning money has to be borrowed into existence

so as more and more money is created you need more and more money to pay back the amount previously created (coz there's interest attached to all that money)

the system works fine as long as there's an ever greater amount of money created (or borrowed into existence) to service the previous amount created

BUT when borrowing slows down (coz borrowers can no longer take on more debt) the system gets screwed

where will the money come from to service the previously created debt?

like what happened when the US housing boom collapsed (also happening in Spain)

so when that happens central banks lower interest rates to encourage borrowing

the other day China cut its benchmark lending rate for the first time since 2008

why did China do that?

here's why

2012

5月份，全国居民消费价格总水平环比下降0.3%。其中，城市下降0.3%，农村下降0.3%；食品价格下 降0.8%，非食品价格持平（涨跌幅度为0）；消费品价格下降0.4%，服务项目价格上涨0. 1%。

In May , the national consumer price level fell by 0.3% . Among them, the cities fell 0.3 percent , fell rural areas ; food prices fell 0.8% , non-food prices were flat (Change rate to 0 ); consumer prices fell 0.4 percent , prices of services rose 0.1 percent .

their economy is deflating

[uls]

it's official

Eurozone agrees to lend Spain up to 100 billion euros | Reuters

(Reuters) - Euro zone finance ministers agreed on Saturday to lend Spain up to 100 billion euros ($125 billion) to shore up its teetering banks and Madrid said it would specify precisely how much it needs once independent audits report in just over a week.

After a 2 1/2-hour conference call of the 17 finance ministers, which several sources described as heated, the Eurogroup and Madrid said the amount of the bailout would be sufficiently large to banish any doubts.

[boybi]

it's official

Eurozone agrees to lend Spain up to 100 billion euros | Reuters

OT lang, in what language does the euro ministers speak in their meetings?

[uls]

OT lang, in what language does the euro ministers speak in their meetings?

sa pagkaalam ko kanya kanyang language (Germany german Spain spanish etc) then meron translators

[uls]

Pacquiao lost

risk on!

hehe

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S&P 500 e-mini futures

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Bankia

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Bankinter

[boybi]

sa pagkaalam ko kanya kanyang language (Germany german Spain spanish etc) then meron translators

Kabagal siguro ng mga meetings nila. At least 2x the time compared to using a single language.