March 10, 2012 |
ATHENS, Greece - Greece's private creditors agreed Friday to take cents on the euro in the biggest debt write-down in history, paving the way for an enormous second bailout for the country to keep Europe's economy from being dragged further into chaos. Greece would have risked defaulting on its debt in two weeks without the agreement. Prime Minister Lucas Papademos called the deal - which shaves some $138 billion off Greece's $487 billion debt load - an important "historic success" in a televised address to the nation Friday night.
January 5, 2013 |
From John Paulson's call for a collapse in Europe to Morgan Stanley's warning that U.S. stocks would decline, Wall Street got little right in its prognosis for the year just ended. Paulson, who manages $19 billion in hedge funds, said the euro would fall apart and bet against the region's debt. Morgan Stanley predicted the Standard & Poor's 500 Index would lose 7 percent, and Credit Suisse Group AG foresaw wider swings in equity prices. All of them proved wrong last year, and investors would have done better listening to Goldman Sachs Group Inc. chief executive officer Lloyd C. Blankfein, who said the real risk was being too pessimistic.
February 27, 2013 |
NEW YORK - Stocks had their worst drop in more than three months as the prospect of political paralysis in Italy raised the specter of Europe's debt crisis flaring up again. The Dow Jones industrial average fell 216.40 points, or 1.6 percent, to 13,784.17, its biggest drop since Nov. 7. The Standard & Poor's 500 index fell 27.75 points, or 1.8 percent, to 1,487.85, dropping below 1,500 for the first time in three weeks. The Nasdaq composite dropped 45.57 points, or 1.4 percent, to 3,116.25.
July 23, 2013 |
TOKYO - Japanese voters dealt a runaway election victory Sunday to the ruling Liberal Democratic Party, exit polls indicated, in a strong sign of approval for Prime Minister Shinzo Abe's ambitious plan to revive the world's third-largest economy. Sunday's vote, for seats in the upper house of parliament, gives Abe's ruling bloc control of both chambers - and it provides Abe with a mandate unmatched by any Japanese leader in nearly a decade. How Abe uses that political power will help determine the long-term health of Japan's economy and its relations with Asian neighbors.
February 22, 2013 |
FRANKFURT, Germany - The European Central Bank says Italian government bonds account for nearly half of its total holdings under a now discontinued bond-buying program launched in 2010 to ease the eurozone's debt crisis. The bank on Thursday detailed for the first time what countries' bonds it acquired under the so-called Securities Markets Program, which it started when the euro area's debt crisis flared in May 2010. The central bank for the 17 European Union countries that use the euro said it held bonds with a face value of 218 billion euros ($287 billion)
February 16, 2012 |
PARIS - Nicolas Sarkozy threw himself Wednesday into what may be the toughest fight of his political career: Unpopular for years and running a feeble economy, the divisive French president announced he's running for a second term. The man who improved French relations with the United States, rallied European leaders to ward off financial meltdown, and initiated international air strikes in Libya is widely disliked at home. Polls suggest his Socialist challenger will be the one attending world summits come May. But Sarkozy is not one to give up easily.
March 22, 1989 |
In 1981, the average price of a new home was $68,900, the government debt was under $1 trillion and the minimum wage was $3.35 an hour. Today, the average new home sells for $117,000, the government debt is approaching $3 trillion and the minimum wage is still $3.35 an hour. Now that, too, may change. A bipartisan agreement reached yesterday makes it likely that the House will vote this week to raise the minimum wage to $4.55 an hour by autumn 1991. And the prospect that some type of increase will become law is better than at any time in the last eight years.
August 6, 2011 |
Shocking and unprecedented though it may be, the Standard & Poor's downgrade of the U.S. government's credit worthiness is not likely to have huge short-term impact on the economy or the finances of average citizens. That is the view of prominent economists and investment advisers in the Philadelphia region who said Saturday that financial markets had been anticipating the S&P action for weeks. The downward pressure on Treasury yields tended to support that view, they said.
August 7, 2011 |
Shocking and unprecedented though it may be, the Standard & Poor's downgrade of the U.S. government's creditworthiness is not likely to have a huge short-term effect on the economy or the finances of typical residents. That is the view of prominent economists and investment advisers in the Philadelphia region, who said financial markets had been anticipating the S&P action for weeks. The downward pressure on Treasury yields tended to support that view, they said. Investors have been eager to snap up U.S. government debt despite ongoing differences between Republicans and Democrats in Washington over how to balance the budget and the anticipated action of S&P. "What matters most is the opinion of investors, not of a rating agency, and the collective wisdom of the market is that the U.S. Treasury bond is still the safest asset on the planet," said Mark Zandi, chief economist at Moody's Analytics Inc., of West Chester.
March 8, 2012 |
The stock market reclaimed some losses from its biggest dive this year and returned Wednesday to its pattern of steady gains and stable trading. Reassuring reports on productivity and hiring overshadowed worries about the Greek debt crisis. Stock indexes made solid gains by midmorning after the government said oil refineries were operating at a faster clip than economists had expected. Oil refiners Valero Energy Corp. and Tesoro Inc. were among the biggest gainers in the Standard & Poor's 500. The Dow closed up 78.18 points, or 0.61 percent, at 12,837.33.