Comments on: Financial Crisis Hits Gulf States http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html Sat, 21 Nov 2009 22:38:01 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Anonymous http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23402 Anonymous Mon, 27 Oct 2008 15:56:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23402 Maybe the oil-producing nations will think twice in the future about keeping oil production so constrained that the price contributes to worldwide economic malaise. Maybe the oil-producing nations will think twice in the future about keeping oil production so constrained that the price contributes to worldwide economic malaise.

]]> By: Allan Baraza http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23390 Allan Baraza Mon, 27 Oct 2008 12:44:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23390 Well, i believe that even they prolly wont be hit as much since they possess large bounties of rainy day funds. i mean, even if oil prices are going down, most of these countries have been preparing their budgets assuming oil prices of between 40 - 60 dollars a barrel, so they wont really be hit anyway. combine that with the funds they have, and life is certainly a million times better over there than in NY. Well, i believe that even they prolly wont be hit as much since they possess large bounties of rainy day funds. i mean, even if oil prices are going down, most of these countries have been preparing their budgets assuming oil prices of between 40 – 60 dollars a barrel, so they wont really be hit anyway. combine that with the funds they have, and life is certainly a million times better over there than in NY.

]]> By: baychev http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23381 baychev Mon, 27 Oct 2008 10:26:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23381 who were those defaulting counterparties indeed?<br/>there are no lawsuits, no news on the wires.<br/><br/>ahh, and dubai already having one of the busiest airports in the world running at 85% capacity is building a new airport as well. only 10 times bigger though. who were those defaulting counterparties indeed?
there are no lawsuits, no news on the wires.

ahh, and dubai already having one of the busiest airports in the world running at 85% capacity is building a new airport as well. only 10 times bigger though.

]]> By: Richard Kline http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23370 Richard Kline Mon, 27 Oct 2008 08:19:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23370 "Gulf Bank said defaults by counterparties on bad euro-dollar derivatives contracts forced the bank to seek government intervention." Who defaulted; any idea, anyone? <br/><br/>This is the motionless canary on its back in the bottom of the bird cage, more important than the government action in and of itself. There is a colossal volume of currency swaps outstanding in the wildest currency environment in two generations. If we have a default rate for these instruments even no worse than the surprisingly mild 3-5% default rate on the Lehman's debt swaps---*gaaackk* An isolated bank implosion is to be expected in present conditions, but what led to this one is worth knowing. “Gulf Bank said defaults by counterparties on bad euro-dollar derivatives contracts forced the bank to seek government intervention.” Who defaulted; any idea, anyone?

This is the motionless canary on its back in the bottom of the bird cage, more important than the government action in and of itself. There is a colossal volume of currency swaps outstanding in the wildest currency environment in two generations. If we have a default rate for these instruments even no worse than the surprisingly mild 3-5% default rate on the Lehman’s debt swaps—*gaaackk* An isolated bank implosion is to be expected in present conditions, but what led to this one is worth knowing.

]]> By: Payday Loan Advocate http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23369 Payday Loan Advocate Mon, 27 Oct 2008 08:11:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23369 The current economic climate in the United States is a crisis. However, Americans aren’t the only ones feeling the crunch. An article from The International Herald Tribune tells us about a small business owner, Dominique Boudier, owner of a printing company just outside of Paris, and how her business has been affected by the fast drying up of available credit. Her creditors are reducing their offers by as much as 50% or more, and it is by mandate of her supplier’s credit insurance companies. Her business has a 60 day lag in payments from customers, and she needs credit in order to keep the shop open when their payments are that late. Her banks’ hands are tied, and she is left fearing the worst as her bank, like many in Europe, puts all their liquid cash into the European Central Bank’s reserve depository, in lieu of reinvesting it into the economy and generating income. As banks fail and liquidity goes with it, credit is drying up rapidly. The European Central Bank functions much like the American Federal Reserve Bank to create fiat money as required. Fiat currency is effectively credit currency, but as a government’s guarantee of its value decreases, so does its value. The natural result is high inflation rates, which is happening currently. The consensus amongst many is that stronger banking systems is the correct medicine. Until the correct changes are in place, payday advance loans will be easier to come by for consumers who need short term help immediately and can’t afford to wait for the banking system.<br/> <br/>Post Courtesy of Personal Money Store<br/>Professional Blogging Team<br/>Feed Back: 1-866-641-3406<br/>Home: http://personalmoneystore.com/NoFaxPaydayLoans.html<br/>Blog: http://personalmoneystore.com/moneyblog/ The current economic climate in the United States is a crisis. However, Americans aren’t the only ones feeling the crunch. An article from The International Herald Tribune tells us about a small business owner, Dominique Boudier, owner of a printing company just outside of Paris, and how her business has been affected by the fast drying up of available credit. Her creditors are reducing their offers by as much as 50% or more, and it is by mandate of her supplier’s credit insurance companies. Her business has a 60 day lag in payments from customers, and she needs credit in order to keep the shop open when their payments are that late. Her banks’ hands are tied, and she is left fearing the worst as her bank, like many in Europe, puts all their liquid cash into the European Central Bank’s reserve depository, in lieu of reinvesting it into the economy and generating income. As banks fail and liquidity goes with it, credit is drying up rapidly. The European Central Bank functions much like the American Federal Reserve Bank to create fiat money as required. Fiat currency is effectively credit currency, but as a government’s guarantee of its value decreases, so does its value. The natural result is high inflation rates, which is happening currently. The consensus amongst many is that stronger banking systems is the correct medicine. Until the correct changes are in place, payday advance loans will be easier to come by for consumers who need short term help immediately and can’t afford to wait for the banking system.

Post Courtesy of Personal Money Store
Professional Blogging Team
Feed Back: 1-866-641-3406
Home: http://personalmoneystore.com/NoFaxPaydayLoans.html
Blog: http://personalmoneystore.com/moneyblog/

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23356 Anonymous Mon, 27 Oct 2008 06:14:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23356 Dubai is the most obvious bust waiting to happen along with Australian home prices! yehaaa, ride it all the way down. Dubai is the most obvious bust waiting to happen along with Australian home prices! yehaaa, ride it all the way down.

]]> By: ndk http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23350 ndk Mon, 27 Oct 2008 05:19:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23350 Yves, you mentioned a wild theory you had that there was a fingerprint of intervention on equity futures during the SocGen Kerviel debacle, if I recall. Any read on whether the TOPIX has a similar feel tonight? Yves, you mentioned a wild theory you had that there was a fingerprint of intervention on equity futures during the SocGen Kerviel debacle, if I recall. Any read on whether the TOPIX has a similar feel tonight?

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23349 Anonymous Mon, 27 Oct 2008 05:16:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23349 Reasons why markets are heading are blow. Reading for the war on Syria/Iran.<br/><br/>http://www.marketwarnings.com/2008/10/oil-price-and-war-on-syria-and-or-iran.html Reasons why markets are heading are blow. Reading for the war on Syria/Iran.

http://www.marketwarnings.com/2008/10/oil-price-and-war-on-syria-and-or-iran.html

]]> By: James B http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23346 James B Mon, 27 Oct 2008 04:48:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23346 We're counting on the Gulf states, China, Japan, etc. to lend us the money to continue bailing out our financial system and stimulating our economy. I wonder at what point these countries are going to decide that using their currency reserves to clean up their own financial messes is more important than helping us with ours. Could be sooner rather than later if this sort of thing keeps happening. We’re counting on the Gulf states, China, Japan, etc. to lend us the money to continue bailing out our financial system and stimulating our economy. I wonder at what point these countries are going to decide that using their currency reserves to clean up their own financial messes is more important than helping us with ours. Could be sooner rather than later if this sort of thing keeps happening.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states.html#comment-23338 Anonymous Mon, 27 Oct 2008 03:44:00 +0000 http://www.nakedcapitalism.com/2008/10/financial-crisis-hits-gulf-states/#comment-23338 How many bankers, bank and high rise apartments can a country the size of dubai use? Seriously.<br/><br/>Maybe they can turn those bankers into high rise window cleaner.<br/><br/>Dubai has no industry, that country's economy has no depth. How many bankers, bank and high rise apartments can a country the size of dubai use? Seriously.

Maybe they can turn those bankers into high rise window cleaner.

Dubai has no industry, that country’s economy has no depth.

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