Jump to content
House Price Crash Forum
Sign in to follow this  
sambino

Uk Banks Rush To Borrow £23.6bn In Panic Auction

Recommended Posts

http://business.timesonline.co.uk/tol/busi...icle3566164.ece

The Bank of England was today deluged with demands by British banks to borrow £23.6 billion - nearly five times more than the UK central bank had put up for auction as lenders clambered to prop up their capital amid plunging global stock markets.

The Bank offered £5 billion to British banks over a three-day period to help increase the flow of money between lenders.

However, orders to borrow money reached £23.6 billion after banks took fright at the US Federal Reserve's sudden 0.25 per cent cut to American interest rates last night and JP Morgan Chase's takeover of Bear Stearns, its struggling US investment bank rival, at the weekend.

The Bank of England said the action is being taken in response to conditions in the short-term money markets this morning and it is closely monitoring market conditions along with other central banks.

Share this post


Link to post
Share on other sites

Bear Sterns Tip of the ice berg I think!!

"Brokers said that the emerging fear is that JP Morgan’s ability to seal a $2 a share deal that ascribes a negative enterprise value to a bank that was worth $89 per share a week ago must portend far worse trouble to come from the US financial sector.

There is growing belief, said one trader at Mitsubishi Tokyo UFJ, that the cabal of Wall Street supremos knows far more than the market about what is in store.

Traders said that the market’s biggest fear now is that Lehman Brothers could be the next in line for a calamity, and that the New York Federal Reserve is fast running out of ammunition with which to fight the crisis. "

Share this post


Link to post
Share on other sites
Bear Sterns Tip of the ice berg I think!!

"Brokers said that the emerging fear is that JP Morgan’s ability to seal a $2 a share deal that ascribes a negative enterprise value to a bank that was worth $89 per share a week ago must portend far worse trouble to come from the US financial sector.

There is growing belief, said one trader at Mitsubishi Tokyo UFJ, that the cabal of Wall Street supremos knows far more than the market about what is in store.

Traders said that the market’s biggest fear now is that Lehman Brothers could be the next in line for a calamity, and that the New York Federal Reserve is fast running out of ammunition with which to fight the crisis. "

When I first found this site I just wanted an end to the silliness over house prices, but I suppose a crash and a bigger meltdown go hand in hand in a funny old money world? But seriously things are starting to get well out of hand.

Share this post


Link to post
Share on other sites

Cheap money for scam lenders who have paid themselves billions in bonuses.

Meanwhile the public pays the bill and sterling gets humped.

Bankrupt of England - way to go, they've put us on the line for these *******.

Share this post


Link to post
Share on other sites
When I first found this site I just wanted an end to the silliness over house prices, but I suppose a crash and a bigger meltdown go hand in hand in a funny old money world? But seriously things are starting to get well out of hand.

I was the same, I came here a couple of years ago feeling house prices where overpriced and there was too much debt about I didnt think about what was underneath and its scary luckily I joined as might have bought last year but reading on here put me off, I need a new car but wont even risk a car loan at the moment dont want to touch my saivings and can easily afford to pay a loan but dont wont any debt if it really does go Pete Tong and I end up on the dole again as I did during the dot com boom

Share this post


Link to post
Share on other sites
Who is next in UK? I guess we only need to look at the worst losers in the ftse today: A&L, Halifax and Barclays...

Well everyone says A&L, but people should remember that they now own GiroBank and if you want to pay your taxes you have to go through them.

Even more reason to bail them out, since the government need to collect taxes...

Share this post


Link to post
Share on other sites
Who is next in UK? I guess we only need to look at the worst losers in the ftse today: A&L, Halifax and Barclays...

And we've only barely begun to see decreases in house prices in the uk. What happens when we reach the same stage as the US with large YoY declines? UK debt 100 of GDP? Nationalization of the financial sector?

I hope the VI's and b*****ers are proud of themselves for the misery they will cause.

Share this post


Link to post
Share on other sites
Well everyone says A&L, but people should remember that they now own GiroBank and if you want to pay your taxes you have to go through them.

Even more reason to bail them out, since the government need to collect taxes...

My money is on Bradford & Bingley. Check out their shareprice - it's been like watching a lift descend without cables over the past six months:

http://www.sharecast.com/cgi-bin/sharecast...y.cgi?csi=14340

;)

Son of Limahl

Share this post


Link to post
Share on other sites

Banks scramble for Bank funds

Things are getting worse by the day!!

http://uk.reuters.com/article/marketsNewsU...176889920080317

The Bank said it wanted to bring overnight interest rates down. Banks were so fearful earlier of each others' solvency on Monday they were charging each more than 25 basis points above the main Bank lending rate for loans of even just one day.

"Given the money market conditions this morning, the situation is very serious and represents a new and unwanted twist to the credit squeeze," said Philip Shaw, chief economist at Investec. "Five billion pounds represents a substantial sum."

Share this post


Link to post
Share on other sites
Banks scramble for Bank funds

Things are getting worse by the day!!

A far cry from the last offer by BoE -- was it last November, or so, after Northern Rock first

got into trouble ?

BoE offered fastloan money but nobody took it, banks preferring to (secretly) go to EuroBank.

Do they now no longer care that they will be exposed ?

How desperate can they be getting ?

And why are they desperate, anyway, if (as they all pretend) they are "not being hit too hard by sub-prime".

Are we finally - finally - seeing the truth coming out ????

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 293 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.