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Dubai in serious trouble
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next time an investor invests in citi grp's products get free barrel of oil to take home.. how cool is that!
:)
I see no problem. Oil can be a collateral. Citi will have a lot of oil for many years to come..LOL.
ozone2002 ( Date: 28-Nov-2009 09:39) Posted:
Opps i did it again.. better take out ur cash from citi n put in SG banks.. as a precaution
Citibank Loaned Dubai $8 Billion 6 Weeks After Bailout
US outrage over Citi loan to Dubai
The US public will be “outraged” by Citibank’s $8 billion loan to Dubai just six weeks after the bank was bailed out, US House of Representatives domestic policy subcommittee chair-man has said. Dennis Kucinich commented on the Dubai loan and other US banking investments as a congressional panel released a report that strongly questioned Citibank’s actions. The report, shown to 7DAYS, cites the Dubai loan as the largest of the “questionable transactions” by banks after the US government bailed them out. It notes that the loan to Dubai’s public sector came on December 14, just six weeks after the US government gave Citibank a $25 billion bail-out.
The report quotes Win Bischoof, then chairman of Citi, as saying the bank agreed to the Dubai loan because “we continue to place the Gulf region among our globally most significant markets”. The report also questions JP Morgan’s $1 billion investment in India and Bank of America’s $7 billion investment in China. “When the American people find that their tax dollars, which were supposed to be used to get us out of this financial crisis, are instead being used to ship jobs and investments overseas, there will be outrage,” Kucinich said. The report notes the loans were not illegal and that it is not known if they were directly funded by bail-out funds. A Citibank official was quoted at the time as saying the $8 billion came from the bank’s own funds and third party sources. The report was released as the committee prepares to question banking chiefs about their use of bail-out funds. |
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OK...OK...sell everything..and leave everything...if u got nothing...what is there to worry abt...even if u have everything..u still be worrying...and to have half is also a problem..
this life is so useless....
in the end ..u got nothing...so why want to worry...for nothing..who is suffering..U!!!
Week end go exercise...swim or play what games u like...spend precious time with family..
this will be over soon...mrkt is forward looking...we must alos be forward looking..
i thk i will buy more , instead..
Sometime in the future, China will become a repeat of 1997 Asia Tigers crisis. The parallels are there: easy money, rapid growth, over-investment of FDI, overbuilding and high vacancy rates. FYI, vacancy rates are as high as 50% central Pudong, the Shanghai crown jewel. It is similar in Beijing CBD. If property doesn't plunge when liquidity starts to be tightened, I will be very surprised. But if the China government don't start to tighten, the country could face collapse further down the road as the bubble blows bigger into the entire economy. Save the country or save property? Haha the way is clear.
Short China property. This is why George Soros is in China now.
Opps i did it again.. better take out ur cash from citi n put in SG banks.. as a precaution
Citibank Loaned Dubai $8 Billion 6 Weeks After Bailout
US outrage over Citi loan to Dubai
The US public will be “outraged” by Citibank’s $8 billion loan to Dubai just six weeks after the bank was bailed out, US House of Representatives domestic policy subcommittee chair-man has said. Dennis Kucinich commented on the Dubai loan and other US banking investments as a congressional panel released a report that strongly questioned Citibank’s actions. The report, shown to 7DAYS, cites the Dubai loan as the largest of the “questionable transactions” by banks after the US government bailed them out. It notes that the loan to Dubai’s public sector came on December 14, just six weeks after the US government gave Citibank a $25 billion bail-out.
The report quotes Win Bischoof, then chairman of Citi, as saying the bank agreed to the Dubai loan because “we continue to place the Gulf region among our globally most significant markets”. The report also questions JP Morgan’s $1 billion investment in India and Bank of America’s $7 billion investment in China. “When the American people find that their tax dollars, which were supposed to be used to get us out of this financial crisis, are instead being used to ship jobs and investments overseas, there will be outrage,” Kucinich said. The report notes the loans were not illegal and that it is not known if they were directly funded by bail-out funds. A Citibank official was quoted at the time as saying the $8 billion came from the bank’s own funds and third party sources. The report was released as the committee prepares to question banking chiefs about their use of bail-out funds.
http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/6575883/China-has-now-become-the-biggest-risk-to-the-world-economy.html
It is fashionable to talk of America as the supplicant. That misreads the strategic balance. Washington can bring China to its knees at any time by shutting markets. There is no symmetry here. Any move by Beijing to liquidate its holdings of US Treasuries could be neutralized – in extremis – by capital controls. Well-armed sovereign states can do whatever they want.
If provoked, the US has the economic depth to retreat into near autarky (with NAFTA) and retool its industries behind tariff walls – as Britain did in the 1930s under Imperial Preference. In such circumstances, China would collapse. Mao statues would be toppled by street riots.
Mr Hu sounded conciliatory last week. China is taking "vigorous" steps to cut reliance on exports, still 39pc of GDP. "We want to increase people's ability to spend," he said.
Pivot Asset Management said lending has touched 140pc of GDP, "well beyond" levels that have led to crises in the past. With the revolution's 60th birthday out of the way, the central bank has begun to tighten. New yuan loans halved in October. So be careful. Pivot said a hard-landing in China could prove as traumatic for world markets as the US sub-prime crash.
The world economy is still skating on thin ice. The West is sated with debt, the East with plant. The crisis has been contained (or masked) by zero rates and a fiscal blast, trashing sovereign balance sheets. But the core problem remains. The Anglo-sphere and Club Med are tightening belts, yet Asia is not adding enough demand to compensate. It is adding supply.
My view is that markets are still in denial about the structural wreckage of the credit bubble. There are two more boils to lance: China's investment bubble; and Europe's banking cover-up. I fear that only then can we clear the rubble and, very slowly, start a fresh cycle.
http://sg.search.yahoo.com/search?p=world+biggest+borrower+of+Us+dollar&fcss=on&fr=yfp-t-101&toggle=1&cop=&ei=UTF-8
China alone, surpassed Japan as the world's biggest holder of US government debt, to the tune of $800 billion. ... You would see an excess of dollars on the world market.
Dubai is merely less then 10% dept of what China has brought.
telegraph.co.uk — Far from taking over as the engine of growth from an exhausted West, China is making matters worse. Its "beggar-thy-neighbour" policies continue to play havoc with global trade and risk tipping the world into a second leg of the Great Recession.
boyikao3 ( Date: 27-Nov-2009 19:06) Posted:
If you think Dubai is going to be an isolated case of debt default from about 70 companies, then when US defaults on the world's debt, that's something to crow about ! US, unlike Dubai, is not announcing to the world yet. They have no money to pay back those interest that Sovereign funds have plowed in by the tons except by printing more fiat money, which in turn, is losing its value. Why would you want to collect dollar based-interest that is depreciating by the second?
This Dubai thing is only chicken feet compared to what will happen to the US eventually defaulting on China, Brazil, Asia and the whole world ! The current B wave will continue to suck in more buyers next week...No doubt!  |
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Yes...agree..the losses is not hugh compare to the " too big to fail " over at wall st...just AIG alone..make Dubai look like a mid cap..
shplayer ( Date: 27-Nov-2009 23:00) Posted:
This is bad but let put it in perspective......Dubai World USD 59B debt.......Madoff was USD 50B.
Will other states in UAE.....namely Abu Dhabi....come to the rescue. Abu Dhabi banks have recently take up USD15B of Dubai bonds.
As usual, market will overreact........depending on US Nov jobless claims due next Fri, and US Retailer's report on sales this Thanksgiving weekend, this correction may present a buying opportunity........lets see how it pans out.
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This guy help to settle $13bil...
http://www.forbes.com/lists/2009/10/billionaires-2009-richest-people_Prince-Alwaleed-Bin-Talal-Alsaud_0RD0.html
Bon3260 ( Date: 27-Nov-2009 23:24) Posted:
Hope so... Actually, I oso wished I can help Dubai eh... 
shplayer ( Date: 27-Nov-2009 23:00) Posted:
This is bad but let put it in perspective......Dubai World USD 59B debt.......Madoff was USD 50B.
Will other states in UAE.....namely Abu Dhabi....come to the rescue. Abu Dhabi banks have recently take up USD15B of Dubai bonds.
As usual, market will overreact........depending on US Nov jobless claims due next Fri, and US Retailer's report on sales this Thanksgiving weekend, this correction may present a buying opportunity........lets see how it pans out.
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So...whose pocket did all the billions goes to ??
Hope so... Actually, I oso wished I can help Dubai eh...
shplayer ( Date: 27-Nov-2009 23:00) Posted:
This is bad but let put it in perspective......Dubai World USD 59B debt.......Madoff was USD 50B.
Will other states in UAE.....namely Abu Dhabi....come to the rescue. Abu Dhabi banks have recently take up USD15B of Dubai bonds.
As usual, market will overreact........depending on US Nov jobless claims due next Fri, and US Retailer's report on sales this Thanksgiving weekend, this correction may present a buying opportunity........lets see how it pans out.
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This is bad but let put it in perspective......Dubai World USD 59B debt.......Madoff was USD 50B.
Will other states in UAE.....namely Abu Dhabi....come to the rescue. Abu Dhabi banks have recently take up USD15B of Dubai bonds.
As usual, market will overreact........depending on US Nov jobless claims due next Fri, and US Retailer's report on sales this Thanksgiving weekend, this correction may present a buying opportunity........lets see how it pans out.
Hope tis time u again r rite... ('',)
cheongwee ( Date: 27-Nov-2009 22:23) Posted:
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Isherwood said the global impact from Dubai World's financial difficulties "is not so huge" and "not worth 300 points of the Dow." But it serves as a nasty "wake-up call" to investor confidence.............taken fr CNN
so how many pts down???...i thk worth 50 pts.. and rally to continue..i hope.
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Hmm... is it wise to sell all the blue chips on monday?
Isherwood said the global impact from Dubai World's financial difficulties "is not so huge" and "not worth 300 points of the Dow." But it serves as a nasty "wake-up call" to investor confidence.............taken fr CNN
so how many pts down???...i thk worth 50 pts.. and rally to continue..i hope.
nope....all bluechips in SGX !!! :PP hee...
erictkw ( Date: 27-Nov-2009 21:36) Posted:
Does this mean to sell all 3 banks?  |
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Does this mean to sell all 3 banks?
Global markets rattled by Dubai credit woes
The sovereign wealth fund of Dubai asks creditors to extend due date on billions in debt payments, renewing fears about the health of the banking sector.
By Ben Rooney, CNNMoney.com staff reporter
November 27, 2009: 7:30 AM ET
NEW YORK (CNNMoney.com) -- Asian markets plunged Friday after the sovereign wealth fund of Dubai requested an extension on billions of dollars worth of debt payments, sparking widespread credit concerns that spilled over to world markets.
Major indexes in Europe managed to regain ground, suggesting that concerns about Dubai World may have been overdone.
The selloff "was a slight over-reaction but a much needed correction," said Dave Babbs, head of trading at MF Global Spreads in London. "We expect to see a lot of exaggerated moves today with thin volumes."
U.S. stock futures were pointing toward a
sharp selloff when trading begins in New York. Wall Street was closed Thursday for the Thanksgiving holiday and Friday's session ends at 1 p.m. ET.
The overseas selloff comes two days after Dubai World, a state-owned investment fund, asked creditors for an extension on billions of dollars worth of debt payments due next month so that it could restructure. The move revived fears about the health of the global financial system and caused investors to shy away from risky assets such as stocks.
The dollar and the yen rose against rival currencies as investors flocked to perceived safe-haven assets.
The Dubai World news "brought the credit crunch back after we thought we left it behind last year," said David Jones, chief market strategist at IG Markets in London.
"Things like this remind us that the economic recovery isn't going to be smooth," he added.
In Asia, Japan's Nikkei closed down 3.2% and the Heng Seng in Hong Kong tumbled nearly 5%.
European markets recovered after opening sharply lower. The CAC 40 in Paris edged up 0.2%, while the DAX in Frankfurt and the FTSE in London were both slightly lower.
Trading in New York is expected to be choppy with many market participants off for the holiday.
Expecting STI'll drop alot mxt Monday... Recovery mayb on Thursday (03-Dec-2009) I guess...
Alot of pple r waiting 2 buy cheap prices... & those Fund Mgrs & Investor Companies need 2 make their Port Foilios nice nice during yr end. Now we muz look @ our Dow Jones老大 how its react liao... If Dow Jones老大 has reacted worst. 1 thing we need 2 do's... RUN!!!
Looks like BlueChips hv no more meats liao... ('',)
