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Bourses Stay Shaky

  • August 15th, 2007
  • Posted by EUEditor

euro-symbol-reduced3.jpgPrices on stock markets after some rises on Monday were falling again mid-week (15.8.07 in Australia).

Worries over liquidity and a “credit crunch” possibly in the offing caused sharp falls in Europe and on Wall Street on Tuesday local time – continuing a two-weeks’ trend.

Writers in the Financial Times said:

“Renewed turmoil in global money markets sent stock market prices falling around the world as traders ignored a declaration by Jean-Claude Trichet, European Central Bank President, that conditions were returning to normal.

“Traders were particularly alarmed by signs that the market for asset-backed paper – which provides $US 1500-billion (A$ 1804.7-billion;, 15.8.07) in short-term borrowings for big companies – was drying up …”


Ralph Atkins in Frankfurt, Michael McKenzie in New York, Paul Davies in London, “ECB chief fails to reassure markets”, Financial Times, London, 14.8.07. (15.8.07)

See EUAustralia, “Another Rocky Week On The Bourses”, 11.8.07.