The Australian housing bubble is looking to be a bigger problem for that country than the U.S.' was in 2008-09. Australia differs from the U.S. both in terms of relative economic conditions and the health of its property markets. The mountain of debt is Australia is mostly private - housing - and dwarfs public-sector debt.
Australians have gone heavily into debt to buy houses that cost more than ever, especially the land component; and there's no sign this trend will end anytime soon.…Continue
Added by Cole Pham on June 21, 2013 at 5:28am — No Comments
The U.S. dollar is losing its status as the world's reserve currency. It's not happening all at once, but slowly and methodically as the dollar is used to settle international trade less and less. The Federal Reserve continues to rig the markets to foster weakness in gold (GLD) prices through a combination of continued ETF outflows and upheaval in the foreign exchange markets created by the debasement of the…Continue
Added by Cole Pham on June 21, 2013 at 5:27am — No Comments
A number of past financial crises have had their roots in countries pegging their currency to the U.S. dollar. The Thai baht was at the epicenter of the Asian Crisis of 1997/98. Argentina's hyperinflation of 2001/2 was also caused by a disastrous currency peg. Today there is not much left of that policy, but there are two notable exceptions and they are two of the most important currencies in Southeast Asia, the Singapore dollar (…Continue
Added by Cole Pham on June 21, 2013 at 5:23am — No Comments
Vietnam's central bank cut interest rates again last week as inflation slowed, joining central banks from Sri Lanka and Australia to the ECB in easing monetary policy. It is seeking to spur lending and boost consumption after having to rein in a credit boom that has slowed economic growth to a 13-year low. But with the announcement that the Prime Minister's office had given its approval for the creation of the Vietnam Asset Management Company - a Vietnamese version of the Resolution Trust…Continue
Added by Cole Pham on June 21, 2013 at 5:22am — No Comments
In Asia, REITs are gaining popularity because both Singapore and Hong Kong have performed very well in recent years as recipients of real estate investors from markets such as China, the Philippines and Indonesia due in large part of central bank policy which target the U.S. dollar directly in the case of Hong Kong, or U.S. interest rate policy, in the case of Singapore.
REITs continue to attract investors because their dividends are more appealing than other investment opportunities…Continue
Added by Cole Pham on June 21, 2013 at 5:20am — No Comments
Added by Sohayla Fitzpatrick on June 20, 2013 at 2:42pm — No Comments
Added by Sohayla Fitzpatrick on June 20, 2013 at 2:20pm — No Comments
Added by Sohayla Fitzpatrick on June 20, 2013 at 2:09pm — No Comments
The average tier one investment bank today is dealing with a very complex trade processing infrastructure. You’d expect the infrastructure to resemble a high speed rail line fully optimised to deliver trades from execution venue to settlement in the shortest possible time. The reality is that most banks are dealing with multiple branch lines, sidings and frequent level crossings which all serve to provide significant obstacles to the journey of the average trade.
It is not unusual…Continue
Added by NeilVernon on June 17, 2013 at 3:29pm — No Comments
Increasingly, organizations across all industries are charged with managing risk in a complicated compliance environment. Over at the Credit Union Times, Danny Baker, Vice President of Product Management, Risk & Compliance at Fiserv Inc., thinks he’s found a solution in the Cloud. In his recent article, “…Continue
Added by Steven Minsky on June 17, 2013 at 2:00pm — No Comments
As domestic and international trade continue to grow, companies are starting to consider the benefits of alternative sources of trade financing, according to David Hu, Managing Partner, IIG Trade Finance LLC.
“The cost of capital for banks, the traditional providers of trade finance, has increased tremendously. They also have other issues, such as the setting of LIBOR, which is being questioned right now. With the increasingly tighter capital requirements of Basel III, banks…Continue
Added by Michele Westergaard on June 4, 2013 at 4:27pm — No Comments