- U.K. Stocks Fall to Lowest Since 2004, Led by HBOS, Antofagasta
- German Stocks Fall to Lowest Since 2006; Hypo Real Estate Drops
- Russian stock markets suspended
- Emerging Markets Head for Worst Drop Since ‘97 as Russia Slumps
- Oil Falls Below $90 for 1st Time in 8 Months on Demand Concern
- Mitsubishi UFJ, Japan Banks Fall on Credit Crisis
- Iceland halts trading in bank shares
- Countrywide mortgage pact may be worth $3.5 billion to California loan holders
- Yahoo, Google to Postpone Implementing Ad Deal Until Probe Ends
- DreamWorks, Paramount finalize separation
U.K. Stocks Fall to Lowest Since 2004, Led by HBOS, Antofagasta
- Bloomberg
U.K. stocks plummeted, heading for their lowest close in almost four years, led by banks and mining companies on concern the credit-crisis is deepening and as metals prices plunged. HBOS Plc and Antofagasta Plc fell.
The FTSE 100 Index plunged 255.5, or 5.1 percent, to 4,724.75 as of 10:15 a.m. in London, poised for its lowest close since Dec. 17, 2004. The FTSE All-Share Index lost 5 percent and Ireland’s ISEQ Index dropped 5.9 percent…..
German
Stocks Fall to Lowest Since 2006; Hypo Real Estate Drops – Bloomberg
German stocks fell the most in eight months, sending the DAX Index to the lowest since July 2006, as the deepening credit crunch forced the country’s financial industry to double a credit line for Hypo Real Estate Holding AG and the government to guarantee personal savings accounts.
Hypo Real Estate, the nation’s second-biggest commercial- property lender, tumbled 40 percent as the government and the country’s banks and insurers agreed on a 50 billion-euro ($68 billion) rescue package after an earlier bailout faltered. Deutsche Postbank AG, the country’s biggest consumer lender by customers, declined 5.2 percent and Allianz SE lost 7.9 percent…..
Russian stock markets suspended
- AP via Forbes
Trading on both of Russia’s stock exchanges was suspended Monday after shares fell more than 15 percent on the back of falling oil prices and deepening fears about the global economy despite the passage of a $700 billion U.S. bank bailout….
Emerging Markets Head for Worst Drop Since ‘97 as Russia Slumps
- Bloomberg
Emerging market stocks headed for their biggest one-day decline since 1997 as the global banking crisis escalated with European bailouts of Hypo Real Estate Holding AG and Fortis.
Russia’s Micex index plunged 16 percent before trading was halted and Indonesia and Saudi Arabia fell the most in at least six years, as oil sank below $90 a barrel for the first time since February. The MSCI Emerging Markets Index slumped 6.2 percent, putting it on course for the biggest drop since the Asian markets meltdown of October 1997…..
Oil Falls Below $90 for 1st Time in 8 Months on Demand Concern
- Bloomberg
Crude oil fell below $90 a barrel in New York for the first time since February as the credit crisis deepened in Europe, adding to concerns that global economic growth will slow and reduce demand for fuels.
Oil dropped as much as 5.1 percent as European leaders pledged to bail out troubled banks and protect depositors. World markets are oversupplied, Iranian Oil Minister Gholamhossein Nozari said on Oct. 4, and Saudi Aramco, the world’s largest state oil company, cut its official selling prices for exports to Asia and the U.S….
Mitsubishi
UFJ, Japan Banks Fall on Credit Crisis – Bloomberg
Mitsubishi UFJ Financial Group Inc. fell the most in five years, leading Japanese banks lower in Tokyo trading as the global credit crisis deepened and the outlook for local bank earnings worsened.
Mitsubishi UFJ, the nation’s biggest lender, fell 9.2 percent, the most since October 2003, to close at 806 yen. Banks were the fourth-biggest decliner among 33 industry groups in the benchmark Topix index, which dropped below 1,000 points for the first time since December 2003….
Iceland halts trading in bank shares
- Financial Times
Trading in shares in Iceland’s banks was suspended before the opening of markets on Monday as the country’s regulator sought to head off further instability in the beleaguered financial services sector.
Shares and other financial instruments issued by Kaupthing, Landsbanki and Glitnir were all suspended along with Exista, the investment company, Straumur Burdaras investment bank and Sparisjodur Reykjavikur, a savings bank….
Countrywide mortgage pact may be worth $3.5 billion to California loan holders
- LA Times
An estimated 125,000 Californians who are struggling with risky mortgages from Countrywide Financial Corp. may get their loans modified and payments reduced under a program to be announced today.
In a pact that could save mortgage holders billions of dollars, Countrywide owner Bank of America Corp. has agreed to the nation’s largest loan-modification program to settle charges of lending abuse brought by California and other states.The program could reduce payments to Countrywide borrowers and provide other benefits to total as much as $8.7 billion nationwide. It would examine nearly 400,000 loans across the nation — about 125,000 of them in California — to see how they could be reworked and made more affordable. That could include switching customers to fixed-rate loans or reducing the interest or principal….
Yahoo, Google to Postpone Implementing Ad Deal Until Probe Ends
- Bloomberg
Yahoo! Inc. and Google Inc. will postpone implementing their Internet-advertising partnership until U.S. regulators complete a review on whether the deal will hurt competition.
The companies agreed to a “brief” delay while discussions with the Justice Department continue, Yahoo and Google said yesterday in e-mailed statements. Google Chief Executive Officer Eric Schmidt said in August the partnership would begin in early October…..
DreamWorks, Paramount finalize separation
- Reuters
The principals behind DreamWorks SKG and Paramount Pictures sealed their parting of ways on Sunday, allowing the DreamWorks studio to tie up with Reliance ADA Group of India to start a new film company.
As part of the agreement, the DreamWorks principals’ new company will take the lead on a number of development projects, which Paramount will have the option to co-finance and co-distribute, the studios said in a joint statement.
The separation agreement involved 200 DreamWorks-developed projects with DreamWorks taking the lead on 15 to 20, according to trade reports. Paramount will take the lead on about 15 to 20 projects, permitting the Reliance-backed venture to co-finance and co-distribute….
