Credit crises lead to big overall declines in market values, particularly with financial stocks, but affecting all other stocks, because when credit conditions are tight, things slow for all firms.
Not exact matches
Some argue that because Greenberg
led the company when initial programs that engaged in
credit default swaps were created, he indirectly precipitated the
crisis.
The often blunt CEO of JPMorgan Chase rose up the ranks of Wall Street and, after being ousted from Citigroup by former CEO Sandy Weill, later went on to the top job at JPMorgan and is
credited with
leading the bank through the financial
crisis relatively unscathed compared to other banks.
Some have pointed to the current upturn in the markets as a good omen, while
Credit Suisse has released a note saying it does not think it will lead to another credit c
Credit Suisse has released a note saying it does not think it will
lead to another
credit c
credit crisis.
While
credit spreads and
leading indicators appear to be fairly well behaved, many have noted the sinister looking shape of the yield curve, near its flattest level since before the global financial
crisis (see the chart below).
While junk bonds may not represent a systemic risk as
credit derivatives did during the financial
crisis, they can be one of the more effective
leading economic indicators.
«History tells us that
credit booms
lead to bubbles and eventual
crisis,» Jason Daw, a strategist specialized in Asia at Societe Generale, wrote in a recent report.
This
led to a continuing squeeze of
credit spreads and increased issuance of riskier bonds, a phenomenon reminiscent of the exuberance prior to the global financial
crisis.
This stops bank failures disrupting money and payments and hence helps achieve monetary outcomes desired by the Austrian school of economics: reducing excessive state interference in the market for
credit (through bank regulation, lender of last resort and bail - out) and discouraging unsustainable money and
credit expansions (
leading to financial
crisis and depression).
While I correctly anticipated the
credit crisis (see Critical Point for a reminder), the unwise response of policymakers — defend the bondholders, avoid debt restructuring, change accounting rules, extend, and pretend — virtually ensured years of economic headwinds, and
led me to insist on making our approach robust to even Depression - era outcomes.
The Big Short, an upcoming film about the housing and
credit bubble that
led to the financial
crisis of 2007 - 08, is lining up one of the better casts in recent...
Speaking on Long Island as part of a series of signing ceremonies around the state on Wednesday, Cuomo specifically
credited the GOP -
led chamber's anti-heroin task force, which launched in 2014, calling the measures a «major turning point» in the heroin
crisis that has gripped parts of the state.
Although he is
credited with
leading New York out of an economic
crisis as governor in the 1970s, Carey also was remembered as a World War II Army colonel who liberated concentration camps; a savvy lawmaker whose tenure on the House Ways and Means Committee prepared him for the economic challenges he would later face in Albany; and a compassionate chief executive who never turned his back on the underprivileged.
Based on the non-fiction novel by Michael Lewis «The Big Short: Inside the Doomsday Machine,» the film tells the story of the build - up of the housing and
credit bubble during the 2000s that
led to the discovery of mass subprime fraud and the financial
crisis of 2007 - 2010.
Conditions in the banking sector deteriorated through the Bush Jr., administration,
leading to the
credit crises we are seeing today.
The air going into the balloon in the years
leading up to the recent financial
crisis was either «borrowed» air, that is air that was bought on
credit, or air that was highly leveraged.
Since the subprime -
led financial
crisis more than three years ago, a person's
credit history has become more and more important.
So many people have suffered through debt and other financial problems that
led to a poor
credit rating, the national economy felt the punch, especially in light of the housing market
crisis.
Easy availability of
credit in the US, fueled by large inflows of foreign funds after the Russian debt
crisis and Asian financial
crisis of the 1997 — 1998 period,
led to a housing construction boom and facilitated debt - financed consumer spending.
The following highlights from its results show that
leading credit card issuers continue to recover following the
crisis that impacted the industry in the second half of 2008.
Leading small business
credit card issuers retrenched significantly following the financial
crisis in the second half of 2008.
There are many reasons that you might have experienced financial troubles that
led to your poor
credit score - especially with so many companies struggling to stay afloat amid the financial
crisis (with some companies finding it necessary to cut hours and even downsize by having fewer workers).
Pushback against overly tight
credit after the housing
crisis, a shrunken proportion of first - time buyers and worry about affordability as home values rose
led to some tweaks to guidelines that could ease financing pressures for homebuyers this year.
Loans, mortgages,
credit card debts can
lead to a financial
crisis when borrowers feel desperate and don't know what to do.
China has a bigger
credit crisis than its last one,
leading to drops in commodity prices, and further global deflation.
Much worse, it can
lead to a
credit crisis that can turn one's
credit score from bad to worse.
Without strong US job growth in this growth cycle and driven by rising US consumer debt obligations and a US housing value bubble, the US then
lead the world into another financial or «
credit crunch»
crisis that was far worse than the dot com crash.
So while EPR's dividend is likely to remain safe during a regular recession, another financial
crisis could
lead to a dividend cut if
credit markets face a similar meltdown, especially if the movie theater industry finds itself on even shakier ground.
The skullduggery of American banks
led to the financial
crisis, yet instead of punishment the banks received a $ 4 trillion allocation of
credit from the US government.
While commercial property values have certainly climbed, this cycle looks a bit different from the one
leading up to the 2008
credit crisis.