Sentences with phrase «liquidity crisis»

With the recent liquidity crisis in the subprime market, the formerly red hot housing sector has finally started to cool off.

He should possess the skills to make financial adjustments during liquidity crisis.

Like any potential liquidity crisis the market becomes all about supply and demand at the time of crisis.

This caused a banking liquidity crisis, in which banks became unwilling to lend to each other.

If bond - investor concern turns to panic, a corporate - bond liquidity crisis could result.

Next, it is always wise to assess whether a junk issuer could have an imminent liquidity crisis.

It all adds up to a classic liquidity crisis.

If bond - investor concern turns to panic, a corporate - bond liquidity crisis could result.

[Believe it or not I had exhausted my cash and was beginning to buy on margin at the depths of liquidity crisis in March» 09].

«The reverse - repurchase market is undergoing the same liquidity crisis as commercial paper,» Arnold said.

«We're going into an acute liquidity crisis for corporate borrowers.»

What has been less discussed, however, are the proposed changes to the Bank of Canada Act that would ostensibly make it easier for the Bank to deal with liquidity crises.

Adding to the concerns are other economic problems including a high unemployment rate of over 25 %, the recent demise of the country's VBS Mutual Bank amid a «severe liquidity crisis,» as well as the highest rate of economic crime (77 %) in the world, according to PwC's biennial Global Economic Crime Survey.

However, Lee did issue a note of caution to investors stating that market panic might cause GTBC to face an acute liquidity crisis.

Such structural improvements protect the financial system by making it less likely that banks will suffer liquidity crises or that such crises will spread contagiously from one institution to another (see below).

But, Simon continues, «As such, facing a massive and immediate liquidity crisis, they would be in more need of a federal bailout than before the bankruptcy legislation was seriously mooted.»

Having more resilient banks with sufficient capital and liquidity reduces the probability of widespread liquidity crises.9 That would help make market - making more robust, though probably at lower levels of activity in normal times.

Bill Gross thinks conditions are ripe for a significant liquidity crisis in the markets, and he points a finger at his old firm for its potential to be at the center of the storm.

Details of just how severe Puerto Rico's short - term liquidity crisis has become were outlined in the Governor's written statement.

It seems as though BoC interest rates have more of a negative effect on the high quality Canadian REITs than this current liquidity crisis... Except in a semi-related way, where the plummeting loonie is now giving the Bank of Canada some breathing room to hike interest rates in September.

Based on current information, «the GDB, which faces its own liquidity crisis, is not expected to be able to make the payment,» to its bondholders, the statement added.

Puerto Rico's governor, Ricardo Rosselló, is essentially begging Congress for help: «In addition to the immediate humanitarian crisis, Puerto Rico is on the brink of a massive liquidity crisis that will intensify in the immediate future,» he wrote in a letter Saturday to congressional leaders.

For over a year, in other words, the Fed reacted to a growing liquidity crisis not by taking steps to boost credit in general, but rather by reallocating the existing supply of credit towards particular, troubled firms — a move George Selgin examined (and criticized) in detail in a recent post on this blog.

Suppose the economy goes through a wrenching liquidity crisis, where credit suddenly becomes unavailable, and the commercial paper markets (the typical source of liquidity for corporations) and the bank lending markets both freeze.

Markets deleveraged, some structured securities traded for pennies on the dollar, and a general liquidity crisis ensued.

The worst - case - scenario is a full - blown liquidity crisis.

The current worldwide liquidity crisis may yet take a long time to stabilize... and I would expect the VIX to also take an equal amount of time to find a more moderate level.

Because of the ongoing financial liquidity crisis, or despite it, now can be a great time to negotiate a troubled commercial real estate loan, especially with such nontraditional sources as hedge funds.

Nevertheless, the market has experienced bouts of heightened volatility, especially in June 2015 when the Greek authorities decided to shut their banks down to stem a potential liquidity crisis in the country.

Regulators should be risk - averse, and take actions that limit ROEs for banks in order to promote solvency, and reduce the likelihood of liquidity crises.

How could an investor in California's municipal bonds be comforted by a company that during a potential liquidity crisis might find the capital markets closed to it, versus the nation's largest state with its obvious ongoing taxing authority?

In the days when banks were the dominant intermediaries, a credit crunch or liquidity squeeze manifested itself in the inability of banks to borrow; a lender of last resort that targeted banks was the right vehicle for dealing with liquidity crises and credit squeezes in that set - up.

In a nut shell, the firm ran into problems with the OSC, which cascaded into a run on its banking operations and a severe liquidity crisis.

As such, facing a massive and immediate liquidity crisis, they would be in more need of a federal bailout than before the bankruptcy legislation was seriously mooted.

Nobody, insisted executive vice-president Bruce Maranda, could have foreseen the unexpected and widespread liquidity crisis that threatened Hunter's financial security.

Bill Gross thinks conditions are ripe for a significant liquidity crisis in the markets, and he points a finger at his old firm for its potential to be at the center of the storm.

Ford President and CEO Alan Mulally told Congress that the company «does not anticipate a near - term liquidity crisis,» putting it in a more secure position than GM and Chrysler.

Currently, electronic corporate bond trading has not only evolved to become an essential component for secondary trading, eTrading is considered by many to be the panacea for resolving the perceived corporate bond liquidity crisis.

Welcome to Zimbabwe, where Bitcoin is soon becoming an unofficial legal tender powered by the acute liquidity crisis and payment challenges.

The bank's demise also heralded a liquidity crisis, with the threat that banks would not have enough money to meet their most basic obligation to depositors: allowing them to withdraw cash.

It is true nevertheless that a government whose bonds are promises to pay money that it itself prints, even if it targets 2 % CPI inflation, can not suffer a liquidity crisis.

The underlying companies may be more vulnerable to business failure, liquidity crises, and recessions than their larger brethren.

Next we acknowledge that the excess of assets is irrelevant but the country is only suffering from a liquidity crisis.

As I've noted many times before, a market crash is essentially a liquidity crisis in which the risk premium on stocks rises sharply.

Energy bonds have had a rotten 10 days, and banks seem to have a lot of hung energy loans, so maybe there's your liquidity crisis.

Recall that Gary Gorton provides evidence that many of the CDOs and MBS were not subprime, but when the market panicked a liquidity crisis became a solvency crisis.

The proximate cause of death for virtually every defaulting junk bond is a liquidity crisis occasioned by either an inability to generate enough cash to service debt, or an inability to refinance maturing debt.