Crude Slides on Oil Surplus Fears
NEW YORK – Crude-oil futures fell Tuesday with the approach of weekly oil and fuel inventory data that are expected to show extra supplies continuing to build up.
Light, sweet crude for November delivery recently traded 81 cents, or 1.2%, lower at $66.03 a barrel on the New York Mercantile Exchange. Brent crude on the ICE futures exchange traded 69 cents, or 1.1%, lower at $64.85 a barrel.
Dollar Advances to Two-Week High on Russia’s Treasury Holdings
Sept. 29 (Bloomberg) — The dollar rose to a two-week high versus the euro as Russia said it will maintain the share of U.S. Treasuries in its international currency reserves, reducing concern central banks will diversify away from the greenback.
Sterling gained the most versus the euro since June as a report showed the economy shrank less than previously estimated and an index of U.K. retail sales rose to the highest level in five months. The yen slid against the dollar after Japan’s finance minister said the government may take action in markets to curb gains that are hurting exports.
Delinquencies Rise Further In Freddie’s Shrinking Portfolio
Fannie Mae (FNM) said Tuesday that delinquencies in its mortgage portfolio continued to rise, putting further pressure on the mortgage financier.
It and smaller sibling Freddie Mac (FRE) were put into conservatorship a year ago by the federal government amid fears of mounting losses.
Fannie said July serious delinquencies, or those at least 90 days behind, rose to 4.17% from 3.94% in June and 1.45% a year earlier. Fannie’s delinquencies have been worse than Freddie’s.
FDIC meets again to tackle funding needs
NEW YORK (MarketWatch) – Federal bank regulators on Tuesday will again tackle the thorny issue of how to fund ongoing responsibility to insured depositors at a backlog of failing banks.
The Federal Deposit Insurance Corp will consider several options at its meeting in an attempt to figure out how to raise enough money to keep depositors to failed institutions whole.
Economic Update – Bailouts
With the economic situation of today, here are some quick updates on the bailout. In our July 21st economic update focuses on the bailout as it approaches $24 trillion.
TARP Special Investigator Says Bailout Total May Reach $23.7 Trillion
The subprime mortgage crisis, covered in two McCuistion TV episodes, The Cause of the Economic Crisis in America and What Is the True State of the 2009 Economy, has resulted in bailouts that have amassed levels of proportion that according to Mike Shedlock, an investment advisor, are at levels that “simply become incomprehensible.” Mike Shedlock’s posting on TARP Special Investigator Says Bailout Total May Reach $23.7 Trillion gives substantial coverage on the state of the 23.7 trillion dollars in bailout money.
Paul Watson of PrisonPlanet.com asserts that that is equivalent to $80,000 per American. He posted a CNBC video on this economic update on his website.
Banks With Bailout Funds Say Loans Rise
According to Editor Andrew Sorkin economic update on yesterday’s post on DealBook, “More than 80 percent of the banks that received federal bailout funds said the money had helped them increase lending or avoid a drop in lending as the recession worsened this year, according to a new survey released Sunday.”
CHART OF THE DAY: The Amazing Expanding Bailout
ClusterStock offers a chart that shows the growth of bailout money since bailouts began to be distributed.
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