Description:  John Chambers, head of Sovereign Ratings for Standard & Poor?s, explains why the ratings agency downgraded the U.S. credit rating. Source: CNNMoney.com – video report Date: 08/06/2011 Link: http://money.cnn.com/video/news/2011/08/06/n_us_credit_downgrade.cnnmoney/ Questions for discussion: Summarize the reasons for the S&P decision? Do you think it was justified? What are the consequences for governments, businesses, and consumer?… Read more »
Posts Categorized: Governments & Regulators
Eight banks fail Europe’s stress tests
Description: Investors may take a skeptical view of Europe’s latest stress tests after eight banks failed with a combined capital shortfall of just 2.5 billion euros ($3.5 billion). Source: Marketwatch.com Date: 07/15/2011 Link: http://www.marketwatch.com/story/eight-banks-fail-europes-stress-tests-2011-07-15 Questions for discussion: What does “failure†mean, in this context? What are the implications for the economies of Europe and elsewhere?… Read more »
Murdoch’s Mess
Description: News Corp.’s British newspapers have put the future of Rupert Murdoch’s empire in question Source: Businessweek.com  Date: 07/14/2011 Link: http://www.businessweek.com/magazine/murdochs-mess-07142011.html?chan=magazine+channel_top+stories Questions for discussion: Summarize the key points made in the report. What are the ethical issues here? How should investors play this situation? How should government respond to this situation?
AM Report: Higher Jobless Rate May Thwart Recovery
Description: The News Hub covers the nation’s unemployment rate, that ticked up to 9.2% in June. The rise in jobless figures, coupled with only 18,000 non-farm payrolls created, has some calling into question the prospects for economic recovery. Source: Marketwatch.com – video report Date: 07/08/2011 Link: http://www.marketwatch.com/video/asset/am-report-higher-jobless-rate-may-thwart-recovery/DDDB1206-F400-4733-8ECE-800C734ED4F0 Questions for discussion: Summarize the economic consequences of… Read more »
The Housing Horror Show Is Worse Than You Think
Description: Despite some upbeat news, key housing market statistics point to years of stagnation Source: Bloomberg.com Date: 07/07/2011 Link: http://www.businessweek.com/magazine/the-housing-horror-show-is-worse-than-you-think-07072011.html Questions for discussion: What are the implications of this report for home owners, home builders, and investors? What would you advise each of these groups in today’s market?
Sniping at Charges for Swiping Debt Cards
Description: Both merchants and banks balk at a Federal Reserve compromise on fees that businesses pay financial institutions Source: Businessweek.com  Date: 07/07/2011 Link: http://www.businessweek.com/magazine/sniping-at-charges-for-swiping-debt-cards-07072011.html Questions for discussion: Summarize the key points made in the report. Do you agree or disagree with the decision? Who should set price for these services? What are the consequences… Read more »
Greece Sells Assets to Whittle Down Debt
Description: To help get out of its debt crisis, the Greek government has come up with a way to raise some cash: Sell off everything from planes and trains to huge parcels of land along the Greek coastline. WSJ’s Charles Forelle reports from Athens. Source: Marketwatch.com – video report Date: 06/27/2011 Link: http://www.marketwatch.com/video/asset/greece-sells-assets-to-whittle-down-debt/373566C2-7323-4E8A-8797-36858953526A Questions for… Read more »
Morgan Stanley Goes Against the Shorts in China
Description: It’s investing $50 million in Yongye International, a fertilizer company that’s been under attack Source: Businessweek.com Date: 06/29/2011 Link: http://www.businessweek.com/magazine/morgan-stanley-goes-against-the-shorts-in-china-06302011.html Questions for discussion: Summarize the issues in this report. What would you advise investors to do at this time?
Bank bashing is back, stocks suffer
Description: Banks are making a profit but they are taking heat from all sides. Neither the market nor Main Street is happy with them right now. Source: CNNMoney.com – video report Date: 06/23/2011 Link: http://money.cnn.com/video/news/2011/06/23/n_bz_bank_bashing_stocks.cnnmoney/ Questions for discussion: Summarize the issues related to why banks and bank stocks are out of favor? Do you agree… Read more »
Bonds: How to Play Interest Rate Peril
Description:Â With uncertainty high, some bond investors are looking to “unconstrained” managers who take a more active approach to selecting fixed-income securities Source: Businessweek.com Date: 06/23/2011 Link: http://www.businessweek.com/investor/content/jun2011/pi20110623_808293.htm Questions for discussion: Summarize the various strategies employed to manage bond funds? As an investor, which strategy looks best to you today looking forward?
