New York reports that the world's leading nations are speeding their actions to fight against the worst financial crisis in decades.
After a heat debate on the measures taken to tackle the crisis, the leaders tend to support the solution of fighting against the financial crisis by helping the banks in trouble. However, stock markets are still on the rock and roll, though a stable situation is to be expected in a few months. There may be a rise even later.
Further, this will greatly affect the housing situation in European nations as well. As the measures taken in the US show no immediate positive reflects on the stock markets, the European leaders still don't have one voice on this issue. French President Nicolas Sarkozy stated that 15 European nations gathered in Paris to seek for the solutions to shoulder the troubled banks by investing and lending money to these banks.
Neel Kashkari of the U.S., a former executive at Goldman Sachs, was appointed as the top head of the newly created Office of Financial Stability, and will oversee the $700 billion bailout program. He was expected to make a speech to offer details of the bailout program concerning the implementation of the program.
Stock market suffered another fall in the past few days, which offers evidence of the theory of “buy on the rumor and sell on the fact”. So far, there are no very positive reflects of a stable and rising tendency shown on the stock markets after the bailout program passed. There is a long way to go for the economy to recover from the wound of the financial problems around the world, which was triggered by the economic situation of the U.S. "In recent weeks, financial market turmoil intensified throughout the world and credit markets froze, causing a chain reaction resulting in non-financial companies experiencing difficulty in financing normal business operations." Paulson said.
Many of the leaders thought that the recapitalization of banks was “absolutely needed”, and they deemed that the jittery stock market cannot go on a stable journey recently. As Bush, the President of the U.S., put that it took time to see positive reflects of a rising market.
There are much to expect for the bankers, and there are some expectations for the stockholders. Talking about the job market, some expected that the job market would share the same features as the housing market.
