Friday 19th September 2008 |
Text too small? |
"Financial prices have become volatile and, with heightened uncertainty, investors are becoming more risk averse," Governor Alan Bollard said. New Zealand banks aren't directly involved though there are "indirect adverse effects on liquidity," he said.
The Reserve Bank will begin accepting bank paper in its daily market operations and offer longer terms of up to six months to ease pressure at the short end of the market. It will also start a new facility that will accept certain asset-backed securities as collateral.
Global losses and writedowns among financial companies during the rout have mounted to some US$518 billion, according to a Bloomberg estimate. The turmoil has also led to the failure of Lehman Brothers, the takeover of Merrill Lynch in a rescue and the sale of HBOS in the UK.
No comments yet
SPG - Change to Executive Team
BGI - Forgiveness of $200,000 of secured indebtedness
General Capital Subsidiary General Finance Market Update
AFT,Massey Ventures,Gilles McIndoe to develop scar treatmen
April 24th Morning Report
Cheers to many fewer grape harvest spills
GTK - Half-Year Results Announcement Date
Government ends war on farming
Sky and BBC Studios renew expanded, multi-year agreement
AOF - Q1 Improved Trading Performance & FY24 Guidance Maintained