Goldman jiggle World Financial Markets
Post-scandal reveal Goldman, the world’s major stock immediately plummeted. In London the FTSE 100 index Acun fell 1.39% to close at 5743.96 points while in Paris the CAC 40 index gave up 1.94% to end at 3986.63. Frankfurt’s DAX 30 index lost 1.76% to close at 6180.90 points.
In other places there penumnan 2.26% in Milan, 1.02% in Brussels, 2.29% in Madrid, 1.64% in Amsterdam and 1.06% on the Swiss Market Index. On Wall Street the Dow Jones Industrial Average has shrunk 1.20% to 11010.88 in mid-day while the tech heavy Nasdaq fell 1.53% at 2477.13. Until yesterday the world’s major exchanges has not been able to get up and still be opened directly weakened. FTSE 100 Index, for example, immediately opened down 17.96 points to 6726 levels. Similarly, the Asian bourses are all weakened. Like the Hang Seng index fell 530.119 points to 21335.14 and the level of the Nikkei-225 index dropped 193.41 points to 10908.77 level.
Instead the U.S. dollar continued to pressure the yen to a position Alatas 91.98 yen, compared with 92.17 yen earlier on. “People started buying the yen because of increased risk aversion. This is because the emergence of risk caused by news from Goldman and the concerns over the European Union and IMF meetings to discuss a rescue Yinani” said Michael Hew-son, an analyst with Goldman Markets.Skandal CMC also hit commodity prices . Main contract, light sweet crude May delivery fell 1.46 dollars to USS 81.79 per barrel. While the Brent oil also fell 1.08 dollars to U.S. $ 84.91 per barrel.
Analyst from PT Sinarmas Securities, Goldman Sachs explained Alfiansyah melakukankecurangan accused by the United States regulatory body pasarmodal (SEC), triggering panic selling that is global. “As a result the stock price on the stock all over the world is falling langus-ng,” tuturnya.Menurut Alfian, the fall was only temporary, because the United States economy also continued to experience improvement. This panic subsided when it was likely strengthened global market will turn around. So that investors can benefit by the local stock exchange to make the accumulation of shares in the price murah.Namun, “If the cheating scandal was proven correct Goldman Sachs will return economic tarnish Affairs Abang Sam again and continue to trigger the panic could re-immersed market globalization,” he explained
On the other hand, Bapepam U.S. or the Securities and Exchange Commission (SEC) has been officially reported to court on charges Golman cheat when dealing with securities products related to subprime mortgages. Goldman Products ditunding even as one source trigger the financial crisis in late 2008 silam.SEC in the civil lawsuit accusing a Goldman “cheated investors by misstate (misstating) and ignores the key facts about financial products linked to subprime mortgages as the market U.S. housing start staggered ”
Conflict of Interest
U.S. financial giant is now facing charges cheated investors by giving a false statement and ignores the key facts about financial products based on subprime mortgages.
The SEC said that Goldman failed to provide explanations to investors that it had been put together financial products known as the collateral of the debt obligations and at the same time betting against ini.Gugatan product was also addressed to Fabrice Tourre, a vice president at Goldman to help make and sell so-called “col-lateralized debt obligation” (CDO) on the 2007 peak of the mortgage crisis that plunged the country into a recession brutal.SEC said Goldman failed to disclose to investors key information about products, especially the role of hedge funds which has taken a speculative position on investment.
“This product is new and complex, but fraud and conflict of old and simple,” said Robert Khuzami, SEC enforcement division director in a statement. “Goldman was wrong to allow a client who bet against the mortgage market, which obviously affects the mortgage securities to include in investment portfolios, while other investors say that the securities selected by an independent third party objective,” katanya.Goldman Sachs issued a note which is a category of products ABACUS Collaterali-Zed Debt Obligation (CDO), a kind of complex debt securities and is a derivative product that uses a collection of other debt securities as collateral.
But Goldman Sachs is known involving fund management companies (hedge funds) Paulson Co. to help choose the assets that will be the CDO’s portfolio. Though Paulson has precisely the opposite position with CDO itu.Paulson Co. Paulson predicts suprime asset-based asset prices will fall so that the hedge funds that bet by placing the short position (sell) at the CDO. This means that Paulson had made against the product itself. The SEC estimates from the SEC’s investigation ini.Hasil action directly causing a wave of risk aversion in nearly all financial markets.
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