Lehman Brothers Collapse "Like a Massive Earthquake" Sep 15

Sep 15, 2008.
The venerable Lehman Brothers investment bank said early Monday that it will file for bankruptcy, while Bank of America unveiled plans to buy Merrill Lynch -- two pieces of news that profoundly alter the American financial landscape.

The fast-paced changes capped a roller-coaster Wall Street weekend and threatened to stir up U.S. financial markets already reeling from woes at other major financial firms and mortgage financing titans Fannie Mae and Freddie Mac.

"This crisis is clearly deeper than anybody had imagined only a short time ago," Peter Stein, an associate editor at The Wall Street Journal in Asia, told CNN.

Lehman Brothers said in a statement early Monday that it plans to file for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The 158-year-old investment bank had been undermined by bad bets on real estate -- the value of its shares declined 94 percent this year.

The fall of Lehman followed a wild, three-day scramble by top Wall Street executives and federal regulators, who worked around the clock to come up with a solution to a still-unfolding financial crisis.

By the end of the weekend, the Federal Reserve had stepped in to try to calm the markets by announcing plans to loosen its lending restrictions on the banking industry.

A consortium of 10 leading domestic and foreign banks agreed to create a $70 billion fund for loans to troubled financial firms.


Source:
http://edition.cnn.com/2008/US/09/15/banks.bigchanges/index.html

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Sep. 15, 2008.
Global markets were reeling Monday after a convulsive day on Wall Street that saw a leading U.S. investment bank file for bankruptcy and other institutes scramble to merge as the credit crunch claimed one of its biggest victims yet.

Stock prices plunged in Asia and Europe in the wake of investment bank Lehman brothers announcing its collapse and Bank of America's $50 billion buyout of ailing brokerage Merrill Lynch.

This crisis is clearly deeper than anybody had imagined only a short time ago," Peter Stein, an associate editor at the Wall Street Journal in Asia, told CNN.

The Dow Jones Industrial Average fell 330 points or 2.9 percent to around 11091 in early trading. In Europe, FTSE index in London declined 3.37 percent while the Paris CAC 40 was down 4.47 percent.

Major Asian indexes were closed but India's Sensex fell 5.4 percent, Taiwan's benchmark dropped 4.1, Australia's key index dropped 2 percent and Singapore fell 2.9.

The turmoil followed a roller-coaster weekend for a Wall Street already concussed by woes at other major financial firms and mortgage-financing titans Fannie Mae and Freddie Mac.

At one point the U.S. Federal Reserve was forced to step in, announcing plans to loosen lending restrictions to the banking industry in an effort to calm markets, while a consortium of 10 leading domestic and foreign banks agreed a $70 billion fund to lend to troubled financial firms.

In an effort to calm market jitters, the European Central Bank on Monday said it has pumped $42.6 billion into money markets. The Bank of England in London also took steps, offering nearly $9 billion in a three-day auction.

Source:
http://edition.cnn.com/2008/BUSINESS/09/15/lehman.merrill.stocks.turmoil/inde...

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[strongcat3236]

U are right. The banking empires are built on blood, wars and corruption. The rockefellers and rothschilds are the most evil people on earth.

Lehman is just as bad and the collapse is gods will. No one should feel sorry for any banking firms cos they fund organised crime and buy off the media. Thats a fact.

[Dandaniels1978]

Now im hearing that AIG is to be put into conservatorship???? FUCKING DISGRACE. Profits have been privatised and losses at the American taxpayers expense. IM SOOOOO MADDDDD!!!!!! Insurance companies gambling with insurance premiums, they lobbied for self regulation and the US government let then do what they want. These people should be turned over to the Hague for economic war crimes. INDICT EVERYONE

[tatsf226]

they lose job, and earn million dollars.

[dreamEternal]

@miguel4897 Began 30 years before now. This is the result of the cause.

[miguel4897]

This is when it all began....

[TheREIMaverick]

yea...this is a great video! Thank you for posting!

[thomasucc]

Can Lehman pay back Bank of Ireland the 2 billion the asked and got

[vergalechera]

HATRED.

[salahuddin786]

Twin Towers collapsed 9/11

Lehmans Collapsed 9/12

Goodness we are in Sept 2009 - watch this space as it is the month that HATES America

[JSan898123]

write some smack at wallstreetunemployed.blogspot

[lethal1960]

stepper 11 you need to research your countries behaviour.

as an empire your country is directly connected to the deaths of countless people around this globe.

your corporate owned media simply airbrushes it out.i love opinions i listen to them carefully,but i detest opinions based on total ignorance.

so wake up

and nudge awake the rest of your fellow countrymen wallowing in the same ignorance.