Financial crisis: Government to take majority stake in RBS (Royal Bank of Scotland)

The Telegraph (UK) ^ | October 12, 2008 | Edmund Conway, Philip Aldrick, Mark Kleinman, Alistair Osborne

[silentknight]

Scary. http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3182806/Financial-crisis-Government-to-take-majority-stake-in-RBS.html

IMF warns: The developments emerged as the International Monetary Fund warned global equities could plunge by a further 20 per cent in the coming days unless governments deliver concrete action to address the crisis. The world financial system was standing on the “brink of systemic meltdown”, Dominique Strauss-Kahn, the IMF managing director, said.

“Intensifying solvency concerns about a number of the largest US-based and European financial institutions have pushed the global financial system to the brink of systemic meltdown.” The warning came as Chancellor Alistair Darling told his fellow finance ministers that they “must get on with” dramatic plans to recapitalise their banking systems.

The German government is today expected to unveil plans to pump billions of euros into banking shares. The country is likely to announce a plan to spend around €50bn to €100bn on bank equity.

[silentknight]

Israeli markets are down 7-8% at open.

[Momaw Nadon]

This sounds SERIES!

[jersey117]

Thanks for posting the biggest and most important story of the day.

[Bratch]

These guys need to STH up!

It’s like they’re DELIBERATELY trying to tank the markets.

Idiots!

[teletech]

More financial terrorism coming this week?

[silentknight]

It makes me wonder why they keep saying these things. To really warning people or other? It isn’t going to help market psychology this week. Scary, if true, though.

[silverleaf]

But in a spot of good news, the IMF meetings in Washingont went almost totally unprotested. The usual suspects of thousands of unwashed were absent from eerily empty Washington DC streets patrolled by underworked cops.

One might suppose many of them are out manufacturing false votes for Obama

[Brian S. Fitzgerald]

DERIVATIVES UBER ALLES!

[jersey117]

If you look back over the last couple of weeks you will see that these ominous fiancial stories break hard on Sunday nights. Stay tuned.

[penelopesire]

The headline actually reads:

‘Financial crisis: Government to take majority stake in RBS’

You know, it doesn’t help when folks change the headlines to gloom and doom either...(eye roll)

[Uri’el-2012]

The world is on the brink of one world government.

World Socialism.

[TigerLikesRooster]

These guys think all of us are stupid. We already knew, "World Is On The Brink Of Financial Meltdown."

In my case, I was only wondering when some big shot like IMF managing director will say it publicly. Now he did.

Another 20% drop in equity price? Are we supposed to be shocked over this? That is what you expect form unwinding monstrous derivatives.

[TLI]

One might suppose many of them are out manufacturing false votes for Obama

Somebody has got to fill out all those phony Voter Registration cards.

[Old Sarge]

[silentknight]

Really?

This is from the article -

The developments emerged as the International Monetary Fund warned global equities could plunge by a further 20 per cent in the coming days unless governments deliver concrete action to address the crisis.

The world financial system was standing on the “brink of systemic meltdown”, Dominique Strauss-Kahn, the IMF managing director, said. “Intensifying solvency concerns about a number of the largest US-based and European financial institutions have pushed the global financial system to the brink of systemic meltdown.”

The warning came as Chancellor Alistair Darling told his fellow finance ministers that they “must get on with” dramatic plans to recapitalise their banking systems.

[TheDon]

We’re all national socialists now....

[silentknight]

Maybe you can find some sunshine in the IMF quotes...lol

[Rockitz]

Unfortunately, it looks like my prior post/prediction is coming true.

http://www.freerepublic.com/focus/f-news/2031343/posts

Bennie and the Feds
(sung to Elton John and Bernie Taupin’s “Bennie and the Jets”)

Hey kids, shake it loose together
The shit’s hittin’ something
That'll turn us into debtors
He'll kill the US dollar tonight
So stick around
You're gonna hear lotsa fast talkin’
But it won’t rebound

Say, B’rack and Johnny, have you seen them yet
But they're so spaced out, Bennie and the Feds
Oh but they're r’vered and they're wonderful
Oh Bennie he's printin’ green
He's got a new ruse you can’t refute
You know I read it in a magazine
Bennie and the Feds

Hey kids, plug into dollar distress
Insiders are unwindin’
Since Bennie makes them worthless
We shall survive, let us take the Euro long
As we fight our leaders out in the streets
To find who's right and who's wrong

[rbg81]

Yeah. They know the other shoe is about to drop. Right now people aren’t paying their mortgages....soon it will be their credit cards too.

Joe Six-Pack (JSP) felt rich when his house was $200K above what he paid for it. He leveraged himself to the hilt. Now, its dropped in value $100K from the peak (or more) and he is left oweing more than its worth. Plus, his 401K has just lost 40% of its value.

So, JSP isn’t feeling so rich anymore. He may stop paying his credit cards and ask the lender to write down his debt. Plus he will stop doing stupid stuff, like eating out 2X per week. So, JSP won’t be a good little hyper consumer anymore. Who knows—maybe he’ll even mow his own lawn and lose some weight. Bad news for the economy, but (in the end) JSP will be better off.