Japan is in recession, govt official confirms

The world's second largest economy-Japan, according to its top government official is indeed in recession as the economy once again fell another 0.1 percent in the third quarter aside from a 3 percent drop on the second quarter.

Since Japan is such a big exporter of goods, a more robust yen hurts profits for Japanese firms as sales from abroad get translated back into yen. The more that the yen has climbed, the worse Japan's stock market has performed, which has resulted in a ripple effect on European and U.S. exchanges.

After an early selloff Monday, Japan's Nikkei 225 stock index rebounded with a gain of about 2 percent late in the morning.
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US treasury leaves original $700bn strategy

Before the Bush administration expires two months from now, the US treasury has already sketched and shifted to a new lending program which aim at unlocking the consumer credit market. The plan was pushed through due to the failure of the first 700 billion strategy rescue plan.

As envisioned, the Treasury would put up about 5 percent of the money that a company would use for lending and private investors would put up perhaps 20 times that much by buying bonds issued by the new program.

Despite the mind-boggling amount of money that Congress has authorized the Treasury to spend — $350 billion immediately, and another $350 billion that Congress would approve under a fast-track procedure — Mr. Paulson is running short of money and time.
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Asian stocks fall to two week low on worsening global economic outlook

Most of the Asian stocks are reportedly suffering from great decline for almost two weeks now due to worsening global economic outlook.

In the U.S., the Standard & Poor's 500 Index dropped 2.2 percent yesterday. General Motors Corp. sank to the lowest price since 1943 as the automaker crept closer to bankruptcy. Insurers dropped after Goldman Sachs Group Inc. said investment losses may force them to raise more capital and threaten credit ratings.

Crude oil for December delivery fell 0.6 percent to $58.95 a barrel recently on the New York Mercantile Exchange on speculation the International Energy Agency will cut its 2009 oil-demand forecast because of slowing economic growth.

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DHL-US to cut 9500 jobs

Global delivery company DHL is forced to cut 9500 jobs within United States but will continue to operate business to other countries. The company is dropping the US based or domestic-only jobs to minimize future uncertainties.

"We see [a] significant shortfall in the U.S. part of our express business due to the fact that the economy has weakened deeply," said Frank Appel, chief executive of DHL's parent company Deutsche Post World Net. "We have taken a massive action in the U.S."

"As you can imagine, this was not an easy decision," said Appel, speaking by webcast from corporate headquarters in Bonn, Germany. "It has a massive impact on jobs for our people."

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China reveals massive stimulus plan to boost economy

China, the world's fourth largest economy is making its biggest move to guard its economy against global financial crisis. It recently announced $586 billion stimulus plan package as part of its plan to backup its ailing economic status.

China's statement said the Cabinet, at a meeting chaired by Premier Wen Jiabao, had "decided to adopt active fiscal policy and moderately easy monetary policies."

The statement said the spending would focus on 10 areas. They included picking up the pace of spending on low-cost housing -- an urgent need in many parts of the country -- as well as increased spending on rural infrastructure.

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Japan's stock dropped after global slide

Asia's financial crisis deepened today after Japan's Nikkei stock average fell almost 10% in its biggest single-day drop for more than 20 years.

The world's second-biggest economy was also rocked by the collapse of an established life insurer: Yamato Life Insurance becomes the country's first major victim of the US credit crunch.

The Nikkei, already reeling from a fall of almost 10% on Wednesday, shed 881 points, or 9.62%, to end the day at 8,276, its lowest close since May 2003.

The index has fallen by an average of 24% this week, more than double the weekly losses seen in the aftermath of the 1987 stock market crash. The Nikkei has lost 46% this year and nearly a quarter of its value since last Friday.

"Selling is unstoppable in New York and Tokyo," said Kido Takashi, a senior strategist at NEXT Futures. "Investors were gripped by fear."

what stock could fare best in Wall Street on Obama Adminnistration

With the new administration next year, Wall Street spectators, investors are trying to figure out what would be the best stocks that would shake and move the Wall Street.


An Obama victory also could get consumer confidence out of its doldrums and help a variety of sectors.

"The good news is the American public got the change they wanted yesterday," says Peter Miralles, president of Atlanta Wealth Management. "Consumer confidence is at all-time lows. We should see consumer confidence start to rise here, at least during the honeymoon."

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US stocks rally on election day

And now, the race for US presidency is on! Americans are now heading to polling places to cast their votes. It is either Obama or McCain! Both are believed to have powers to push up the deteriorating US economy. Let us see if the US stock market has changed even before the election commence.

Stocks rallied last week at the end of one of the worst months in Wall Street history. For the week, the Dow was up 10.1%, the S&P 500 was up 9.5% and the Nasdaq had gained 9.8%.

"The election has been a source of worry for the market, so you're getting some relief that it's finally here," said Michael Church, senior portfolio manager at Church Capital.

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October is the ever-worst month for Wall Street

The month of October was in full red at Wall Street as October ends. This month was tagged as the worst-ever in the US stock markets as Dow jones was in wild ride and S&P lost 198 points.

The markets have suffered under the weight of a deteriorating housing market, an ongoing credit crisis, sluggish profits and falling commodity prices. Worst of all, economists say, is that there seems to be no end in sight.

"A combination of negative outlook and uncertainly is toxic for stock markets, and you've got both of those factors on steroids right now," said Jared Bernstein, senior economist with the Economic Policy Institute.

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