The sharks are no longer circling Bank of America (BAC). They’ve moved in with jaws wide open. Who knew that the $4 billion acquisition of Countrywide Financial would keep adding fresh blood to the water even now three years after Bank of America acquired the mortgage lender in 2008?
Yesterday, August 29, the People’s Bank of China, raised the amount that banks have to set aside as reserves one more time.
China’s central bank has now increased its reserve-requirement ratio nine times since September 2010.
U.S. stocks are higher on an 0.8% increase in personal spending in July. The advance in July was the strongest gain n spending since February and a huge swing from the 0.1% drop in June.
Bans on short-selling in France, Italy, Spain, and Belgium, designed to protect wobbly European bank stocks, set off a selling panic in Germany yesterday, August 25
Stocks have rallied strongly this week on hopes that Fed chairman Ben Bernanke will announce a third program of quantitative easing and set off another rally in the stock market. But recent data have turned against those hopes by delivering better than expected news.
Today, August 24, Moody’s Investors Service downgraded Japan’s government debt one notch to Aa3. The move is Moody’s first downgrade of Japan’s debt since 2002.