While investors remain extremely concerned about the volatility of the U.S. stock market, the weakness of the American economy and the uncertainty of the global financial markets, last week brought “slight” relief from the excessive panic of the eight-trading-session losing streak.
Morgan Stanley (MS) announced yesterday (Monday) that it closed its long-awaited deal with Mitsubishi UFJ Financial Group (ADR: MTU), giving Japan’s largest financial group a 21% stake in the beleaguered U.S. investment bank. Meanwhile, Sovereign Bancorp Inc. (SOV) confirmed last night that it has agreed to be bought out by Spain’s Banco Santander SA (ADR: STD) with regards to a possible buyout.
Retirement Plans Lose $2 Trillion; eBay Sells Out Workforce; Eli Settles Marketing Dispute; Morgan Stanley Gets OK on Capital Infusion; IMF Says Rough Economic Times Ahead; Wachovia Split?
Even with a congressional compromise having been reached, the $700 billion credit-crisis bailout plan will remain the headline story this week as analysts monitor whether the deal is viewed as a good one, or is ultimately regarded as a flawed deal that can only do damage to the U.S. economy over the long haul.
“Japan is buying every American financial asset it can get its hands on,” says Andrew Snyder in Today’s Financial News. This is making it a a fierce international competitor. It also makes Japanese Nomura Holdings (NYSE:NMR) and Mitsubishi Financial (NYSE:MTU) stocks to to watch…
As the ongoing effects of the capital markets credit crisis continues to be felt, US government financial leaders have urged Congress to make a speedy intervention, says Jennifer Yousfi in Morning Morning. Foreign banks capitalized on US distress by snapping up assets at bargain prices.
Goldman Sachs Group Inc. (NYSE:GS) and Morgan Stanley (NYSE:MS), Wall Street’s last remaining investment banks, are converting to holding companies now that the collapse of The Bear Stearns Cos. Inc. and Lehman Bros. Holdings Inc. (OTC: LEHMQ) have drained clients and investors of any remaining confidence in the companies’ business models.
NAHB Holds Out Hope for Housing Market; Copper Golden for Chile; Lowe’s Sales Up; BHP Reports Record Annual Profit; Japan Bank Sweetens Bid; Airlines’ Labor Day Decline; Nymex’s Temporary Seat Sale Halt; Golden Gate’s Restaurant Order
Mitsubishi UFJ Financial Group’s (ADR: MTU) $3 billion bid to obtain California’s UnionBanCal Corp. (UB) suffered a blow yesterday (Thursday) when a shareholder advisory committee determined the offer price was too low.