While Tom Brady of the New England Patriots was throwing incredible numbers on the field Sept. 12 against the Miami Dolphins, the world financial markets continued to fumble. Here’s the highlight reel of top headlines from last week:
Federal Reserve Chairman, Ben Bernanke, is expected to unveil some options aimed at spurring the economy, including what’s being called “operation twist” – a move where the Fed would sell short-dated Treasury debt and use the proceeds to buy long bonds. The act is unusual—though it helped a bit in the 1960s—but many feel the economic needle wouldn’t move positive without the help of Congress and action on President Barack Obama’s jobs plan.
Beneath Capitol Hill, it’s no surprise Americans are depressed about the economy as results from a recent survey reveal factors such as high debt, fear of inflation and worries of falling home prices as some of their concerns. According to a recent study by CardHub.com, Americans in the second quarter of 2011 accumulated a whopping $18.4 million in credit card debt – 66 percent more than the same quarter in 2010 and 368 percent more than the second quarter of 2009. The study also said Americans would end 2011 with about $54 billion more in credit card debt than they started with at the beginning of the year. As plastic continues swiping in the U.S., Europe’s debt crisis continues swooping. The European Central Bank and other central banks opened new lines of credit to organizations for longer periods than before, hoping such an initiative to jumpstart Europe’s financial flounders. All eyes will be on Greece this week for the next chapter in the country’s fiscal crisis as it continues teetering on the brink of default. With all the toil and trouble in the markets, many investors are wondering what to do with their portfolios, including seeking diversification and investments not correlated to the stock market. Perhaps they should explore mimicry.
- The Fed’s options are futile without Congress, CNN Money, Sept. 12, 2011
- Credit Card Debt Soars as Americans Borrow Like It’s 2006, DailyFinance, Sept. 12, 2011
- REVEALED: Why Consumers Are So Depressed About The US Economy, Business Insider, Sept. 13, 2011
- A Worst-Case Scenario Investment Portfolio, SmartMoney, Sept. 14, 2011
- Tracking Europe’s Debt Crisis, New York Times, Sept. 15, 2011
- FOREX WEEK AHEAD: Greece Is Front And Center For Markets, Wall Street Journal, Sept. 16, 2011
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