Posted in Consolidation, Euronext, LSE Latest, London Stock Exchange, Money, NYSE Euronext on December 8th, 2008
A German magazine is reporting that German stock Exchange, Deutsche Borse has developed a plan to merge with New York-based, NYSE Euronext.
The deal, which would create thw world’s biggest stock exchange group, would combine the businesses in a holding company in the Netherlands.
According to the report, Deutsche’s Chief Executive Reto Francioni, has presented his supervisory board with proposals for the merger.
The implications for the London Stock Exchange are not entirely clear, but must be worrying given the general economic climate.
Posted in Bank of England, Credit Crunch, LSE, London, London Stock Exchange, Money, Recession, Slump on December 4th, 2008
An hour ago, the Bank of England duly obliged on expectations and cut interest rates by 100 basis points to two percent, the lowest figure since 1951.
Other central banks are slashing rates too.
Sweden’s central bank today cut its key rate by a record 175 basis points, to two percent, the largest since 1992 when the country famously nationalized its major banks.
New Zealand also announced a cut of 150 basis points to a five-year low of five percent. Further cuts are on the cards.
Indonesia made a surprise 25 basis-point cut to its rate, to 9.25 percent.
Yesterday, the Bank of Thailand cut rates by 100 basis points to 2.75 percent, some of which may have been due to recent political turmoil in the country.
On Tuesday, the Reserve Bank of Australia surprised markets with a 100 basis-point cut to 4.25 percent.
The European Central Bank is expected to cut again today, but signals are mixed. The Shadow ECB has called for swift, deep cuts from its current rate of 3.25 percent. However, voices close to the ECB warned not to expect them.
