Daily FNArena News - FYI

The US Fed back-flipped on Friday, declaring an appreciable downside risk to the US economy. In cutting its discount rate, the Fed sparked a 233 point rally in the Dow.

In an extraordinary night that followed an extraordinary day, commodity prices collapsed, US bond yields were clipped, the yen accelerated its buyback and Wall Street found a bottom.

Extra musings from your editor. Will Friday bring the positive turnaround for Australian shares?

Danske Bank offers an economics lesson as to what a financial crisis is while suggesting it is too early to know if we are currently experiencing a full blown crisis or merely a correction.

The crisis formerly known as subprime is reaching the status of an emergency. And as we speak, two hurricanes are brewing in the south.

Weekly musings from your editor. This week: it ain’t over till it’s over plus CommSec revises its share market strategy.

Credit problems at a leveraged prime mortgage lender and lowered expectations from Wal-Mart conspired to send the Dow tumbling 200 points once more.

What is all the damned fuss about? asks many a market analyst. US subprime foreclosures are a small proportion of a small proportion of a small market.

The current global liquidity crisis has attracted a lot of headlines but many investors may not fully understand the situation, so Danske Bank has outlined the central banks’ role in such a situation.

The Dow spent all day in solid positive territory on low volume, only to slip away at the death.