All articles tagged with #financial crises
The article explains why financial markets haven't reacted strongly to Trump's attempts to influence the Federal Reserve, highlighting that markets tend to remain complacent until a crisis becomes unavoidable, as seen in past examples like the 2008 housing bubble and the euro area crisis. It warns that current political interference could lead to a significant policy disaster, but markets may not respond until it's too late.
Economist Owen Lamont warns that August to October is historically a 'panic season' for markets due to low liquidity and the timing of harvests, which has been linked to past financial crises. He suggests that the tradition of summer vacations may contribute to market instability during this period, but also notes that remote work could mitigate these effects in the future.
Treasury Secretary Scott Bessent dismisses Jamie Dimon's warnings about a potential bond market collapse, despite Dimon's long history of accurate predictions and cautious outlooks, highlighting ongoing concerns about the US economy amid mounting debt and deficits.
Stanley Fischer, a renowned economist and central banker who played key roles in managing global financial crises and mentoring future leaders, has died at 81 due to complications from Alzheimer’s disease.
Economic downturns, including recessions, tend to have a pronounced negative impact on the oil and gas sector, leading to steep declines in oil and gas prices as well as contraction in credit. Falling oil and gas prices mean lower revenues for oil and gas companies and tight credit conditions that result in many explorers and producers paying higher interest rates when raising capital, thus crimping earnings even more. The article examines how energy markets have reacted to past economic and financial crises, including the Great Depression of 1930, the oil shock of 1973/74, the oil price crisis of 1998-9, and the global financial crisis of 2008.