Mini Investment Company
Lower rates on short-term money investments persist
LOWER rates on short-term investments on the money market persisted yesterday averaging around 80-100 percent between 7-14 days. The 30-day yield was at 150 percent while the 60-day yield was averaging between 150-200 percent. The money market remained fairly liquid with a forecast surplus of $176 trillion largely driven by increased Government expenditure. This has left investors with one short-term attractive option � the equities market. The stock market rose again across the board largely driven by the strengthening of the US dollar. At close, the industrial index gained 12,48 percent to 24 396 261 463,39 points The mining index closed with a marginal loss of 2,73 percent to 20 060 409 338,58 points after weak trades in most of the counters.
S&P considering downgrade of $51 billion in CDOs
Standard & Poor's Ratings Services said Wednesday is considering downgrading $50.99 billion of collateralized debt obligations -- complex investments splicing payments from a number of sources. The CDOs under consideration for downgrade derive some of their payments from home loans carrying bad credit, S&P said. CDOs are pieces of paper pooling together bonds and other types of debt and breaking them into levels, some of which are riskier than others. Many CDOs include bonds backed by mortgages in these levels. Because a bond backed by mortgages is worth less if those mortgages go into default, S&P is considering whether to downgrade the CDOs that rely on these bonds for their payments. S&P has downgraded $339.78 billion in CDOs. .
Privacy Terms And Conditions Contact Us
|