While many have been forecasting a major downturn in US housing, there have been those who see no difficulties ahead, and are even forecasting more rises to come. However, it looks as though, slowly but surely, the real picture is starting to emerge. Sub Prime lending (lending to those with a low credit standing) may be about to bring down the US housing market!
Over the last few days we have seen a major escalation in the war or words between the UK authorities and Russian President Mr Putin. Not only have we recently seen a tit for tat ejection of foreign diplomats from each country, but it appears that UK business will not be well received in Russia in the future.
The last few weeks have seen the financial press, the government and seemingly every tax expert n the country turn against the Private Equity firms. These aggressive investment firms have taken some really heavy criticism in recent times, but is it justified and is it true?
Just a day after recording a new high, the Dow Jones index hit another high, breaching the 13,900 level for the first time ever. Even though there are signs that the US economy is on the verge of a downturn, it seems that investors cannot get enough of the markets. Despite news that US retail sales in June had fallen an unexpected 0.9%, the rise goes on and on - dragging along other markets around the world. So what next?
In a Chicago court case which lasted in excess of 3 months, once powerful media mogul Conrad Black has been found guilty of defrauding the Hollinger Group he once ran. Black, along with a number of co-accused, has been found guilty of taking millions of dollars from the group and now faces up to 35 years in a US jail.
While there are plans for an immediate appeal, the recent court ruling is a massive blow.
While the headlines about the state of the pension industry, and company pension schemes in particular, may have calmed down, the situation is still getting worse behind the scenes. Research has shown that 8 out of 10 final salary schemes are now closed to new members, with many members being pressurised into considering a conversion to money purchase schemes.
