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The odds on an interest-rate cut next week shortened yesterday after lenders told the Bank of England that the mortgage famine would get worse.
Mortgage deal squeeze raises chances of cut in interest rate
The Bank of England is now odds-on to cut interest rates next week, experts said, after new figures indicated that the economy is at its weakest in five years and that the mortgage drought is set to worsen.
Interest rate cut 'odds-on' as economy weakens
Governments and central banks could do more to prevent tearaway housing market bubbles, the International Monetary Fund has warned. In comments which may be seen as a sideswipe at authorities in the US and the UK, where housing prices soared to record levels in recent years, before taking a turn for the worse, the IMF said both central banks and policymakers should "lean against the wind" when it came to controlling property markets.
Banks could help to limit housing bubbles, says IMF
International banks are scrambling to sell their holdings of Spanish mortgage debt at a steep discount, fearing that the country may be sliding into the worst economic downturn in its modern history.
Foreign banks flee Spanish property debt
The chief executive of Bear Stearns accused traders yesterday of bringing down his securities firm by spreading unfounded rumours designed to induce a panic that led to a run on the group. Christopher Cox, the head of the US Securities and Exchange Commission, said that it was looking closely at whether market participants illegally colluded to short shares in Bear Stearns before its rescue.
Bear Stearns says traders' false rumours took bank to the brink
The US Federal Reserve has sent staff into some of Wall Streets biggest firms and its New York branch is gathering evidence on key traders activities as Americas central bank raises its scrutiny of risk to an unprecedented level.
Federal Reserve staff move into offices of investment banks to monitor activities
Hermitage Capital, the leading foreign portfolio investor in Russia, claims it has been the victim of an attempted fraud and theft of hundreds of millions of dollars by individuals connected to the Russian Interior Ministry.
Hermitage Capital alleges fraud and theft involving Russian Interior Ministry
One of Russia's largest foreign investors and a leading opponent of corruption has broken cover to take on criminal elements in the higher reaches of law enforcement agencies to expose the lawless heart of corporate Russia. Bill Browder, whose $4bn (2bn) Hermitage Capital Management hedge fund is largely invested in the former Soviet republic, is fighting back after allegedly being targeted by gangs trying to seize hundreds of millions of dollars of Hermitage's cash and assets.
Exposing Russia's corporate 'corruption'