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This is Money
The Government must suspend a set of key banking regulations at the heart of the current financial crisis or risk seeing the economy spiral towards a future that could \"make 1929 look like a walk in the park\", one of Britain\'s leading economists has warned.
Call to relax Basel banking rules
According to one banker: \"That is what is likely to happen this time around as well. When more banks start facing failure the authorities will suspend the Basel regulations.\" With credit markets still looking extremely shaky despite the central bank\'s decision to pour so much more money into the system, it is a prospect that looks increasingly likely.
Cutting through the normal banking rules
The massive cash injection from the Bank of England, along with funds from its international counterparts, is welcome but too little to calm the fears sweeping money markets.
Banks have $100bn, but no magic wand
The pound fell sharply against the dollar yesterday after a leading member of the Bank of England\'s Monetary Policy Committee said she was unconcerned by a decline in the value of sterling and added that she did not believe the UK was moving back towards a high-inflation environment.
Pound falls on remarks by MPC member
Vikram Pandit, the new chief executive of Citigroup, has put his bank under further financial strain by bringing $49 billion (£24 billion) worth of high-risk off-balance sheet investments onto its books just as new analysis predicts it will need to take a $30 billion writedown on its loan portfolio next year.
Citigroup under more strain as SIVs worth $49bn put on balance sheet
Former Federal Reserve chairman Alan Greenspan believes the chances that the US economy will enter into a recession in 2008 now stand at 50-50.
Greenspan\'s US recession warning
Investors took fright this week after the announcement of central bank intervention in the financial system, while fears over rising inflation and slowing growth were heightened by the week’s data releases.
Overview: Central bank action fails to convince
Booming demand for energy from China and the Middle East will drive global oil consumption up 2.5 per cent next year despite the growing threat of a recession in America, according to the International Energy Agency (IEA). The Paris-based energy watchdog said yesterday that it expected global crude oil demand to grow by 2.1 million barrels a day in 2008, 200,000 barrels a day higher than its previous forecast.
Buoyant China expected to lead growing demand for oil
Anthony Bolton, the veteran fund manager at Fidelity International, is calling the bottom for property stocks and considering buying battered-down shares in housebuilders and retail companies.
Fidelity manager puts faith in property stocks as he says share values will build