12-01-2011, 11:20 AM
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1) Layouts and Unemployment
In February 2008, 63000 jobs were lost, a 5 year record
In September 2008, 159,000 jobs lost, bringing the monthly average to 84,000 per month from January to September of 2008
On September 5 2008, the United States Department of Labour issued a report that its unemployment rate rose to 6.1%, the highest in five years
Unemployment rate rose from 4.9% in December 2007 to 10.1% in October 2008, highest since 1983
2) BANKRUPTCY
First of the companies to go bankrupt was Northern Rock, a medium-sized British bank in September 2007
September 13–14, Lehman Brothers declared bankruptcy, this being the largest bankruptcy in U.S. history
Bank of America agreed to purchase Merrill Lynch
JP Morgan Chase purchased the banking assets of Washington Mutual
The year 2008 as of September 17 has seen 81 public corporations file for bankruptcy in the United States, already higher than the 78 in 2007
3) FINANCIAL MARKETS FALLDOWN
On September 18, UK regulators announced a temporary ban on short-selling of financial stocks
On September 19 the U.S. Securities and Exchange Commission (SEC) followed by placing a temporary ban of short-selling stocks of 799 specific financial institutions.
On September 22, the Australian Securities Exchange (ASX) banned all short selling and opened an hour late
In November 2008, U.S. stock index the S&P 500, was down 45% from its 2007 high
Fall in Indian Share Market-Sensex at the lower point
4) LIQUIDITY CRISIS
In September 2008,withdrawals from money markets were $144.5 billion during one week, versus $7.1 billion the week prior
5) POLITICAL INSTABILITY
Extensive civil unrest in Greece during 2008 and massive general strike because of economic situation
In January 2009, Government of Iceland were forced to call election two years early
6) OTHER IMPACTS
In middle-October 2008, the Baltic Dry Index, a measure of shipping volume, fell by 50% in one week
The price of gold rose by 30% from middle of 2007 to end of 2008
European debt crisis that primarily impacted five countries: Greece, Ireland, Portugal, Italy, and Spain
Financial aid package of €750 billion announced for Greece and other European countries
