crisis

John Greenwood, chief economist at Invesco, speaks about the impact of the sovereign debt crisis on developed economies and the strategies needed to get them out of it.

East Asia, led by China, has emerged stronger after the financial crisis, but a continuation of structural reform is needed to maintain the growth momentum, finds the World Bank.

UBS accepts a government rescue and will transfer $60 billion of illiquid assets to a dedicated fund, while Credit Suisse raises $9.1 billion in fresh capital from existing shareholders.

Markets rally on the decision by the EU û and belatedly also the US û to inject capital into ailing banks in return for part-ownership, but analysts warn that more hardship awaits as investor focus shifts to earnings growth.

The current crisis has more than a few similarities with the Asian financial crisis when it comes to causes and symptoms, and just like 10 years ago in Asia, the post-bubble adjustment in the developed world will take time.

Widespread rate cuts also imply that the global economy is slowing down, with negative implications for Asia's export-dependent markets.

A combination of factors is hurting the Japanese stockmarket. Even the conservative banking sector is suffering, threatening further international expansion.

Speaking at the CLSA conference in Hong Kong, bearish Dr Marc Faber refrains from saying æI told you soÆ, and remains pessimistic about the global outlook for markets and economies.