Volatility and risk aversion in global stock markets continued in Asia, where sharp falls in the Nikkei 225 and other indexes all but wiped out an extraordinary rally.
Home prices are likely to fall through late 2009, if not longer, economists say.
Switzerland’s two largest banks will receive emergency financing from the government and other investors to shore them up against the financial crisis, they said.
New York’s attorney general, Andrew M. Cuomo, demanded that the insurer recover bonuses and other payments from its former executives, lest he take formal action against the company.
JPMorgan Chase, Wells Fargo, and State Street announced earnings that beat expectations, but their shares fell on fears of a drawn-out erosion of the economy.
The cutback in spending was underscored by the anecdotal in the Fed’s “beige book,” a regular survey of businesses around the country, which found pessimistic outlooks across the board.
As spending falls in the U.S. and Europe, Asian consumers may be the last hope to preserve economic growth around the world — if Asians can be encouraged to spend.