Truemors
The chief of Halifax Bank of Scotland Group, HBOS, Andy Hornby, in a broadcasted interview, has today announced that the so-called "credit crunch" is set to last "until at least 2010" with continuing crashing house prices. The slump has been directly traced back to the subprime mortgage crisis that gripped America last year, as "junk debts" defaulted showing up huge black holes as foreclosures moved in.
Sterling was heavily pounded this week, dropping to a low of US$1.7616 / GBP1 and with the euro at EURO 1.4240 / GBP1 compared to EURO 1.4325 on Thursday.
Bruno Paulson, senior analyst of Sanford Berstein predicts that house price crashes will be worse than the one in the 1990's.
living memory after the world's economies suffered further blows to cap their worst week in years.
First the euro and sterling fell heavily against the dollar on fresh fears that collapsing credit markets are thrusting Europe headlong into recession.
Then estate agents reported more gloom in the slumping UK housing market, warning that it could take three years to recover.
And now Wall Street traders are braced for a second day of heavy falls on the US stock markets after the country's unemployment rate leapt towards a five-year high.
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