Subprime crisis and its impact

Experts expressed the view that the mortgage crisis is perhaps the greatest financial crisis in the country since the Great Depression of the 1930's and early 1940's. Subprime crisis, it is that in the U.S. in an explosion of housing bubble, not just the world's leading economies unharmed. The International Monetary Fund (IMF) expects the country's GDP growth will be around 0,6% in 2009.

Liquidity in the banking sector were raised in connection with the crisis subprime. The problem is exacerbated by the executions, which are strong at the end of 2006. This renewed economic slowdown in 2007 until 2008.

High failure rates marked the beginning of the crisis, when people do not credit (subprime), were identical. This has made it risky transactions. Subprime borrowers are damaged credit ratings and have not been able to make the loan. Uncertainty in the apartment was not as we expected.

Statistics confirm that about 1.3 million households in the United States, the Social Exclusion Unit in 2007. To stop the evil in the real estate operator, arm or adjustable rate mortgage interest rates at a high percentage. In February 2008, banks and non-financial institutions, the losses in the amount of $ 170 million.

The influence of the U.S. subprime crisis in the global economy
The crisis of subprime mortgages in the U.S., not only led to a sharp decline, but the economy in the world also have a huge impact. In some countries, the view, and some of them can resist the tide within a few months. Finally, all the major countries after the crisis in subprime. Let's see how the markets of Asia, Australia and Europe, according to the U.S. mortgage crisis.

1. South Korea's key index fell by 4%

2. Benchmark indices in Hong Kong and Thailand has increased by 3%.

3. Massive selling was seen in markets in Asia.

4. Bag experts in the UK still do not determine the underlying causes of economic confrontation.

5. Exchanges in Thailand, Australia and Germany, were seriously injured.

6. France, Britain and Germany have their own key indicators that are more than 2%.

7. IKB Deutsche Industrial Bank has been severely affected by the U.S. - subprime mortgage crisis.

8. Asian financial markets, the removal of all the action from the very beginning of public investment.

9. The bank Macquarie, the leading financial services company in Australia has announced that investors could lose up to 25% or more of their investments.

Wafer Gomes is a sponsor of the Financial Mortgagecases. With their knowledge of mortgage cases, legislation and sub-prime issues in connection with the crisis, it provides information on consumer rights, how to fight and prevent cases of fraud victims .

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