The Free Fall @ the Wall Street .....................

Not many know the reasons behind the free fall of the finance biggies at the Wall Street..

The top 5 financial arms of the Capitalist US were under siege..  

Lehmann Brothers applied for bankruptcy after takeover duly rejected by Barclays Bank..

AIG survives with some support .... Continuing inconsistent clouds hover over the Worldz biggest loan taking economy....

The Wall Street Boasts of the gr8tst financial arms in the worldz.. with the likes of ...

Lehmann Brothers

AIG

Fannie Mae

Freddie Mac

Merril Lynch

Morgan Stanley

JP Morgan

Sept 15 2008 turned out  to be the Sept 11 2001 of the Wall Street .. with all the investors losing trust in one of the most successful economies ... 

Not much is the difference between the 2 events in the chronicle of the US .... One thing should be noted tthat the fall of LB was all enough to clear the sentiments of the investors , who apparently believed tht it neared the end .. 

 As the news spread panic, anger , frustration , all crippled upon the nerves and as a result even strong hold high end profit gaining compz started to feel the heat of the collapse....

 As a result the word stability vanished shortly....

Least to focus on the fact that many of the top tier BFSI houses do lean upon the well being of the US economy ....   Hence a similar heat was witnessed @ the Indian version of the Wall Street  aka Dalal Street but with low intensity ... 

The Hidded Reasons for the inconsistency ...................

           "   The  sub prime crisis   "

The subprime mortgage crisis is an ongoing economic problem characterized by contracted liquidity in the global credit markets and banking system. An undervaluation of real risk in the subprime marketis cascading, rippling and ultimately severely adversely affecting the world economy.

The crisis began with the bursting of the United States housing bubble and high default rates on "subprime" and adjustable rate mortgages (ARM). Loan incentives, such as easy initial terms, in conjunction with an acceleration in rising housing prices encouraged borrowers to assume difficult mortgages on the belief they would be able to quickly refinance at more favorable terms. However, once housing prices started to drop moderately in 2006–2007 in many parts of the U.S., refinancing became more difficult. Defaults and foreclosure activity increased dramatically, as easy initial terms expired, home prices failed to go up as anticipated, and ARM interest rates reset higher. Foreclosuresaccelerated in the United States in late 2006 and triggered a global financial crisis through 2007 and 2008. During 2007, nearly 1.3 million U.S. housing properties were subject to foreclosure activity, up 79% from 2006.

The mortgage lenders that retained credit risk (the risk of payment default) were the first to be affected, as borrowers became unable or unwilling to make payments. Major banks and other financial institutions around the world have reported losses of approximately US$435 billion as of 17 July 2008. Owing to a form of financial engineering called securitization, many mortgage lenders had passed the rights to the mortgage payments and related credit/default risk to third-party investors via mortgage-backed securities (MBS) and collateralized debt obligations (CDO). Corporate, individual and institutional investors holding MBS or CDO faced significant losses, as the value of the underlying mortgage assets declined. Stock markets in many countries declined significantly.

The widespread dispersion of credit risk and the unclear effect on financial institutions caused reduced lending activity and increased spreads on higher interest rates. Similarly, the ability of corporations to obtain funds through the issuance of commercial paper was affected. This aspect of the crisis is consistent with a credit crunch. The liquidity concerns drove central banks around the world to take action to provide funds to member banks to encourage lending to worthy borrowers and to restore faith in the commercial paper markets. The U.S. government also bailed-out key financial institutions, assuming significant additional financial commitments.

The subprime crisis has adversely affected several inputs in the economy, resulting in downward pressure on economic growth. Fewer and more expensive loans tend to result in decreased business investment and consumer spending. The initial leveling off in the housing market has become a downturn in many areas due to a surplus inventory of homes. The reduction and shift in demand versus supply has resulted in a significant decline in new home construction.

With interest rates on a large number of subprime and other ARM due to adjust upward during the 2008 period, U.S. legislators, the U.S. Treasury Department, and financial institutions are taking action. A systematic program to limit or defer interest rate adjustments was implemented to reduce the effect. In addition, lenders and borrowers facing defaults have been encouraged to cooperate to enable borrowers to stay in their homes. Banks have sought and received over $250 billion in additional funds from investors to offset losses.The risks to the broader economy created by the financial market crisis and housing market downturn were primary factors in several decisions by the U.S. Federal Reserve to cut interest rates and the economic stimulus package passed by Congress and signed by President George W. Bush on 13 February 2008. Both actions are designed to stimulate economic growth and inspire confidence in the financial markets..............

The Mahuli Jaunt

Team : - Me , Bhangi,Sagar ,Pratham,Chetan,Apurva..

Had actually heard the name of this place called "Mahuli " from my sis Divya.. 

i was  highly allured when heard abt the location coz the proximity of this is much higher from ma place...moreover the pix tht i saw in a blog was infact too good to resist ..

Sagar calls me when m into Jungles of Sanjay Gandhi National Park with Rohit and ARRR... 

Destination is Mahuli .. start time is 6:00 AM on Sunday..

ALl these area guys kept giving me calls to trace out the location wher am parading at every juncture on saturday night..

Once National Park, then CHurchgate ,then Marine Drive, Then Sportzbar ,.. then Barista.. 

WHoz says WEEKEND r meant for rest !! I ll not debate if u say that i work more on weekends than weekdays.. :))

Thats an absolute faithful acceptance...

Spending some fruitful time with old collge buddies r something that marks highly memorable moments.. Black accompanied the trinity to

Marine Drive as we left home high @ nite.. from CHurchgate .. I took the 1:40 ki last local to get back to ma place..

had dinner at 3 midnight after a long firing from AK 47 ..

Sagr calls me up at 5 30 .. to no response from me,... I call him back @ 6 when i get down .. but this time he responds scolding me badly 

as I was horribly late.. One could imagine my schedule .. slept at 3 30 .. got up at 5 45.. 

start off teh day running to domb station only to find tht i reach be4 them with Bhangi waiting eagerly for us.. miss off the AN local

after further much delay from Pratham & CHetn..

At last we take on the 6 50 K local ..

V reach AN in 40 mins. after capturing many moments on the cam with stunts from me & Sagr in train.. 

Finally reach the Shahpur Bus Stop after paying 40 bucks to the ric guy.. only to find that we missed the first bus to Mahuli Village.. 

Plan gets horribly wrong when u start listening to IDEA z of almost all.. hahah.. 

We take a ric after much debate to Mahuli VIllage.. Start off the  trek from the Village @ 9 30 ..

WIth spending minutes at streams posing like MODELS... and climbing up those trees .. and branches.. enjoyng the beauty t\of the nature , we kick off  ..

With all those Khopi z and cigies... giving stamina to the much needy ppl .. gazing at the beauty of nature &  the man made beauties... 

the much HYPED much talked abt unknown DUDES and BABES from Bandra... who wer also @ the place..

Its always fun and thrill if u donno the right way to a place whil u trek .. 

@ every point u realize that u r nowher actully..

After rejecting the need for a guide,.. it was cool trekking into unknown jungles..

One thing tht i realised common among many trekking locationz is the existence of a vibrating iron ladder.. @ a point wher its really grievous to trek .

The shidi tht we found after trekking for almost 2 30 hours  @ Mahuli was clearly indicating that it was afraid of even seeing more than a person @ a time..

The gravity defying glorious scenic marvel was enough to dumbstruck all of us..

But believe me .. we wer at a point wher we were penetrated and infiltrated by clouds ... but still the weather over ther was horriby hot !!

The place represents itself as a glory and scenic wonder rather than a hardship trek.

It all of a sudeen started pouring once we reached a height of above 2000 mt above sea level .. 

SOme of the peaks very honestly pretneded as if it had some caretaker..very well maintained .. as if ther was some gardener or someone..

Once tired and drowned , seeing the group of Bandra Babes was enough to allure us all to refresh ourself...

With the likes of Uncles ...its difficult to have the constant and consistent pace @ trek.,..

Lotz of photo sessionz .. lots of jumping .. lots of careful steps was all it was @ .

Once back to the starting point after 7 hours of amaze experience , v had our dejeuner @ Mataji... those hotty & partially cooked chapathi z r really unforgettables ...

For first timers like Chetan , apurva it was an amazing but

truthfully very hectic jaunt. 

Ended the note with taking a bus directly to some unkonwn point tht was close to AN stn.

A nice cool nap @ the AN local was enough to refresh ourselves & get back to home..