Roubini Sez “Panic May Force Market Shutdown”

Nouriel Roubini is a NY Univ Economics Professor and former senior adviser to the U.S. Treasury Department. These comments are from the Oct 24 article in Bloomberg.

Roubini predicted in July 2006 that the U.S. would enter an economic recession. In February this year, he forecast a “catastrophic” financial meltdown that central bankers would fail to prevent, leading to the bankruptcy of large banks exposed to mortgages and a “sharp drop” in equities.

At a conference in London on Friday he said, “We’ve reached a situation of sheer panic. There will be massive dumping of assets” and “hundreds of hedge funds are going to go bust.’

“Systemic risk has become bigger and bigger,” Roubini said at the Hedge 2008 conference. “We’re seeing the beginning of a run on a big chunk of the hedge funds,” and “don’t be surprised if policy makers need to close down markets for a week or two in coming days,” he said.

“This is the worst financial crisis in the U.S., Europe and now emerging markets that we’ve seen in a long time,” Roubini said. “Things will get much worse before they get better. I fear the worst is ahead of us.
[more]

Advertisements

One Response

  1. […] Roubini Sez “Panic May Force Market Shutdown”  **new** – Quit DOW Now! Come Back On Jan 6, 2025  – Dollar Death Warning  – Big Quake B4 […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: