Let's enjoy English!Ⅱ

【Subprime loan collapsed.】


《Some brokers lay between the ones who borrow the money and others who lent.》


Then there were plenty of brokers who intermediated between the ones who try to buy the house and others who try to sell.They detected the ones who tried to make use of housing loan,and made an application form for the borrowers,and brought the form to the company which offered the way of housing loan.🏠


When succeed in reaching an agreement,the brokers could win its commissions 仲介料.As for the brokers,as long as its contact was done,they could get its fee,some of them tend to be vicious.👿


Even if any borrowers didn't ability to pay back the money,the wicked brokers arranged a style of the application form,and applied for the companies which offered the housing loan.😥


In this way,a large amount of money for buying a house was lent to the people who will be overdue for paying back at once.😫


《Pushing something risky off onto others.》


As to some companies who lent the…

• 共感0

>> 451 【Subprime loan collapsed.】


《Pushing something risky off onto others.》

The large amount of debt.As a result,the companies which offered the system of the loan ended up having a claim.💰

When expressing the claim in the Japanese,it's 債権.The 債 means a responsibility between a borrower and lender.The 債権 means a right to make borrowers pay back the money.💰


However,if going on having the claim,everyone has risk that the money may not be able to return to the lender.Then a great rule in the American financial world appeared.

『Pushing something risky off onto others.』


They seemed to think like the next.

We must not have something risky,especially in regard to money.We part with it immediately,and push it off onto others.😚


If saying it in a favorable way,they call it risk management,but it's actually how they pass the buck to other people,other companies.☝

Then what do they should? They sold the right of the claim itself.While it's abstract,if having the right,they can get some…

• 共感0

>> 452 【Subprime loan collapsed.】


《Pushing something risky off onto others.》


Even if the claim is abstract,if having the right,you can get the income of its interest regularly,so it's valuable.😍


The claim was mainly sold to investment banks.While the companies of housing loans tried to sell the claim for the investment banks,the investment banks also tried to buy the claim actively.💰

《What is called housing bubble appeared.》


Speaking of the investment bank,the Lehman Brothers which went bankrupt corresponds to it.When selling the claim,the companies of housing loans can get money naturally.💰

The companies took advantage of the money,and lent it to the ones who wanted to make use of the subprime loan.Then,the companies got the claim,and sold it,and got money.Thus,funds started to go in cycles.😚


As a result,bubble of housing spread over the U.S.A.gradually,for selling the claim,and the claim changed into money.It means that…

• 共感0

>> 453 【Subprime loan collapsed.】


《What is called housing bubble appeared.》


In short,when companies which offered the plan of housing loan deal with investment banks,new money was created.The situation was that both of the them could produce the money newly.💰


《What is the investment bank?》


The investment bank which bought the claim is a kind of company which doesn't exist in Japan.It lies between an ordinary bank and a brokerage firm.😃


When saying the company like the Lehman Brothers in English,in general we call it the brokerage firm in Japan.While the way of saying the investment bank is a technical term,we call it a major brokerage firm in a ordinary newspaper or news of program on TV.😃


Speaking of American financial institution,it means commercial bank,brokerage firm,and investment bank,but as for the investment bank,I should say it used to mean precisely,for the financial anxiety of this time in the U.S.A.has changed the situation.☝

• 共感0

>> 454 【Subprime loan collapsed.】


《What is the investment bank?》


Some investment bank ended in failure,others were absorbed by other commercial banks,and another changed into the commercial bank.😱

The commercial bank's business is that collecting deposits from ordinary depositors,and lend the money to some corporations like the Japanese ones.💰


Contrary to it,the investment bank couldn't collect the money.It helped the corporations to issue their bonds in order to gather money,or the investment bank itself issued its bonds or certificates,and gathered the money,and invested in various fields.💰


《The bonds changed into the certificates.》


When the investment bank purchased the credit from the companies which offered the housing loan,after that what the investment should do?


If going on owning the claim,the investment bank was forced to have some risk.Then they put the risk off onto others.They thought the claim was subdivided into small parts,and sold them.💡

• 共感0

>> 455 【Subprime loan collapsed.】


《The claim changed into the certificates.》


They changed the claim into the certificates in order to subdivide into small parts and sell them.💰


The claim is abstract,and they created the bonds by changing the right into a ground of having others return the money.They said the bonds' strong point like the next.😃

“If buying and owning them,the money increases,and returns to you.”or“You can win interest every month.”


They sold the bonds separately.Then American idea of controlling risk worked.


The bonds were originally the subprime loans' claim.If the people who couldn't pay back the money appeared one after another,the credit had some risk in which the money couldn't return to them.The bonds may have been useless like wastepaper.What should they do?


They thought they made the risk disperse.💡


《Jumbling some risk together and making the risk disperse.》


There is a famous phrase in regard to the idea of making the risk disperse…
🇺�

• 共感0

>> 456 【Subprime loan collapsed.】


《Jumbling the risk together and making it disperse.》


The phrase says you mustn't put all the eggs in a single basket.The egg means your assets,and the basket is a place where you invest in.🐣


For instance,if investing all the fortune in only one place like a stock,when the investment fell through,an investor would end up suffering a serious loss.😭


Therefore,if dispersing the fortune,not only investing in the stock,in the real estate,but savings and deposits,the risk of decreasing the fortune becames smaller.They thought like that.💡


When the investment bank issued the bonds they used the idea of dispersing the risk.🇺�


For example,the bond was mixed up the subprime loans which they bought from some companies offering the housing loan,ordinary prime loan,or bonds issued from ordinary companies.They jumbled them together and sold them as goods of package.💡


As long as mixing it up,it's all right.Some detergents for a restroom say,“Don't mix up!…

• 共感0

>> 457 【Subprime loans collapsed.】


《Jumbling the risk together and making it disperse.》


Some detergents for a restroom says,don't mix up,for it's dangerous,but the way of the investment bank adopted was opposite.If jumbling varied things together,even if only one of them goes wrong,the risk decreased totally,they thought like that.💡

Jumbling various things,and it became goods of package.Its risk seemed to increase.Then they wanted to get a certificate that the bonds were safe.😚


《Companies which rated other ones' grade gave official guarantee.》


Then companies which rated other corporations' grade appeared.The appraise was written as triple A,double A,single A,single A minus,double B plus and so on.😃


They asked the companies which rated to ask rate their corporations.To begin with,the companies which rate other ones appeared in the U.S.A.in the 19th century.A transcontinental railroad started to sell its bond so as to gather money.It made the companies which rate others start.🚇

• 共感0

>> 458 【Subprime loans collapsed.】


《Companies which rated other ones' grade gave an official guarantee.》


When main transportation facility was a horse-drawn carriage,there were few people and companies which financed for construction of the railroad then.🚇

As a result,the third party which gave them an official guarantee was needed.It insisted on like the next.😚


“This company's management is sound.If buying its bonds,there is no fear that it becomes worthless like wastepaper.It'll be returned to you with interest.”👍


The company which rated other corporations developed,and it started to rate varied goods.When the investment bank sold the mixed up package goods,it asked to rate.Needless to say,some fees were paid for the rate.☝


The companies which rated other ones judged like the next.


The more mixed up the goods of bonds were,the less its risk became,so the goods was estimated as triple A.


When rating the goods as the triple A,the companies which rated others received …

• 共感0

>> 459 【Subprime loans collapsed.】


《Companies which rated other ones's grade gave them an official guarantee.》


Inspection from the companies which rated the investment bank's grade may have been lax,for as long as giving others the triple A,it could get a large amount of money.😍


If adding the triple A,it would be sold a lot.Who bought it? Banks,financial institutions all over the world,and,what we call hedge funds.👀


《The hedge funds also bought the bonds.》


A hedge of the hedge funds means avoiding something dangerous.The fund is an amount of money that is collected and kept for a particular purpose.Its job is increasing money,avoiding something risky.💰


In a word,keeping the money from the rich,and making use of it safely in order not to decrease the money even if a war or inflation brings about.A word of the hedge originally meant like that.😃


However,the more the way of taking advantage of the money advanced,the more hedge funds which made money appeared one after another. 💰

• 共感0

>> 460 【Subprime loan collapsed.】


《The hedge funds also bought it.》


The goods of package which included the claim of the subprime loan had high interest.Even if the goods had some risk,the hedge funds seemed to want to get it.😍


However,the one who was in charge of making use of those money in the hedge funds tried to decrease its own risk. 😥


Even if buying varied promising financial goods,if their prices went down sharply,or they became useless like wastepaper,the boss of the one who was in charge of making use of the money may call it the account for the loss.“Why did you buy it? How do you take responsibility for it?”😣


However,then if the company which rated other ones gave an estimation of the triple A for the financial goods,the boss wouldn't blame its subordinate so much.💡

The subordinate can defend itself like the next.“The company which rated other ones gave the triple A for the goods,so I found it was safe.


The triple A made them feel relieve so much that they could …

• 共感0

>> 461 【Subprime loans collapsed.】


《The hedge funds also bought it.》


In a word,the triple A made them feel relieve so much that they bought the financial goods a lot.💸


《Besides some insurance companies guaranteed it was safe.》


By the way,a mechanism of defending risk was developed highly in the U.S.A.,as a result,a new structure which tries to decrease the risk is born there.💡


“Even if it's the triple A,it's possible that it may be going to be worthless like a wastepaper.Even if it may not,I'm afraid its value may go down.”Some people thought like that,I'm wondering.🇺�


Therefore the new structure which made insurance companies guarantee the principal 元本 was perfected so as to defend the risk.💰


For example,let's suppose someone bought a financial goods and its price was ＄ a million.Even if the person who bought the financial goods came across the the worst,the insurance companies guarantee its capital.🙌


Needless to say,it has to pay its fee for the insurance companies.😚

• << 464 【Subprime loans collapsed.】 《Moreover,some insurance companies it was safe.》 As long as they pay the fees,their principal was guaranteed,they thought like that,and they felt like buying the financial goods more and more.😍 They changed the credit into some certificates, mixed up with other financial goods.Some other companies which rated ranked the financial goods as the triple A which was very valuable.Besides some insurance companies guaranteed the goods.💰 Varied ways of defending risk had been developed,and it was a good thing,but contrary to it,the risk spread over the world,though it was dispersed.😣 《Its situation became as if it had been what is called 福袋.》 Some other investment banks bought the financial goods.Besides they mixed various credits,corporate bonds,and certificates up as other package of financial goods.💰 They seemed to think like the next.“Once it's mixed up,it's all right.”Furthermore,another investment bank who bought the package of financial goods…

• 共感0

【What I've thought.】


This year is about to come to an end about in about 90 minutes.Almost all of the people will say then“Happy new year!”😃


However,it's just that no more than a day passes then.Is it so happy? To my sorrow,I'm not sure of it.😥


All the Japanese don't think this year is very good,but when being in a new year they,except for me, seem to be happy.Even if facing to something hard or something unpleasant,they've overcome them and they are there,I'm wondering.☺


It doesn't always mean I criticize the ones who enjoy themselves just now.It's just that I can't have a good time like others.Am I jealous of them? I'm not sure of it.💦


In fact,I'm poor,and have few friends,but even if I'm not or I don't,am I happy? I doubt whether I'm happy or not.Is it my fault? I'm not sure.


I can't and don't blame anyone for it, and no one can criticize me for it.Some novelist used to say like that.


“Everything passes in front of me,both something painful and something vacant…”😚

• 共感0

>> 462 【Subprime loans collapsed.】 《The hedge funds also bought it.》 In a… 【Subprime loans collapsed.】


《Moreover,some insurance companies it was safe.》


As long as they pay the fees,their principal was guaranteed,they thought like that,and they felt like buying the financial goods more and more.😍


They changed the credit into some certificates, mixed up with other financial goods.Some other companies which rated ranked the financial goods as the triple A which was very valuable.Besides some insurance companies guaranteed the goods.💰


Varied ways of defending risk had been developed,and it was a good thing,but contrary to it,the risk spread over the world,though it was dispersed.😣

《Its situation became as if it had been what is called 福袋.》


Some other investment banks bought the financial goods.Besides they mixed various credits,corporate bonds,and certificates up as other package of financial goods.💰


They seemed to think like the next.“Once it's mixed up,it's all right.”Furthermore,another investment bank who bought the package of financial goods…

• 共感0

>> 464 【Subprime loans collapsed.】


《Its situation became as if it had been what we call 福袋》


Another investment bank which bought the financial goods of package added other bonds,and the package became a new one.It was repeated so much that lots of package of financial goods ended up being born.As a result,what happened?☝


There were so varied financial goods in each package that no one could recognize the content of the package.It resembles what's called 福袋.😲


Speaking of the 福袋,a first sale in a new year occurred to me.Even if we can't know its content,if it's the 福袋,we're apt to buy it.☺

For example,if buying the 福袋 of which price is ￥50.000,while it's expensive,it has a lot of profitable articles.When being sold,almost all of us have heard like that,and we expect it's valuable and buy it,maybe.😍


It shows us 福袋,so it makes us relieve and we buy it.In short,the 福袋 is equivalent to the triple A.Moreover if the place where the 福袋 is sold is a major department store,we have complete…

• 共感0

>> 465 【Subprime loans collapsed.】


《Its situation became as if it had been what's called 福袋.》


If the 福袋 is sold at a place like a major department store,we have complete trust for the 福袋,for an imitation can't be sold there.If worst come to worst,we'll be able to return it there.The 福袋 is,so to speak,being insured against damage.It's so reliable that everyone is ready to buy it.👌


Thus,the credits of subprime loans were added to other financial goods,being received the triple A as an official guarantee,and the financial goods with seeds of trouble were spread over the world.👿


What is called the bubble for housing loans burst at the beginning of 2007.Plenty of people who couldn't paid off the subprime loan turned up then.😭


《Once the bubble for housing loans burst…》


Once the bubble for the housing loans burst,houses and estates taken away from people who couldn't pay back the loan couldn't be sold.Even if being sold,the price went down sharply.Besides,credit's value dropped,and…

• 共感0

>> 466 【Subprime loans collapsed.】


《Once the bubble for housing loans burst,…》


The credit's value started to drop more and more.IT means that prices' of securities 有価証券 which is based on the credit also fell.

Some securities which included varied things like the 福袋 which is,in particular being based on the subprime loan could have dropped so much,they thought like that“ How far it dropped?” 💸


No one couldn't figure it instantly,for the subprime loan was included so varied things that no one couldn't reckon how much the value dropped at once.😫


Almost all of the people who bought the financial goods, especially the one which contained the subprime loan were worried about it,for they couldn't grasp how much they suffered a loss.😨


《In fact,it turned out to be what's called 闇鍋.》


If the loss was fixed immediately,it would be done quickly.“Oh! That's a complete loss for me indeed…,but I can't help it.”Some people would settle for the second best.😚


Other ones would demand for the

• 共感0

>> 467 【Subprime loans collapsed.】


《In fact,it proved to be what's called 闇鍋》


Others claim for the insurance companies how much they suffered damage,and ask them to compensate the loss.If being in an ordinary situation,it would be all right.🙆


However,the problem was that no one couldn't be sure how much there was loss.It was the most problematic.🙅


Needless to say,when losing money,it's a problem,but the situation in which we couldn't recognize how much we've lost money make is the worse,for we are forced to be seized with uneasy feeling as if we were sinking into a bottomless swamp.😨


When selling,the financial goods of the package was done like the next.At first,the financial goods didn't used to have a market for themselves.😲


A sales clerk visited a customer,and ask it to buy the goods,saying it was the triple A.It's a kind of sales of one-to-one.If being in an ordinary stock market where everyone can buy and sell some stocks at will,the price will be fixed automatically.

• 共感0

>> 468 【Subprime loans collapsed.】


《It proved to be what's called 闇鍋》

When having deals,it was done like the next.💰


A sales clerk said to a customer,“It's very profitable.Will you buy it?

The customer replied,“All right.I'll.”

As a result,the market where being dealt freely had never been born.When a stock price goes down,almost all of the people feel uneasy.“How much can it be sold?”😫


As long as buying and selling freely in the market,even if the price goes down,it'll be priced somehow,but it was dealt with the system of one-to-one.😃

Neither any people nor any company which tried to buy appeared at all,so any price which was dealt wasn't set a bit.If it can't be sold,it's worthless like a wastepaper.😭

In the first place,there were some people who would pay back the money with regard to the subprime loans,value of some bonds being based on the subprime loans would not be zero,but as long as no one bought,it's value is almost zero.😢


They thought of the subprime loan as…

• 共感0

>> 469 【Subprime loan collapsed.】


《It turned out to be what we call 闇鍋.》


They thought of the subprime loan as what is called 福袋,but it proved to be what we call the 闇鍋.Do you know the 闇鍋?😃


It's a kind of a game which is peculiar to Japan.We put varied things both of which are edible or aren't edible in a pot,and simmer all of them and eat in the darkness.😁

While some can pick up a tasty beef,other may choose a shoe.In fact,the financial goods of package was the thing like that.👞


The hedge funds in every place all over the world had plenty of the goods of package so much that a large amount of hidden loss became clear.⚠


Almost all of the investors who entrusted their money to the hedge funds requested that the hedge funds repay the money,or that the hedge funds cancel the investment.😣


Some of the hedge funds dealt with the complaint like the next.


“I'm sorry,but we can't fix how much money we've lost.We are going to accept your cancellation after the amount of loss is fixed.”

• 共感0

>> 470 【Subprime loans collapsed.】


《It proved to be what's called 闇鍋.》


Any money which they deposited didn't return to the them.It aroused their anxiety.It's what's called the financial unrest which broke out after summer in 2007.☝


《Reliance was lost.》


As a result,what had happened? When economy functions,the relance is the most important and lies in the most basic part of the economy.😃


As to the financial goods of package in question, even if they lost,the goods wouldn't become worthless like wastepaper as long as they were set the price clearly.👀


However,no one could buy nor sell the goods,in fact,they ended up being things like a scrap of paper.Plenty of banks and stock brokerage firms used to buy the goods which no one could set the price all over the world.💸


It means that if someone asked an insurance company,“Compensate me for damages on the wastepaper!”,the insurance company had to do whole compensation.The insurance company was forced to suffer from serious damage.💸

• 共感0

>> 471 【Subprime loans collapsed.】


《Its unrest was lost.》


In the situation,no one could recognize how much financial institutions all over the world bought the financial goods in question,or how much the financial institutions lost.As a result,the people who were engaged in the financial business had suspicion each other.The suspicion produced fear.疑心暗鬼👹

“That bank may have suffered a loss in fact.”Almost all of the people tended to think like that almost all of the financial institutions.😣


As a result,they were apt to think,“Let's stop dealing with the bank!”😫


《A call market paralyzed.》


Each bank lends and borrows some money every day both in Europe,the U.S.A.and Japan.The banks lend the money to such the varied places that they have little cash at hand actually.😚


For example,if being asked to lend some money from a major company,the banks borrow the money from other ones for the time being.💰

By the way,what's the call market? If the one calls to other,“Hey,lend me money…”

• 共感0

>> 472 【Subprime loans collapsed.】


《Financial unrest paralyzed a call market.》


If the one bank calls to other one,“Hey! Lend me money.”the other one accepts it without hesitating a bit,“All right.”Roughly speaking,it's the call market.Each financial institution like banks have confidence each other,so they easily lend and borrow money without any security.😲


However,the financial rest spread over the Europe at first.If some banks call to other ones to lend money,the others were liable to refuse,for the others thought like the next.😫


“That bank may have suffered from loss a lot owing to the subprime loan,so it may run short of money.What should we do if we lend it the money,instantly they can't return the money to us?”😱


They felt so uneasy that they started to say that they wouldn't lend any money in the least.Or if others asked them to lend some money at any cost,they said its interest rates are high.😨


When lending and borrowing money among the banks,the reliance is basic,but…💦

• 共感0

>> 473 【Subprime loans collapsed.】


《Financial unrest paralyzed a call market.》


In short,losing the reliance made the interest rates jump.💸


《A stream which is equivalent to the blood in the economy stopped.》


In consequence,lending and borrowing money among the banks stopped.If comparing the stream of the money to a human's body,it's the blood.If the stream of the blood stops,it'll be an emergency!🆘


What the bank can't lend any money means the next thing.If some firms which dealt with the bank asked to lend some money,the bank was forced to reject.A credit crunch 貸し渋り happened then.🐶


Some people were apt to save money,for they thought they had to prepare for something bad,for having money made them relieve.The movements like the credit crunch,or without using and having money spread over among them.🐱


The hedge funds were deposited some money from plenty of people,and managed the money.All of the people came and demanded to return the money,the hedge funds had to pay,so …🐻

• 共感0

>> 474 【Subprime loans collapsed.】


《The stream which is equivalent to the blood in the economy stopped.》


The hedge funds thought.“It can't be helped.We're going to collect all the money from where we've invested in.”😚


Then the hedge funds in Europe owned a lot of Japanese stocks,so they tried to sell them and have money at hand.💰

《The stock market plunged.》


As a result,stock prices took a nosedive not only in Japanese stock market but in New York ones.💸


There used to be a sharp fall in Japanese stock at the summer in 2007,for the hedge funds or investment banks must have own a large amount of money for the people who came and demanded to return the money,so they sold the stocks,and got the money,so the Japanese market prices slumped.😱


【The price of crude oil rose sharply.】


《Money for speculating disappeared from the stock market.》


Once the stock market slumped,money invested in the stock market lose its place to go,for the stock market became improper as the investment.😱

• 共感0

>> 475 【The price of crude oil rose sharply.】



《Money for speculating disappeared from the stock market.》


Money for speculating is apt to gain an immediate profit,so if not being able to do very much,the money for speculating tries to look for other chance to make money.This movement made the stock prices go down even lower.⤵


However,then financial unrest with worldwide scale didn't broke out,so there used to be a lot of money all over the world.🙆


The large amount of money was used for stocks,but the stocks market couldn't make money very much,so they directed their attention for petroleum,the forward market of crude oil.👀


《Prices in the forward market of crude oil jumped.》


The money for speculating into the stock market disappeared,but it flowed into the forward market of the crude oil in New York.💰


By the way,what is bought and sold in the forward market? It's a thing in the future,in short,the right of buying the petroleum in the future.They buy and sell the right.💡

• 共感0

>> 476 《Prices in the forward market of crude oil jumped.》


It's just that selling and buying the right,so the ones who don't want the petroleum can buy the right.😃


Contrary to it,in a spot trading 現物取り引き of the petroleum,the ones who really want the petroleum buy,but in the forward market,the right of selling and buying is dealt,so even the ones who don't need the petroleum can sell and buy the right.Everyone can sell and buy it as if it were in the stock market.💰


The money for speculating flowed into the forward market of the crude oil,so the right of selling and buying the petroleum was dealt with as if it had been stocks,as a result,the price of the crude oil rose more and more.⤴


They call the petroleum in the forward market of New York WTI,to be exact,West Texas intermediate,it's a high quality one dug up in the western area of Texas State.It has so little sulphur 硫黄 that it's easy to refine.👍


It's the limited goods of the crude oil dug up in the western Texas which is dealt,

• 共感0

>> 477 《Prices in the forward market of the crude oil jumped.》

However,the limited goods play a role as the standard price of the crude oil in the world,so therefore the more the price of the WTI goes up,the more the price of the crude oil which Japan imports from the Middle East rises.😱


《The situation in the Middle East ended up adding fuel to the flame.》


The situation in the Middle East spurred the money for the crude oil to speculate,for the Bush Government made a speech October in 2007,“If wanting to avoid bringing about the World War Ⅲ,Iran should stop developing the nuclear energy.”🇺�


Iran had been criticized from Europe and the U.S.A.because it went ahead with the development of the atomic energy.Bush not only criticized,but use the phrase of the World War Ⅲ,so others thought,“Will he attack Iran?”🇺�


“If being attacked from a foreign country,we'll blockhead the Strait of Hormuz.”Iran used to declare like that.The Strait lies just south to Iran.It means that …

• 共感0

>> 478 【The price of the crude oil became a sudden rise.】


《The situation in the Middle East ended up adding fuel to the flame.》


The petroleum from Saudi Arabia,or the U.A.E.reaches all over the world through the Hormuz Strait.If the Hormuz Strait is blockhead,no one can get the petroleum in the world.😱


It's an emergency,everyone thought the price of the petroleum would rise.They thought they tried to buy up the petroleum before its price goes up,so the price of the crude oil also jumped.⤴

As a result,not only the petroleum industry in the world,but the one in the Texas State made a large profit on the petroleum.Bush President ran for the presidency as a representative from the petroleum industry,so he made the industry which supported him make a large profit on the petroleum.💰


《What is called the bioathanol was a kind of a big fad.》


If the price of the crude oil goes up,the one of gasoline does.All of us are in such a trouble that we seek for other energy which replaces it…

• << 481 【The price of the crude oil became a sudden rise.】 《The price of grain also jumped.》 In short,the President Bush in the Republican Party tried to make a large amount of profit direct toward the people who supported the President.💰 When the price of the corn went up, other farmers who grew wheat,or soybean thought like the next.“Instead of growing them,if we grow the corn,we'll make more money.”😍 As a result,the prices of both the wheat,and soybean rose.Once being expected that the prices of the grains rose,international money for speculating flowed into the forward market of grains.In consequence the prices of all the food also rose.😫 The corns were used for fuel of automobiles so much that the price of the food also went up.Dissatisfaction of learning to unable to buy any bread exploded in developing countries.⚠ Lots of riots in which people demanded for food frequently broke out each place in the world summer in 2008.If tracing its original causes,it's the collapse of…

• 共感0

>> 479 【The price of the crude oil jumped.】

《The boom of the athanol happened.》


Then they paid attention to the bioathanol.The athanol is ethyl alcohol.When using it with gasoline,it will be served as the gasoline.In Brazil,a car which runs with only the athanol is being developed.🚗


What is the athanol made from? It's made from corn in the North America,and sugarcane in the South America,By the way,the corn has been adopted as food for people or feed for domestic animals.🌽


However,they used the corn for the athanol as fuel.Instead of eating,burnin the corn.Instead of the food,if using it as the fuel,the price of the corn for food or for feed for the domestic animals jump.🌽


If the price of the feed for the domestic animals goes up,the price of both beef,pork,and chicken do.The boom of the athanol made the farmers who grew the corn make an unprecedented profile in the U.S.A.in 2007.🌽


Lots of the farmers who grow the corn live in the sphere of influence of the Republican Party.🌽

• 共感0

>> 479 【The price of the crude oil became a sudden rise.】 《The situation in… 【The price of the crude oil became a sudden rise.】


《The price of grain also jumped.》


In short,the President Bush in the Republican Party tried to make a large amount of profit direct toward the people who supported the President.💰


When the price of the corn went up, other farmers who grew wheat,or soybean thought like the next.“Instead of growing them,if we grow the corn,we'll make more money.”😍

As a result,the prices of both the wheat,and soybean rose.Once being expected that the prices of the grains rose,international money for speculating flowed into the forward market of grains.In consequence the prices of all the food also rose.😫


The corns were used for fuel of automobiles so much that the price of the food also went up.Dissatisfaction of learning to unable to buy any bread exploded in developing countries.⚠


Lots of riots in which people demanded for food frequently broke out each place in the world summer in 2008.If tracing its original causes,it's the collapse of…

• 共感0

>> 481 【The price of the crude oil jumped.】


《Bubbles on the crude oil and grains burst.》


Going up the price of the food,and the outbreak of the riots…if tracing their cause,it's the collapse of the subprime loan.😥


Financial anxiety made stock prices slump,the money for speculating flowed into the forward market of crude oil and grains,as a result,both of the prices of the crude oil and grains went up internationally.💸

Financial crisis became serious before long.A stream of the money stopped,the hedge funds and some investors had to own their money beside them,so they started withdrawing from both the forward markets of the crude oil and grains.💨


If the financial crisis deteriorated the economy,demands for petroleum,from the one for gasoline were expected to decrease.⤵


When everyone expected the price of the crude oil went down,beforehand the movement for withdrawing the money from the crude oil accelerated,so the price of the crude oil went down still.↘

When its price came down…

• 共感0

>> 482 【The price of the crude oil jumped.】

《Bubbles on the crude oil and grains burst.》


As the price of the crude oil came down,nobody was forced to increase the production of the athanol any more.Demand for corn also decreased,prices of grains came down.🌽


The price of the crude oil went up so high that all the commodities around us rose in the first half of 2008,but the price of the crude oil went up once,and it came down,so various goods fell.⬇


When the price on the crude oil of a forward price in New York is decided,the price of the crude oil which Japan buy from the Middle East is also fixed.😃


They dig the crude oil at the price and load it on a tanker,and carried it to Japan.It takes a little under two months from the time when its price is fixed and it reaches Japan.🚢


Therefore if watching a movement on the crude oil in the forward market,we can expect the price on petroleum in Japan two months from now.☝


As to the price on gasoline in Japan,even if we lay in it at a…

• 共感0

>> 483 【The price on the crude oil jumped.】

《Bubbles on both of the crude oil and grains burst.》


As for the price on gasoline,even if we have its stock which was laid in at low price,if the petroleum of which price is high reaches Japan,instantly even its retail price shoots up.⬆


Contrary to it,when the crude oil of which price is low reaches Japan,even if we have some stocks which was laid with a higher price,we have to sell it with the low price.There is the rule like that.↘


It means that we expect the next thing.The worse the economic becomes,the lower both on the prices of gasoline,petroleum,and expense for lightning and fuel also become.⬇

The prices of varied foods have risen so far,but they'll come down.Then something bad doesn't always happen.😚


By the way,I've expressed,being based on a book,『45分でわかる！14歳からの世界金融危機』サブプライムからオバマ大統領就任まで written by 池上彰 in February of 2007,so its situation was different from the one the present one.😳


It says we can grasp it in 45 minutes,but …💧

• 共感0

【ActⅡ started in the financial crisis.】


《Collapse of the Leahman Brothers.》

The financial crisis all over the world which began from the collapse of the subprime loan not only caused a sudden rise on the price of the crude oil but riots demanding for food reached the second stage.It was a failure of the Leahman Brothers in September of 2008.😨


Buying some financial goods of package,and borrowing some money,being held the commodities as mortgage and purchasing the commodities of the package,and being held them as the mortgage…💰

If adopting the way,we can increase its funds several times,and can manage them.When its profit continues to go on rising,we can win a large amount of the profit with a little amount of the money.💰


We call the way which makes a leverage work.If taking advantage of a principle of the leverage,we can move a heavy thing with a small power.Its way in which we can move a large amount of funds with a small amount of the one.It'll be all right if it's … 😲

• 共感0

>> 485 【ActⅡ started in the financial crisis.】


《Collapse of the Leahman Brothers.》


It's all right if it's in an ordinary situation,but once the financial anxiety spreads over,all the things go to an opposite direction.😚


For example,let's suppose that you managed \10 million.Then its capital was \a million.If you get its 10% interest,its profit will be \a million.Your capital became twice.😍


However,if the financial goods of the package of which price is \10 million isn't sold at all and its price changes into \2 million,your lose is \8 million.💸


While your capital is \a million,your loss is \8 million,even if you lose your capital,\a million,your debt is still left.Its amount of money is \7 million.😭


This is a place where we fear in relation to the leverage.The Leahman Brothers suffered a serious damage with the leverage,but if it was in an ordinary situation,other financial institutions may have held out helping hands,or merged with the Leahman Brothers as a relief measure,but…😫

• 共感0

>> 486 【ActⅡ started in the financial stage.】


《Collapse of the Leahman Brothers.》

However,suspicion produced fear so badly among the financial institutions that they tried to keep cash at hand.In consequence,the Leahman Brothers was isolated from other financial institutions and no one helped.😭

The Leahman Brothers was forced to drop the curtain for its history which lasted for 150 years.💨

《The Republican Party never meddle in private economic activities.》


Unfortunately,the Bush Administration was in power.It was the republican party,so it hates that politics or administration interfere with private economic activities traditionally,for if doing that,it's socialism,the republican party seemed to think like that.😏


Even if the Leahman Brothers was a major investment bank,if facing to financial collapse,it has to take responsibility for it.The Bush Government thought like that.In short,it left the investment bank stranded in the financial failure.😜


However,no one expected it then …😨

• 共感0

>> 487 【Act Ⅱ started in the financial crisis.】


《The Republican Party never meddle in economic private activities.》


“If a major investment bank like the Leahman Brothers go bankrupt,we'll greatly be forced to be influenced with it,so even the Republican Party will help at the last moment.”everyone thought like that in the economic world then.☝


However,it collapsed.The collapse caused the panic in the financial world,and made the curtain ActⅡ of the financial crisis rise.⚠

“Even if the Leahman Brothers were in danger,none of the financial institution is safe in the world.Even if we have dealing with major companies,we can't lend them any more money.”😣


“Plenty of people may rush to our company in order to return to their money.We have to collect the money which we lend others as early as possible.”All the financial institutions took action like that in the world.😣


《The hedge funds gave up investing in anything.》


The hedge funds also had the same situation.They suspended all…

• 共感0

>> 488 【ActⅡ started in the financial crisis.】


《The Hedge Funds stopped investing in others.》


The Hedge Funds once suspended the investment,and tried to get cash itself.

They borrowed some money from places which have low interest and lent others the money with high interest.Where has had been the lowest interest in the world for these years lately? It's Japan.🇯�


Japanese central bank has been lowering the interest since the depression in the 1990s,so zero interest rate has longed for a long time.😥


As a result,if we keep some money in the bank,we'll have little interest.When leaving some money in the bank,we the Japanese don't get any collateral 見返り money.😫


However,if turning our eyes toward the world,the situation changes completely,for there are a lot of countries which have high interest.😚


So not only the Hedge Funds but investment banks and financial institutions in the world borrowed money in Japan,and changed yen into other currency such as dollar,euro, Australian dollar…

• 共感0

>> 489 【ActⅡ started in the financial crisis.】


《The Hedge Funds stopped investing.》

Almost all of the financial institutions in the world borrowed money in Japan,and changed the yen into other currencies like dollar,euro,Australian dollar,New Zealand dollar,and Canadian dollar,and use the money for investment.Then what happened?☝


Changing Japanese yen into dollar or euro means that they didn't need the yen.Instead of it,they bought dollar or euro.In short,popularity of the yen fell.The yen became weak 円安💰


The yen has been weak for these years. Selling yen,and buying dollar,or selling yen and buying euro.Those things continued,and the yen became weak.In fact,Japanese yen joined in the bubble in the world.💰


If the yen weak continues,Japanese automobile companies will be pleased,for when selling in foreign countries,the prices become low.Therefore all Japanese export industry like the automobile companies made a large profit.😍


The weak yen benefited Japanese economy,so…

• 共感0

>> 490 【ActⅡ started in the financial crisis.】


《The bubble burst and the yen became strong.》


Japanese government welcomed to the weak yen,but as the bubble burst,not only Hedge Funds but investment banks stopped investing.🙅

They gave up all the investment then,and sold all the stocks,but stopping the investment means paying back the money which was used for the investment.😃


In short,they had to repay some Japanese banks the money which they borrowed.Without changing dollar and euro into yen,they can't pay back.💰


Movements that changing some currencies into yen happened so suddenly that the yen became strong all at once from autumn to winter in 2008.⤴


The yen became strong and almost all of the people tried not to buy automobiles in foreign countries,for the prices went up there.🚗

Even if Japanese automobiles were sold,when changing its profit into the yen,the profit decreases.In consequence,Japanese depression got still worse.🚗

• 共感0

>> 491 【ActⅡ started in the financial crisis.】


《Australia and Iceland were thrown into confusion.》


Bubble happened all over the world because Japanese money appeared everywhere in the world,but the bubble burst,Japanese money returned from throughout the world.💰


When being time of the bubble,for example in Australia,some people borrowed Japanese yen for their home loan.When some Australians bought their houses,and borrowed money for the home loan.🏠


Then banks proposed the Australians like the next.“The interest rate is so high in Australia that I suggest you shouldn't borrow Australian dollar for your home loan..Instead,will you borrow Japanese yen? for its interest is low.”💰


As for the borrowers,even if they had little knowledge on the Japanese yen,as being said its interest was low,they bought the money with the yen.💰


However,the yen suddenly became strong.As a result,as to the Australians who borrowed money in the yen,their amount of the money which they paid back increased💸

• 共感0

>> 492 【ActⅡ started in the financial crisis.】


《No one had tried to buy even local bonds.》


If being damaged with a financial commodity of package combined with a bond,no one will try to buy the goods to which is similar,except for national bonds,for they have national trust,so lots of people buy them.😃


However,no one ended up trying to buy State bond even in the U.S.A. A news was reported like the next.The governor of California State in the U.S.A. who used to be a famous actor,begged the federal government that California State seemed to be financed ＄70 billion.💸


The state bond supplies funds managing the state's administration like salaries for teachers in school,but there were't any prospect of selling the state bond owing to expansion of the financial anxiety.😣
　　　　　　　　　
To make matters worse,it's not always limited to only the California State.The New Mexican one put off sales for its state bond,Massachusetts issued the local bonds,but some of them were unsold.😫

• 共感0

>> 493 【ActⅡ started in the financial crisis.】


《No one had tried to buy even local bonds.》

A self-government of small-scale went bankrupt thanks to the expansion of financial anxiety.😭

The California State's issue for the local bond was in sight,and ＄50 billion was provided for the State at once,so the California State could take a rest.😩


The financial anxiety became so serious that even the California State cried for a help.Without collecting any money,the more the State government gives up public enterprises,the less local business becomes.Its economy will badly be affected with it.💸


【No one had tried to buy any automobile in the U.S.A.】

《No one can borrow any money for an automobile loan.》


When banks started a credit crunch 貸し渋り,what happened? Sales for automobile dropped sharply in the U.S.A. Few people buy the automobile in cash.I'm sure almost all of the people make use of the automobile loan.🚗


However,the financial institutions which treat the automobile loan started…

• 共感0

>> 494 【No one had tried to buy any automobile in the U.S.A.any more.】


《No one could borrow any money for automobile loan a bit.》


However,the financial institutions which dealt with the automobile loan started a credit crunch 貸し渋り.The financial institutions which want cash at hand as much as possible learned not to accept to borrow money for the automobile loan.🚗


The financial institutions thought there was a fear of unable to pay back the money for the loan.They were afraid that they would have bad loans.😥


If being unable to take advantage of the automobile loan,the customers were forced to think,“It can't be helped.We have to put up with this old car.We'll wait for the day when we can borrow money.As a result,the Sales for automobile decreased sharply.💸


《Both the Honda and Toyota were heavily damaged.》


As for the sales for Japanese automobiles,both Toyota,Nissan,and Honda have subsidiary companies,and in fact the subsidiary ones have sold the cars.🚗

However there are lots …🇺�

• << 497 【No one had tried to buy any automobile any more in the U.S.A.】 《Both Toyota and Honda were heavily damaged.》 There are lots of stores which sell automobiles,and the stores are independent from the companies which produce the automobiles,so not only American automobiles,but Japanese ones are being sold in the stores.🚗 However,the stores closed down one after another because the sales of automobiles dropped sharply.As the stores which sold the automobiles disappeared,the stores who sold Japanese cars like the ones of Honda or Toyota also decreased.🚗 While the people who postponed buying the automobile on account of being unable to making use of automobile loan,the stores which sold the automobiles decreased gradually.As a result,Japanese motor industry also suffered heavy damage.😭 《The car industry has a wide range.》 There is other fact which prevented the automobiles from being sold,for the car industry has spread over allied industry,for example,…

• 共感0

【What I've thought.】


I've wanted to give up drinking,but to my sorrow,I find it impossible,for I'm forced to overtime work almost every day,moreover I want to study English.I've led an ascetic life 禁欲生活😚


However,it doesn't mean that someone compels me to do,it's just my choice,but I'm forced to feel a stress,so I feel like doing something happy,especially on a payday.😍


What is something happy? It depends on.So many men,so many minds 十人十色,but as for myself…💦

Whenever being on a payday,I go for a drink to a street illuminated bewitchingly by neon lights.What have I been looking for there?😩


I'm so stupid and weak-minded that I go there.No one loves me,nor do I.Instead of love,it's just the money they love.Instead of the moeny,it's just what I've wanted… 💧


I'm afraid I have something poisonous in my heart.I've wanted to get rid of it,but I can't😫


However,luckily it something poisonous will not make myself commit a crime,but I hate it.😚

• 共感0

>> 495 【No one had tried to buy any automobile in the U.S.A.any more.】 《No … 【No one had tried to buy any automobile any more in the U.S.A.】


《Both Toyota and Honda were heavily damaged.》


There are lots of stores which sell automobiles,and the stores are independent from the companies which produce the automobiles,so not only American automobiles,but Japanese ones are being sold in the stores.🚗


However,the stores closed down one after another because the sales of automobiles dropped sharply.As the stores which sold the automobiles disappeared,the stores who sold Japanese cars like the ones of Honda or Toyota also decreased.🚗


While the people who postponed buying the automobile on account of being unable to making use of automobile loan,the stores which sold the automobiles decreased gradually.As a result,Japanese motor industry also suffered heavy damage.😭


《The car industry has a wide range.》

There is other fact which prevented the automobiles from being sold,for the car industry has spread over allied industry,for example,…

• 共感0

>> 497 【No one had tried to buy any automobile any more in the U.S.A.】


《The car industry has lots of associated companies.》


The car industry has plenty of associated companies.Factories belonged to an automobile companies are the ones in which parts of automobile are assembled.🚗


Associated companies of automobiles produced parts of automobiles,and the factories belonged to the automobile companies put together those parts.🚗


As a result,if sales of the automobile itself drops,plenty of affiliated companies will be forced to be influenced.If the automobile companies are in difficulty,its damage will spread over the whole car industry.⚠


Financial anxiety spread over among the people and the credit crunch occurred,car industry was heavily damaged all over the world.🆘

【Price of crude oil fell,and bubble burst in the Middle East.】


《Price of the crude oil came down.》

As speculating funds ran away from the forward market of the crude oil,the price of the crude oil slumped.💸

• << 500 【Price of crude oil fell,and bubble burst in the Middle East.】 《The price of crude oil came down.》 As for the price of the crude oil,it used to be over ＄ 140 per a barrel at one time in summer of 2008,but it became between ＄ 30 and 39 per a barrel at the end of 2008.⤵ When its price was between ＄ 40 and 49 per a barrel,it's said that the price of the crude oil which originally offsets its demand was about ＄ 70,and speculation made its original value exceed,but it means that there used to be more speculation fthe crude oil.☝ Being based on an expectation that price of petroleum falls because of economic recession spread over worldwide,so the price of the crude oil has partly come down.⤵ It's clear that great majors which use the petroleum like China and India expand the consumption for the petroleum,so the price of the crude oil will rise before long,but as both financial anxiety and economic recession continue for a while,the price of the crude oil seems to remain low.

• 共感0

【What I've thought.】


This thread of mine approches to an end,to my joy,the people who have visited here increased,so a person recommends I build a thred for readers' impression thread,for whenever visits here wants to talk with me,she said.Is it possible?💦


I doubt it,for they don't recognize at all what I'm.Some of them don't understand English at all,I'm sure,but it doesn't always mean I try to insult them.🙏

It's just that the less they can recognize,the more they feel like understand it,but if once they can understand what I've said,they will lose their interests,I'm sure.😳

What I've expressed isn't anything new in the least.Someone had already expressed what i did.In addition,I'm not good at associating with others.💦


Needless to say,I'm grateful the ones who tried to read my thread.Whoever recognize what I'm will be disappointed at me,for I'm just worthless,but it doesn't matter.😒


I can't share my thought with others,but even if I can't,I'll do what I've wanted.😒

• 共感0

>> 498 【No one had tried to buy any automobile any more in the U.S.A.】 《The… 【Price of crude oil fell,and bubble burst in the Middle East.】


《The price of crude oil came down.》

As for the price of the crude oil,it used to be over ＄ 140 per a barrel at one time in summer of 2008,but it became between ＄ 30 and 39 per a barrel at the end of 2008.⤵

When its price was between ＄ 40 and 49 per a barrel,it's said that the price of the crude oil which originally offsets its demand was about ＄ 70,and speculation made its original value exceed,but it means that there used to be more speculation fthe crude oil.☝


Being based on an expectation that price of petroleum falls because of economic recession spread over worldwide,so the price of the crude oil has partly come down.⤵


It's clear that great majors which use the petroleum like China and India expand the consumption for the petroleum,so the price of the crude oil will rise before long,but as both financial anxiety and economic recession continue for a while,the price of the crude oil seems to remain low.

• 共感0