According to German media reports, the German Financial Supervisory Authority predicts that the subprime mortgage crisis may cause various financial institutions around the world to lose up to US$600 billion. The media quoted a 16-page internal report from the German Federal Bank saying that in the worst-case scenario, the financial turmoil caused by the U.S. subprime mortgage crisis would cause losses of US$600 billion to the global financial industry. situation, we believe the more likely loss figure is $430 billion."

The report said that the current known losses in the banking industry are US$295 billion, of which German banks account for 10%. However, if the credit crisis extends from the banking industry to hedge funds, insurance companies, pension funds and even non-financial companies, Losses could expand to $600 billion.

Prior to this, in addition to the second largest subprime mortgage loan company in the United States, New Century Financial Corporation, filed for bankruptcy, which was a landmark event for the full outbreak of the U.S. subprime debt crisis, Citigroup, Merrill Lynch, UBS, etc. Many giant companies announced huge losses in their 2007 quarterly and annual reports.

On July 18, 2007, Bear Stearns in the United States announced to its two troubled hedge fund investors that the value of AAA high-credit-rated securities derived from subprime mortgage loans had "dropped." "Unprecedented decline". After asset recovery, the income of investors in the above two funds will be very low, with almost "valueless surplus".

On August 7, 2007, the American real estate investment trust American Home Mortgage Investment Corp. (AHM) filed for bankruptcy after disbanding almost all employees and closing most of its business units. The bankruptcy filing spelled the end for what was once the nation's 10th-largest mortgage lender.

On August 15, 2007, Nationwide Financial Corporation, the largest real estate mortgage loan company in the United States, issued a report stating that if the company's financial pressure further accumulates, or the market loses confidence in the company's operating capabilities, the company may be forced to liquidate its assets or even go bankrupt. . When the New York Stock Exchange closed on the 15th, Nationwide Financial's stock price closed at $21.29, a decrease of $3.17 per share.

On January 15, 2008, Citigroup, the world's largest commercial bank, announced a loss of US$9.83 billion, or US$1.99 per share, in the fourth quarter, compared with a net income of US$5.13 billion, or US$1.99 per share, in the same period last year. Benefit $1.03. Troubled by problems in the subprime mortgage market, the company incurred pre-tax write-downs and credit costs of approximately $18.1 billion in the fourth quarter.

On January 17, 2008, Merrill Lynch suffered a loss of US$9.83 billion in the fourth quarter, a loss of US$12.01 per share.

On January 30, 2008, UBS announced that it was expected to suffer a loss of approximately US$11.4 billion in the fourth quarter of last year, dragged down by write-downs of subprime mortgage assets of up to US$14 billion.

Written by reporter Wu Congbin

-Influence? Case

The subprime mortgage crisis hurts Chinese suppliers

Zhejiang boss halfway around the world Debt collection

The negative effects of the U.S. subprime mortgage crisis are expanding to the consumer market, and retailers are directly transmitting the pressure to Chinese export companies. The impact of the subprime mortgage crisis on Chinese companies, including Zhejiang companies, that export products to the United States is emerging. According to customs statistics, the growth rate of my country's exports to the United States slowed down quarter by quarter in 2007. The growth rate was 20.4% in the first quarter, dropped to 15.6% in the second quarter, and further dropped to 12.4% in the third quarter.

I just want to get the money back without compensation

"I don't expect any interest or compensation. Just give me the 320,000 US dollars in payment you owe." Lin Guojun said helplessly He told the Market Herald reporter that the payments for these goods, with a total price of US$320,000, were originally supposed to be settled in August, but the other party has not yet paid off the money.

Lin Guojun is the owner of an jewelry manufacturing company in Jinhua. He told the Herald reporter that he met Wang Wei, who was doing wholesale business in the United States, at the Yiwu Small Commodity Expo in 2005. After Wang Wei returned to the United States, Lin Guojun began to deliver goods to Wang without signing a formal contract, and verbally agreed to make payment within 10 days to one month after delivery.

“In the beginning, we could always remit money in time after delivery.” Lin Guojun said that after several cooperations, he felt that the other party’s reputation was very good, so he did not want to sign a formal contract, let alone use tools such as letters of credit. , only by fax order.

But starting from Christmas 2006, the speed of remittances slowed down significantly.

"After April this year, there has been no remittance. When I called to ask about payment, he always said that the U.S. economy was not good and things could not be sold, and that payment could not be made until the products were sold out." Lin Guojun said, last month I went to the United States and traveled half way around the world to ask for money, but the other party said that the retail market was sluggish and the money could not be collected, so I had to return empty-handed.

It is not easy to raise prices

Although Huang Youji, who is engaged in textile processing, does not need to go to the United States to collect debts like Lin Guojun, the subprime mortgage crisis has also seriously affected his Business.

“We want to raise prices, but we are afraid of losing orders.” Huang Youji’s idea reflects the aspirations of many foreign trade companies. He told the Herald reporter that rising raw material prices and rising wages have caused significant increases in corporate costs. Coupled with the impact of export tax rebates and RMB appreciation, corporate profit margins are constantly being squeezed, and it is imminent to raise product prices. However, due to the impact of the subprime mortgage crisis, American customers are more price-sensitive and are unwilling to increase prices in the face of rising manufacturing costs in China. Once a factory requests a price increase, buyers will conduct a new round of inquiries from similar suppliers and select a factory with a lower price after full negotiation. The factory that raises the price will face the risk of losing orders. Zhejiang Market Herald

-Influence? China A shares

Shanghai and Shenzhen stock markets

Frequent plummets due to subprime mortgages

China after being cut in half The stock market, under the influence of the turmoil of the subprime mortgage crisis, has become as timid as a snake. Not only have market holding confidence and valuation systems been hit one after another, but even slight fluctuations in the U.S. stock market will trigger significant shocks in the Chinese stock market. On Monday this week, the Shanghai and Shenzhen stock markets were affected by the sharp drop in US stocks last Friday, and both jumped short and opened lower, plummeting 196 points and 985 points throughout the day.

The Shanghai stock market plunged nearly 200 points on Monday

Last weekend, data released by the U.S. Department of Labor showed that consumer confidence at the University of Michigan in mid-April was dragged down by high food and fuel prices. The index fell to 63.2, the lowest point in 26 years, which means that the U.S. economy is still deteriorating under the influence of the subprime crisis. The Dow Jones Industrial Average fell 256.56 points, or 2.04%, the largest drop in more than three weeks. Affected by this, the Shanghai and Shenzhen stock markets, despite being stimulated by the People's Daily's "The stock market should be carefully protected and cherished" and the GEM board is not expected to be launched in the first half of the year, both still jumped short and opened lower. At one point, they fell 206 points. , 1019 points, and closed at 3296.67 points and 12343.6 points, down 196.22 points and 984.5 points, or as much as 5.62% and 7.39%. The Hong Kong stock market suffered relatively minor injuries, with the Hang Seng Index falling below 24,000 points and closing at 23,811.2 points, a sharp drop of 856.6 points.

U.S. stocks are sick and Shanghai and Shenzhen take medicine frequently

In fact, it is not difficult for careful investors to find that the connection between China's stock market and the international economy has become increasingly close. On October 19 last year, affected by the subprime mortgage syndrome, the US Dow Jones Industrial Average plummeted 369.13 points. On the 22nd, global stock markets encountered Black Monday. The Hong Kong Hang Seng Index plummeted 2,061 points throughout the day. The Shanghai and Shenzhen stock markets were also not spared, falling 230 points and 455 points respectively. Entering 2008, it has become commonplace for people in the Shanghai and Shenzhen stock markets to take medicine when they are sick in the US stock market. In mid-January, the serious losses suffered by Citigroup and Bear Stearns in the subprime mortgage crisis were exposed, triggering a continuous plunge in global stock markets. From January 15th to 22nd, the Dow Jones Industrial Average fell by about 700 points in five trading days; The index fell nearly 5,000 points, and the Shanghai and Shenzhen stock markets fell by more than 900 points and 3,000 points, a drop of nearly 17%.