Subprime Bank Casualty
From FXPedia
Over the weekend of March 15-16, 2008, representatives of Bear Stearns, J.P. Morgan, and the U.S. Federal Reserve concluded an agreement that would see Morgan buy out Bear Stearns with the Federal Reserve agreeing to guarantee Morgan's investment. While several large mortgage lenders have ceased operations because of the subprime crisis, as one of America's major investments banks, the Bear Stearns take-over marks the first instance of a national bank succumbing to subprime-related liquidity issues.
