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Financial Stability

Trichet on the turmoil

The root of the problems in many financial institutions was their inability to adequately assess the risks associated with their exposures, said Jean-Claude Trichet, the president of the European Central Bank.

European authorities rescue Dexia

The Belgian and Luxembourg authorities on Tuesday presided over their second bank bailout in as many days, rescuing Dexia, the world's largest lender to local government, along with their French counterpart.

UK nationalises lender

The UK authorities have taken a second mortgage lender into public ownership after events triggered by the collapse of Lehman Brothers, an investment bank, sparked a withdrawal of deposits.

An offer they couldn't refuse

US Treasury secretary Hank Paulson's plan to buy troubled assets could prove the vital action in averting a financial meltdown. But only if the Treasury can take the right steps to put a floor under the market, says Claire Jones, the editor of Central…

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