of the market spreads around Europe, the market is becoming a tourist center.
Unit10
1.D 2.C 3.A 4.B 5.C
Stock exchange a thing some tips define investment bankers Europe a member stock market requirements a million shares net income .‖
F T T T F C) B) D) A) D)
Gregory is thinking about getting into the stock market and wants to know how to buy stocks.
Sylvia say the market is low, so prices are probably pretty good.
Gregory sees it is high time to enter the market.
Sylvia Suggest speculating, which means buying stocks that go up quickly and then selling quickly for a fast profit.
Gregory finds it risky because stocks that go up fast also tend to go down fast.
Sylvia says that he has to guess how high they will go and then sells when he thinks they‘re about to come down.
Gregory hears that many people guess wrong. When they start to buy, the market continues to drop.
Sylvia says that, to make money, he has to take changes. Gregory admits that he is not much of a gambler.
Sylvia suggests that he stick to the blue chip stocks for a guaranteed return on his investment. D) C) A) B) A)
In the midst of the shaky market of last week, many brokers got calls from their clients requesting they sell their shares. One broker told such a story:
One of my clients called me on Thursday. He was anxious and out of breath, and spoke with great urgency.
He said to me, ―John, sell it all. Sell everything, fast, right away.‖
I tried to explain to him that the market was cyclical, and that in the long term stocks would return to normal.
He said, ―John, let me tell you a secret. You know I‘ve been married for sixty years now, and I‘ve been your client for five.‖ ―Yes, go on.‖ I said encouragingly.
―Well, my wife Lucie has a sort of phobia about the market. When we got married, I promised her that I would follow in her parents‘ footsteps and never venture into the stock market and always leave all our money under the mattress. Her great grandparents once lost everything in a great crash, and ever since then her family found investing in the market similar to crime.‖
―Wow, Howard, I didn‘t know that. I guess you want the money because the market is going down.‖
―No, John, I want the money because she ordered a new
mattress, and it is being delivered in two days.‖
Many of the traditional quantitative indicators suggest that bank asset quality is deteriorating, and that supervisors therefore need to be more sensitive to problems at individual banks, both currently and in the months ahead.
Some of the credits that were made in earlier periods of optimism—especially syndicated loans—are now under pressure and scrutiny. The softening economy and all special circumstances have especially affected borrowers in the retail, manufacturing, health care and telecommunication industries. California utilities, as you know, have also been under particular pressure. All of these, and no doubt other problem areas that are not now of foreseeable, require that both bank management and supervisors remain particularly alert to development. We are fortunate enough that our banking system entered this period of weak economic performance in a strong position. After rebuilding capital and liquidity in the early 1990s, followed by several years of post-World War II record profits and very
strong loan growth, our banks now have prudent capital and reserve positions.
In addition, asset quality was quite good by historical standards before the deterioration began.
Building on banking practices, we are in the process of improving both lending and supervisory policies that we trust will foster better risk management; but these policies could also reduce the pro-cyclical pattern of easing and tightening of bank lending and accordingly increase bank shareholder values and economic stability. It is an easy road, Mr. Chairman, but it seems that we are well along it.