Market Report - Asian Banks Feel Citi Pain
- 00:01:14
- YouTube
Market Report - Asian Banks Feel Citi Pain
WONG: Today Asian banks declined, hit by Citigroup's drastic job cuts, while regional automakers also felt restructuring ripples. Citi's plan to cut 52,000 jobs globally pushed shares of Japan's top lender Mitsubishi UFJ lower ahead of its earnings later Tuesday as well as No. 2 Mizuho. Amid concerns about financial industry stability, on Monday Bank of America said it will hike its stake in No. 3 China Construction Bank to nearly 20 percent from around 10 percent. Turning to the woes of the U.S. Big three carmakers, Suzuki Motor declined after agreeing to buy back its shares from cash-starved General Motors for $232 million. U.S. Senate Democrats took the first step to an auto industry bailout Monday, proposing a $25 billion loan program that will face stiff political opposition. A potential threat to the integrated supplier network in North America has prompted Honda to support the aid package for U.S. rivals. Honda opened a new U.S. plant in Indiana Monday, and along with No.1 Toyota and Nissan employ some 113,000 U.S. workers, about half Detroit's staff.
YouTube | November 19, 2008
