Released on = August 21, 2007, 11:02 pm

Press Release Author = Anu

Industry = Financial

Press Release Summary = Over the last few weeks more and more companies that have
dealt with
mortgages have been hammered hard. Even those with no direct exposure to the
sub prime loan market have been hit as the global sentiment turns against
lenders. Countrywide, the largest US lender could face bankruptcy if
liquidity worsens. Northern Rock in the UK has seen its share price halve
since the start of the year.

Press Release Body = Over the last few weeks more and more companies that have dealt
with
mortgages have been hammered hard. Even those with no direct exposure to the
sub prime loan market have been hit as the global sentiment turns against
lenders. Countrywide, the largest US lender could face bankruptcy if
liquidity worsens. Northern Rock in the UK has seen its share price halve
since the start of the year.

The Federal Reserve along with the European Central Bank has tried to
alleviate the credit squeeze by increasing the amount of cash that\'s
available in the system, with the Europeans releasing 180 billion Euros.
These actions have done little to ease the tension with the market now in
the red for the year. Investors have had very little in way of reason to buy
other then the fact that the market fell across all industries, thus making
some of those equities a potential value buy.

The finger of blame is pointing to the loose lending standards from banks
and mortgage companies. First in the dock are the hybrid instruments which
allowed borrowers who were overleveraged to enter the real-estate market
writes Betonmarket\'s Michael Wright.

\'Flipping\' houses became a very profitable venture for a couple of years. As
long as the market kept going up, more people jumped on the bandwagon. Many
of these people had no means of paying for the debt they were taking on, but
due to crafty financing were able to get loans. The only risk was that these
investors had to \'flip\' this house quick, before the much higher interest
rate was going to kick in. As soon as the market bubble burst and these
houses lost value, many of people found themselves owning houses that
a) were worth way less then they paid for them just a few months prior
b) the higher mortgage kicker was coming quick, and hence the defaults

The fallout from this bubble will not be limited to financial markets. The
U.S. economy and with it, the rest of the world, has the possibility of
feeling the negative consequences for quite some time. All this will
possibly be reflected in the equities markets, starting with the SP500.

The one thing that markets hate is indecision, more than anything they fear
the unknown. Right now, nobody knows who is exposed to what. Banks are
raising their overnight lending rates and hedge funds are having to sell
safer equities to fund their margin calls. This crisis could spread like a
virus to all areas of the economy. The one glimmer of hope was an emergency
rate cut from the Fed, but this now seems unlikely. Voting member Governor
William Poole recently indicated that their job is still not done on beating
their primary enemy, inflation.

With Betonmarkets.com you can take advantage of this possibly profitable
situation. A no touch which pays out when a certain level isn\'t touched
during the duration of the term seems like the more conservative and thus
possibly most appropriate option.
A no touch 100 points higher than the current price of the S&P 500 pays 11%
over 20 days. This means that As long as the S&P 500 doesn\'t rise 100 points
over the next 20 days, you will win. It could rise 98 points, or chop around
wildly, but you still win as long as it doesn\'t rise 100 points.

Web Site = http://www.BetonMarkets.com

Contact Details = 2nd Flr,Blk C,SME Technopreneur centre
+60383193888
anu@my.regentmarkets.com