Concerned Fed Trims Key Rate By A Half Point

The Federal Reserve lowered its benchmark interest rate by half a percentage point on Wednesday, its second big rate cut this month, as policy makers tried to fend off what could be the worst economic downturn in decades.

Full-text article by Edmund L. Andrews is available via the New York Times, 10.29.08.

Durable-Goods Orders Increase Unexpectedly

Demand for expensive goods climbed in September, boosted by higher car and airplane orders for an unexpected increase amid a weakening economy and a credit crunch.

Full-text article by Jeff Bater is available via the Wall Street Journal, 10.29.08 [Subscription Required].

BWF's Economic Impact and Potential Analysis (EIPA)

Bentz Whaley Flessner is pleased to offer its support in this time of uncertainty in the fundraising community. In a partnership between our analytics division, DonorCast, and the market research division, BWF Research, we have prepared a study methodology to determine the effects of the economic climate on your fundraising potential. In our EIPA study, we would review the internal and external factors impacting your fundraising to equip you for careful planning and informed decision-making.

We will review the following internal factors:
* Database giving potential
* Giving by key constituent groups and geographic regions
* Development production level analysis
* Forecasts and simulations for future fundraising

We will review the following external analysis of
* Regional economic factors
* Industry sectors of top prospects
* Fundraising landscape and current/upcoming campaigns
* Survey of constituent perceptions and attitudes

You will receive a written EIPA report providing a snapshot of your fundraising environment. And we will provide practical recommendations for maximizing your fundraising success in this uncertain environment.

Contact Bentz Whaley Flessner to see how we might partner with you and understand the current climate through our Economic Impact and Potential Analysis.

Housing Starts Hit 17-Year Low

Housing starts slide 6.3 percent in September, the third straight monthly decline. Consumer sentiment fell sharply.

Full-text article by Brenda J. Cronin and Jeff Bater is available via the Wall Street Journal, 10.17.08.

Libor Continues Slow Slide Downward

The cost of borrowing three-month U.S. dollar funds in the interbank market continued to edge lower Friday as confidence slowly returned to money markets in the wake of government measures aimed at stabilizing the global financial system.

Full-text article by Keith Jenkins is available via the Wall Street Journal, 10.17.08.

Wall Street's $1 Million Fantasy League

The financial crisis has been scorching investors around the globe. But through it all, some of the world's wealthiest financiers still have enough money to play in one of Wall Street's most exclusive and secretive competitions: A fantasy football league where the total purse is $1 million.

Full-text article by Jon Weinbach is available via the Wall Street Journal, 10.17.08.

Banks Are Likely to Hold Tight to Bailout Money in Write-Downs

As two financial giants, Citigroup and Merrill Lynch, reported fresh multibillion-dollar losses on Thursday, the industry passed a grim milestone: All of the combined profits that major banks earned in recent years have vanished.

Full-text article by Louise Story and Eric Dash is available via the New York Times, 10.16.08.

Three-Month Libor Slides

The cost of borrowing three-month U.S. dollar funds in the interbank market continued to edge lower Thursday as government measures aimed at stabilizing the global financial system eased pressures in money markets amid growing fears of a global economic recession.

Full-text article by Keith Jenkins is available via the Wall Street Journal, 10.16.08.

Stocks Waver as Economic Fears Linger

A late surge drove stocks upward despite another strong dose of recession fears.

The Dow Jones Industrial Average swung in an 816-point range Thursday from low to high and finished 401.35 points higher, up 4.7%, at 8979.26, recouping more than half of the previous session's painful losses.

Full-text article by Peter A. McKay is available via the Wall Street Journal, 10.16.08.

Inflation Pressures Eased in September

A mix of plunging U.S. industrial production at rates not seen since the 1970s and flat consumer prices suggests Federal Reserve officials will most likely have to lower interest rates even further to prevent a severe economic recession.

Full-text article by Brian Blakestone and Jeff Bater is available via the Wall Street Journal, 10.16.08.

As Consumers Keep Wallets Shut, Economic Outlook Dims

Retail sales fell sharply in September as consumers shunned department stores, auto showrooms and shopping malls, ratcheting back spending for a third month. Economic activity slowed, according to a report from the Federal Reserve. And the Fed chairman, Ben S. Bernanke, warned in a speech that a recovery “will not happen right away.”

Full-text article by Michael M. Grynbaum is available via the New York Times, 10.15.08.

U.S. Forces Nine Major Banks To Accept Partial Nationalization

The U.S. government is dramatically escalating its response to the financial crisis by planning to invest $250 billion in the country's banks, forcing nine of the largest to accept a Treasury stake in what amounts to a partial nationalization.

Full-text article by David Cho, Neil Irwin et al. is available via the Washington Post, 10.14.08.

See related graphic: Big Banks Involved in the $250 Billion Federal Intervention.

Fed Plans $250B to Bail Out Banks, Sources Say

The Federal Reserve plans to use $250 billion of the $700 billion approved by Congress to recapitalize ailing banks, and while the number of willing participants is unclear, the plan requires nine major banks to take part.

Full-text article by Jen Duck, Kate Barrett, et al. is available via ABCNews.com, 10.13.08.