Trading in Icelandic banks halted pending announcement

[dipsydoodle]

Source: Daily Telegraph

The suspension covers trading in all financial instruments issued by Kaupthing, Landsbanki, Glitnir, the Icelandic lender bailed out by the government after its short-term funding dried up, Straumur-Burdaras, Exista and Spron.

Iceland's Financial Services Authority requested the move, the OMX Nordic Exchange in Iceland said. The exchange said: "This decision is made in order to safeguard the equality of investors while awaiting an announcement.''

Iceland's prime minister Geir Haarde has confirmed the country's major banks have agreed to "sell their foreign assets and decrease their activity abroad", as pressure mounted for the government to secure a rescue deal for its ailing financial system.

At a midnight press conference last night, he said no decisions about an economic bail-out had been made "at this time". He then convened all Icelandic MPs at the parliament building to discuss more options into the early hours of the morning.

Read more: http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3144756/Trading-in-Icelandic-banks-halted-pending-announcement.html

[panAmerican]

1. Iceland is having very, very serious troubles.

We may think things are bad in the US, but Iceland will probably be the first country to have the most acute reaction to this global financial crisis.

[Demeter]

2. Iceland Is Going to Have to Choose Between Its People and Its Corporations

You can't save both. Iceland is a place that I expect will choose to save its people.

Every country is going to have to make that choice. I shudder to think what the GOP would do, seeing as what it has done so far to the people. All the more reason to vote Obama and send Nancy Pelosi into retirement if not exile.

[dipsydoodle]

3. LBN Iceland has now offered an unlimited guarantee

on all saver deposits. Link to follow

More on the suspension of share dealings here too :

Share trading in six of Iceland's biggest financial firms has been halted temporarily, the country's stock exchange has said. http://news.bbc.co.uk/1/hi/business/7654257.stm