Investors worldwide dumped shares on Tuesday after US house unexpectedly rejected a multi-billion-dollar bailout plan. Across world governments started pumping money into either banks or to the market to avoid complete economic collapse.
Bank of Japan has pumped cash into the domestic financial system to try to keep credit flowing. Morgan Stanley's share drastically gone down in last few weeks. Japan's Mitsubishi UFJ Financial Group Inc. pumps $US9 billion to Morgan Stanley to buy 21% of the stakes. This may shore up investors confident on Morgan Stanley.
In Europe also the market crashes as the Bailout plan was rejected. France, Belgium and Luxembourg agreed to inject 6.4 billion euros ($9.2 billion) into the beleaguered bank Dexia.
In Asia investors started investing in bonds and gold, despite calls from policymakers for calm.
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