A number of hedge fund companies and investment banks that invested in subprime loans incurred millions of losses or even went bankrupt due to the subprime lending problem. The possibility of tightening credit conditions also caused volatility and panic in the US stock market , which consequently sent fears to European and Asian markets that the US, one of their major trading partners, is on the verge of an economic recession. These fears and uncertainties are responsible …
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What is the US subprime mortgage problem — explained in simple …
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