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Financial crisis timeline

Key developments on Friday in the world credit crisis:

business Updated: Oct 24, 2008 22:55 IST

Key developments on Friday in the world credit crisis:

- World stock markets plunge even deeper into negative territory as gloom gathers over the global economy.

- Oil prices plunge to the lowest points for 17 months, as recession fears spark renewed demand concerns, despite news that OPEC will cut oil output by 1.5 million barrels per day.

- The British economy is teetering on the brink of recession, official data show, revealing it shrank 0.5 percent in the three months to September in the first contraction since 1992.

- The euro falls to a two-year low under 1.25 dollars and the British pound sinks to a six-year trough against the US unit.

- Troubled US automaker Chrysler says it will cut 5,000 administrative and temporary jobs by the end of the year in the face of a financial crisis roiling global markets.

- German auto giant Volkswagen says it will cut output to deal with effects of the financial and economic crises but denies that it will eliminate 25,000 jobs and confirms its 2008 sales targets.

- French car groups order swingeing production cuts and temporary plant closures, while European truck makers report plunging orders.

- German Chancellor Angela Merkel calls for a strengthened role for the International Monetary Fund in the face of the financial crisis.

- A tentative agreement by the IMF to provide Iceland's government with 2.1 billion dollars in aid "aims to restore confidence" in the nation's troubled banking system, the IMF managing director says.

- French President Nicolas Sarkozy calls for Asia to support Europe in its fight against the global financial crisis.

- Business activity in the 15 nations that use the euro fell to a record low in October as the credit crunch caused a demand slump, according to a survey.

- Russia's largest retail bank, Sberbank, wants to shed up to 70,000 jobs, a quarter of its workforce, the Kommersant daily reports, citing a plan approved by the bank's board this week.

- Chinese President Hu Jintao says the fundamentals of China's economy have not changed, even though it is facing difficulties and challenges due to the global financial crisis.

- East Asian nations agree to create an 80 billion dollar joint fund by next June to avert regional financial crises.

- The Australian government revises its unlimited guarantee on bank deposits amid concerns the measure has forced a flight of capital from investment fund firms.

- Both of Russia's main stock markets plummet more than 13 per cent, prompting the government to suspend trading on them until Tuesday.

- The Danish central bank raises its key interest rates by a half-point to 5.50 per cent to support the beleaguered krone.

First Published: Oct 24, 2008 22:52 IST