Sovereign wealth funds into U.S. assets close hand the hot potato.

<P> Acquisition of Bear Stearns in cheap last minute deal, the apparent absence of one party concern that the recent drop in Wall Street hundreds of billions of dollars in sovereign wealth funds of funds. .</ P> <P> Reuters pointed out that these national sovereign funds have backed hundreds of billions of dollars in huge amounts of money, therefore, Western companies or of any suffering the pain of the credit crunch for companies .Their absence is a bad news. .United States and Europe are currently affected by the credit crunch. .</ P> <P> sovereign funds appear to avoid this is intended to save the nation's fifth-largest investment bank in the transaction. .Sunday, JP Morgan Chase agreed to buy $ 2 per share, Bear Stearns, Bear Stearns, the price is only 15 points on Friday closing price of one. .Since the deal did not come from the Middle East and Asia funds, analysts said on Monday so, sovereign funds may temporarily away from the U.S. financial assets. .</ P> <P> but far away from Wall Street was not just a large fund. .According to http://finance. Hearing, China's major brokerage CITIC Securities shares rose Monday, in part because the company, CITIC Securities and Bear Stearns is still negotiating to invest in each other, and have not to pay any price, can not guarantee reaching a final agreement .. .Bear Stearns and CITIC Securities announced last year that the two sides will each buy shares of Bear Stearns, CITIC Securities will invest about 10 billion U.S. dollars. .</ P> <P> as sovereign wealth funds and overseas investors refused to hand, a helping hand extended to foreign investors hoping to keep their jobs on Wall Street workers may be difficult to get comfort. .</ P> <P> Saxo Bank's chief market analyst Craig Russell asked, "is not someone to grab a falling knife. Why is involved?" He said, "In addition to the Fed, the market .No one wants to restore confidence, which will allow everyone to panic. dollar is a hot potato. "</ P> <P> last year, when Wall Street investment banks face subprime mortgage assets, the weight of exposure, the sovereign wealth funds .By providing a massive injection of support. .Since last November, Citigroup from Abu Dhabi, Kuwait and Saudi Prince Alwaleed finance about 300 billion U.S. dollars, while its share price over the same period fell by about 38%. .UBS last December to accept the sovereign funds of Singapore and the Middle East after the injection of stock also fell. .</ P> <P> Also in December last year, the newly established China's sovereign investment fund agreed to subprime mortgages and other assets 9.4 billion loss suffered by Morgan Stanley injection of 5.0 billion. .Morgan Stanley's share price has since dropped by 25%. .</ P> <P> With the credit crunch deepened, financial stocks continued to fall. .Value of the dollar will fall. .Regional analyst at Macquarie Securities, said Bill Belchere, "because of prior experience, sovereign wealth funds will be more hesitant. This will make it to spread to other parts of U.S. dollar assets assets." </ P> <P> Belchere .said the Middle East sovereign wealth funds expected to invest more in Asia to increase through asset diversification. .Hong Kong, bankers said, the fund does figured in China has been the financial industry, natural resources and the potential transaction. .</ P> <P> sovereign wealth funds as a temporary fade out Wall Street, experiencing the credit crunch hit financial institutions will face retrenchment of employees working at the threat. .As investors in foreign funds in order to obtain a minority stake in the form of injection of funds, Wall Street so far largely avoided the massive layoffs. .However, if the troubled financial institutions were forced to walk for help, the job will inevitably overlap. .As JP Morgan Chase and its outstanding performance has a large investment bank, Bear Stearns investment bank's woeful. .</ P> <P> from the Blackstone Group) since its listing in June, China's Blackstone investment had fallen by half. .Saxo Bank's Russell said, for those interested in investing in sovereign wealth funds in western financial companies, the current lesson is: "Now, do nothing." </ P> <P> Related: fire sale of Bear Stearns: Finance .power crisis of the beginning 2008-03-18 </ P> <P> Fed desperate measures desperate throw hard how to do in China 2008-03-18 </ P> <P> 72h Sudden Bear Stearns: $ 240 million training and preparation Morgan .Chase 2008-03-18 </ P>.