Worldwide Interest Rate Cuts Have Yet To Revive Paralyzed Markets Asian markets followed Wall Street's cue, as key market gauges dropped 9.6 percent in Japan, 8 percent in India and 7.2 percent in Hong Kong Oct. 10, 2008. (AP Photo/Vincent Yu) (CBS/AP) Governments around the world have slashed interest rates and ramped up their lending to unprecendented levels, but banks are still charging each other extremely high borrowing rates - a bad sign for the credit markets that remain close to paralysis. Traders will be closely watching the G-7 finance ministers meeting this weekend, and hoping the officials will consider guaranteeing lending between banks - which could potentially bring down the relentlessly high key lending rate known as Libor. In spite of bank bailouts and injections of capital amounting to billions of dollars by...
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