FOX Translator
No data currently available.
No data currently available.
We like to think that when we deposit a dollar at the bank, it goes into a big vault and we can pull out that same dollar at any time. But that¿s not how the U.S. banking system works. Banks take that money and invest it to make money themselves, so cash gets spread around. This, naturally, leads to a big risk: What happens if those investments go sour? Well, you¿d be out of luck. You can¿t get your dollar back.
The Federal Reserve doesn¿t like that scenario, so it prohibits banks from putting all the cash it has on deposit on the line. In fact, the Fed forces banks to keep a portion of their assets at the Federal Reserve itself, to make sure that some of your assets won¿t get squandered if the bank¿s bets go south. These are called ¿reserves,¿ (hence, Federal Reserve. Got it? Good), and usually amount to 10% of the total cash kept in checking accounts.
These reserves are never exactly 10%, and banks like to keep a little extra in reserve ¿ not, as you might think, to make you more comfortable that they¿re in good financial shape, but rather so they can take that excess and lend it to other banks and make money off it. (They¿re banks, they can¿t help themselves.) The rate at which they make these loans is called the Federal Funds rate, which is set by the Federal Reserve¿s Federal Open Market Committee.
When you hear people chattering about how the Fed cut or hiked interest rates, this is what they¿re talking about: the interest rate banks can charge for lending money from their reserves. This begs the question: If these are essentially loans between banks, why is the Fed Funds rate so important for the rest of the economy?
Well, simply put, because loans make the financial world go round. Bank A lends Bank B $10,000 at a Fed Funds rate of 5%. Bank B then lends out $10,000 to a small business at 7%. The small business then takes that money and expands the business and hires new workers. Now someone is employed, Bank B has made interest off the loan, and Bank A is the richer for making it all happen. It¿s perhaps overly simplistic, but you get the idea. When you want the economy to thrive, you make lending cheaper.
Of course, sometimes you don¿t want the economy to thrive. In fact, you might want it to cool down, mostly to avoid money flooding the system and causing inflation. In that case, the Fed raises interest rates, making it difficult to lend or borrow.
Home / Markets / Industries / Finance
Wednesday, July 02, 2008
Examine Process Instruments Markets in Southeast Asia
Comtex
DUBLIN, Ireland, Jul 02, 2008 (BUSINESS WIRE) ----Research and Markets (http://www.researchandmarkets.com/research/c7cfbc/process_instrument) has announced the addition of Frost & Sullivan's new report "Process Instruments Markets in Southeast Asia" to their offering.
This Frost & Sullivan research service titled Process Instruments Markets in Southeast Asia provides an overview of the industry challenges, market drivers and restraints, revenues, technology trends, and end-user analysis on process instruments with forecasts for the Southeast Asian region. In this research, Frost & Sullivan's expert analysts thoroughly examine the markets for positioners, flow meters, and level, temperature, and pressure transmitters.
Market Overview
Industrial Development in Emerging Economies and Increased Investments Fuel Process Instruments Market in Southeast Asia
Booming economies of the region and the flood of investments from countries such as the United States, Europe, and Japan are enabling the proliferation of opportunities for process instruments in Southeast Asia. "To optimize operational efficiency and improve margins, the manufacturing and processing sectors must add value to their products by employing sophisticated systems and software," notes the analyst of this research service. "With the growth of high-technology products, end users have migrated to real-time data display techniques, having realized the value of accurate and timely information to enable informed and timely decisions." Thus, demand from end-user segments such as petrochemicals, chemicals, oil and gas, and food and beverage industries are elevating the demand for process instruments such as positioners, flow meters, and temperature, pressure, and level transmitters.
Application-specific technologies widen the scope of process instruments, and they have proved to be useful in a variety of applications. Instruments monitor industrial processes easily and effectively and are particularly vital for the food and beverage sector, energy control, wastewater treatment, and the chemicals and petrochemical sectors. Sectors such as milk, food, and pharmaceuticals have specific needs such as sanitary process connections, resistance to aggressive chemicals, and MRO cleaning procedures. Custom-made transmitters and positioners are also in demand. Further, governments and environment protection groups are ramping up the rhetoric for compliance to environmental norms, driving the uptake of these instruments.
Adding Cost Competitiveness, Productivity Efficiency, and Product Quality to Marketing Mix Necessary to Obtain Market Share
To survive in the highly competitive Southeast Asian process instruments markets, manufacturers must offer a complete cost-effective solution to ensure positive outcomes. The transmitters market is very fragmented and diverse, with a broad range of applications and environments. The customers too are widely dispersed, and methods of distribution play a very vital role. A major challenge for manufacturers is to fine tune distribution strategies to increase sales and bring down the cost of overheads. "Price sensitivity can adversely impact profitability and a strong after-sales network as well as regional and local presence is crucial for market penetration," observes the analyst. "Companies' efforts must be vigorously directed toward striking a balance among product value, durability, and life-cycle for gains to become more explicit."
Manufacturers must also closely follow end users' technology trends, and considering the diverse range of process measurement technologies that exist, quick responses are required. A proper assessment of the rapidly evolving technological production processes of end users is necessary to develop excellent value-for-money propositions. End-user preference for transmitters with software integration and bus networking systems such as fieldbus foundation and Profibus is challenging manufacturers to provide value-enhanced products. Overall, quality, brand name, technical features, and after-sales service will be the deciding factors to gain an edge with clients and expand the business and customer base.
Market Sectors By Instrument Type: - Positioners - Level transmitters - Flow meters - Temperature transmitters - Pressure transmitters Key Topics Covered: 1. Process Instruments Markets in Southeast Asia - 1. Total Process Instruments Market in Southeast Asia - 2. Valve Positioner Market - 3. Flowmeters Solutions Market - 4. Pressure Transmitters Market - 5. Temperature Transmitters Market - 6. Level Transmitters Market - 7. Strategic Analysis and Summary
For more information visit http://www.researchandmarkets.com/research/c7cfbc/process_instrument
SOURCE: Research and Markets Ltd.
Research and Markets Laura Wood, Senior Manager press@researchandmarkets.com Fax (USA): 646-607-1907 Fax (International): +353-1-481-1716
Copyright Business Wire 2008
Market Snapshot
| Symbol | Last Price | Netchange | Volume |
|---|---|---|---|
| -- | -- | -- | -- |
| -- | -- | -- | -- |
| -- | -- | -- | -- |
| -- | -- | -- | -- |
| -- | -- | -- | -- |
