'Financial capital' of the world?

[ToxicPaddy]

There's been talk on the internet recently discussing which city is the worlds 'Financial Capital'. I would say this is a fairly popular topic, given the state the world economy is in at the moment. Basically, all it means is which city has most influence on the world economy? Discuss and vote here :D

Edit: Can't seem the find poll option :S

[Virgin Mary]

America, hence why most recessions are due to their incompetence e.g. now and the wall street crash.

[kk.]

financial? well without the recession, london

[Caution]

London, for Europe anyway. Could be New York, I dunno tbh.

[GommeInc]

I'm with our Virgin here, if the economy ever crashes, it's down to America so they must be the financial super power to be able to mess up everything so easily.

[-:Undertaker:-]

Wall Street without a doubt, and the Japanese sectors.

[Fez]

New York, New York...

[JackBuddy]

Well...

London was (unoficially) labelled the financial capital of the world, mainly due to its convenient time zones which catch trading with global economies throughout the day.

According to london.gov.uk:

The London foreign exchange market is the largest in the world, with an average daily turnover of $504 billion, more than the New York and Tokyo combined.
Along with The European Bank for Reconstruction and Development (http://www.ebrd.com/) there are more than 550 international banks and 170 global securities houses have set up offices in London. By contrast Frankfurt has around 280, Paris, 270 and New York 250.
London is the banking centre of the world.
America has more financial power and influence but I think London is the financial centre.

[Suspective]

New York for sure.

[JackBuddy]

New York for sure.
why though?

[RedStratocas]

well new york has wall street and headquarters of countless companies, so i guess that'd be a fair suggestion.

[Hazzles]

New York,
America basically decides whats happening in the economy.
They give loans to people who cant pay them back, it affects us and we go into a recession.
Sucks.

[kk.]

all these people saying stuff about america and how if they collapse we collapse, its the same the other way round..

[Ramones]

New York,
America basically decides whats happening in the economy.
They give loans to people who cant pay them back, it affects us and we go into a recession.
Sucks.

It wasn't just america doing that...

[Ardemax]

the idiots behind da banks in wall st. who get like £1mill bonuses for getting us into a recession

[-:Undertaker:-]

That my friends is capitalism, the only type of economics that work. If you can come up with something better them let everyone know, but I can assure you it will and must happen again.

As for financial capital, Japanese markets and American markets are looked at the most as they have the largest economies in the world.

[:oRach]

America or London suppose.

[Crimson]

Cornwall

[leah]

Cornwall
lmao what?
well we do make a fair bit in the summer but yeh aha
I'd say London

[luce]

America, hence why most recessions are due to their incompetence e.g. now and the wall street crash.

Wall street crash hardly effected England because there was a traif on trading with Britain back then, also America believed in isolationism back them aswell hence why not much else then America was effected.

And i think it has to be London

[alexxxxx]

It is london. Due to its convienient time zone.

[nvrspk4]

Anyone ever heard of petrodollars? New York, no question.

[Favourtism]

Lovin' how every English person says its where they live or london.

It's obviously America (NY).

[MissAlice]

http://www.dailymail.co.uk/money/article-1061571/London-worlds-financial-capital-Eastern-rivals-gain.html

I know that the article was 7 months ago, but it may be of interest in this debate ;)

[le harry]

New York. Be as patriotic as you want but it wont change anything lol.

[alexxxxx]

say all you want, but it is actually london.

[nvrspk4]

http://www.dailymail.co.uk/money/article-1061571/London-worlds-financial-capital-Eastern-rivals-gain.html

I know that the article was 7 months ago, but it may be of interest in this debate ;)

I disagree with the journalist lol, its very difficult to quantify it. You could say how many trades go through there or the overall values of the markets but even then that would be a misrepresentation. A large portion of the world's gold is stored in New York, in addition to high quantities of the world's wealth. In addition, the Fed's actions have a much more lasting impact than the Bank of England (London?) as evidenced by the response to the global crisis.


say all you want, but it is actually london.

Based on what...?

[Yum999]

It's very difficult to say. New York, London and Tokyo are the three official global cities and they currently have the largest financial clout.

London benefits from it's timezone and proximity to other economic powerhouses, it's far more practical to do business between London and Moscow than New York and Moscow. London has the advantage of it's stock exchange being sharing open hours with every other major exchange in the world. When New York opens, Shangai is shutting. However, New York is the traditional hub and a place on the NYSE is still a badge of honour for most companies.

Nvr mentions that the Fed stores a large portion of the world's gold reserves, but infact the Bank of England stores a very similar amount, slightly less at just under £80 billion.

Of course, it's not all that simple and there's so many different issues to take into account. Some would suggest London is bigger than New York, and vice versa.

I think the credit crunch and the current strength of the euro will be a deciding factor. But also, I can see both being eclipsed by the growing eastern markets in the next twenty years.

[nvrspk4]

It's very difficult to say. New York, London and Tokyo are the three official global cities and they currently have the largest financial clout.

London benefits from it's timezone and proximity to other economic powerhouses, it's far more practical to do business between London and Moscow than New York and Moscow. London has the advantage of it's stock exchange being sharing open hours with every other major exchange in the world. When New York opens, Shangai is shutting. However, New York is the traditional hub and a place on the NYSE is still a badge of honour for most companies.

Nvr mentions that the Fed stores a large portion of the world's gold reserves, but infact the Bank of England stores a very similar amount, slightly less at just under £80 billion.

Of course, it's not all that simple and there's so many different issues to take into account. Some would suggest London is bigger than New York, and vice versa.

I think the credit crunch and the current strength of the euro will be a deciding factor. But also, I can see both being eclipsed by the growing eastern markets in the next twenty years.


Depends what you define as financial capital, most important or most volume, if its most volume I'll admit I don't know the statistics.

But given that all purchases of petroleum are done in dollars (hence petrodollars) and the monetary response to the credit crunch has essentially mirrored the Fed's actions (LIBOR decreases mirrored the target fed funds rate pretty much to a T) and the Europeans have begun adopting the dual mandate in central banking though they say they're still committed to the single mandate of price stability.

[Zak]

America, I heard they haven't even gone into there federal reserve yet