U.S. Treasury fears Islamic strings on investments
The U.S. Treasury is struggling with how to handle any political or Islamic ramifications as Persian Gulf sovereign wealth funds look to make substantial investments in capital-poor American banks and securities firms.
The crisis in mortgage-backed securities has created a need for new capital to enter financial markets after major financial institutions such as Bear Stearns and Carlyle Capital Corp. failed over the weekend.
The crisis is an opportunity for sovereign wealth funds that have prospered as the price of oil has soared over $110 a barrel....
