It is expected that there would even indictments against the executives in Japan and U.S or may be hefty federal fines after the twin development created new public relations challenges for Toyota. Whatever executives would say could be used against the company inside a courtroom so this would complicate Toyota’s ability to discuss details driving its recall of 8.5 million vehicles globally

Toyota misled owners about the safety and repairs and in order to reassure the public, company relied upon a hastily arranged study. Top Toyota officials are expected to attend the hearing to testify on Tuesday and Wednesday on Capitol Hill.

Akio Toyoda, the chief of Toyota have acknowledged recently they have been sluggish to respond as quickly enough to customer concerns and they could not rectify the problems as quickly as they should. It was reported by Wall Street Journal.

Southern District Of New York Attorney’s office spokeswomen declined to comment if Toyota might have broken the U.S laws and Toyota would not comment beyond its disclosure with Security and Exchange Commission.

According to experts, Toyota may have misguided the federal safety agency involving unintended Prius braking system or acceleration. The security and Exchange Commission is investigating this matter to look for the disclosure policies and practices according to Toyota.

There was an auto industry official revealing that the giant auto insurer that federal regulators in 2007 and 2004 about reports of unexpected acceleration on some Toyota Vehicles although Quinn Gillespie & Associates had stopped representing Toyota because of a conflict that posted with another client and the officials would not identify the other client.

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In September 2007, after having successful negotiations on equipment recall of floor mats involving Lexus ES350 and Toyota Camry, company saved $100 million. It was confirmed in the internal presentation in July 2009 by Toyota officials and the saving was listed as “Wins For Toyota”.

By slowing down other industry requirements, avoiding defects and safety regulations, Toyota saved millions of dollars as it cited in the document produced by Congressional Investigators.

On the recall of 8.5 million vehicles in recent months to deal with safety problems involving brakes, floor mats and gas pedals, two house committee are holding hearing this week and this document can be evidence that Toyota pushed regulators to narrow the scope of recalls and they put profits ahead of customer safety.

The top Republican on the oversight committee made the statement that in order to protect the bottom line, Toyota was lobbying for less rigid actions from regulator. The Toyota has denied the allegations by saying that they put customer first and ensure the hugest levels of safety and quality and to conclude otherwise on the basis of one internal presentation would not be fair. Olivi Alair called the document “very telling and LaHood, the secretary confirmed that they would do everything to make sure that Toyota would know everything necessary in vehicles to ensure the safety of the consumers.

It is a critical situation for Toyota as driver are complaining of their vehicles surging when backup, shifting hears and pulling in and out of parking spaces according to the documents released by LaHood.

According to consumer data gathered in U.S, there have been 34 deaths since 2000 connected to sudden accelerations in Toyota vehicles have surged in recent weeks.

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He is expected to appear before House of Representatives in which financial committee would be looking forward to this matter and then the same testimony process is to be followed next day with the jittery market. There are many being left with various speculations about the market and when it comes to the central bank they are quite likely to make any investment decisions for the future as the central bank increased lending rates would directly affect discount rates for the future and working quite opposite than to revive economy for the US.

Bernanke’s appearance in the congress is intended to shed some light among many speculators who are worried already for the actions Federal Reserve’s have taken to tighten up the funds rate for the interest rate in which banks used to charge each other, has now been to almost 0%. In addition, senior analyst contributed that these decision were quite seemed to be rushed and prior to anyone expectations, therefore we need to Bernanke appearance to the Congress which is destined to put some clear light to this issue.

Costing US 7 million jobs had recorded to be highest ever un-employment figure by the wealthiest economy in the world and major cause was the recession which began in 2007. Things change by time for which many have been actively involved to cater the economy at its best. However, there are things which are moving forward in a favorable low, but being in 2010 we still face low demand and low spending where the situation only show some positive increase by 5.7%.

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U.S House of Representatives Oversight and Government Reform Committee has forced Toyoda to attend the hearing next Wednesday. Although Toyoda earlier said that he is not planning to attend the hearing to testify but in order get the company out of worst crisis in its 70 year history, He has decide to show up before the committee. This decision is also supported and applauded by the Japan’s industry and transport ministers as it would give an opportunity to mollify customer’s dissatisfaction on accelerators jamming in the floor mats, momentarily unresponsive brakes and sticking gas pedals resulting about a recall of 8.5 vehicles all over the world.

There has been a political pressure on Toyota as Katsuya Okada, Japan Foreign minister made a statement that it is a national issue but they would back Toyota up as much as they can to get out of this situation. He further said that he is hopeful about Toyota and the company would regain the trusts of their customers soon.

Trade and Industry Minister, Masayuki Naoshima stressed on not making a political issues as the ties between Washington and Japan are already edgy by a dispute over plans to a U.S Marine base on the southern island of Okinawa.

Experts believe that uproar over the recalls is driven by Political motives because Washington stake in General Motors Co but Toyoda Choice to appear before the committee leads to the recalls seems for now to be outweighing dismissals of the crisis.

Toyoda was accused of being largely invisible and his tepid response to the recalls has been chastised in both United States and Japan but his recent decisions to attend the congress hearing is applauded by everyone.

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Further he said that this would be expecting this to work in as early situation as possible without prolonging it ever the coming years it is vital and a positive aspect to the economy which has to be implemented soon.

Looking forward into the matter Obama attended re election fight in Nevada for the Senate, this was not only the choice he had because this position was very much required to his party leaving it balanced in the house in Washington. However, the need of his policies and to work efficiently is just what is required to gather each and every vote that is possible and to achieve success in the future and dominate the masses he needs to work a bit harder in his upcoming policies such as new bills or health insurance laws.

Although, without a doubt he is applause for many of the things he undertook since the control is handed to him by the former president, which was a time of recession and no tolerance economy. He has worked successfully among many things implementing to restore the economy in a better future spending trillions of dollars which was no surprise around the globe as U.S is the wealthiest economy in the world.

The next we would be waiting is the health care summit in which we are certain to see many positive aspects of such a plan that will help the overall economy of our country as said by the President.

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There has been a noticeable downfall of Euro against the dollar. Euro came down $1.3617 to $1.3493 by breaking the nine-month low of $1.3533 after the U.S federal Reserves’ started giving out some of its cheap liquidity measures.

In New York, There has an increase in dollar up to 91.94; British pound came down from $1.5627 to $1.5390 and Japanese yen from 91.34.On the New York Mercantile Exchange, the benchmark crude was down from $1.28 to $77.78 a barrel at late afternoon Singapore time in electronic trading

Effective Friday, It was speculated that it will bump up the “discount” lending rate to 0.75. It has weakened the euro to $1.3466 on Friday from $1.35 but it doesn’t not affect consumer lending rates surprisingly.

Investor with non-dollar funds, the U.S commodities has become more expensive as dollar has gained the strength. In July 2008, the oil prices shoot up to $147 as dollar was weakening up.

According to a trader with market maker Hudson Capital Energy in Singapore, Clarence Chu, and oil would drop further below $70 if dollars would keep on rallying. There is a noticeable rhythm between the price of oil and the value of dollar in the intentional market. When dollars starts to strengthened, the oil prices starts to come down and it weakens, the crude prices shoots up according to experts.

Gasoline dropped 3.19 cents to $2.037 a gallon, heating oil fell 2.75 cents to $2.024 a gallon, gas reduced to 1 cent to $5.15 per 1000 cubic feet in other Nymex trading in March contracts.

On the ICE future exchange, Brent crude was down $1.27 at $76.49 in London.

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In addition, US transport authority ordered an investigation against Toyota’s problem and came up with evident proofs of such a failure for which the law makers have called the Toyota Company for a congressional hearing. Since last week we were not confirmed that whether Toyota would be participating in the hearing or not. However today the officials from Toyota conformed that the president of Toyota will be visiting to US for the hearing process and therefore have urged to the aggrieved customers and the law makers to be understanding and help in the situation where they are already working out to fix the problem.

The president’s decision for the public appearance and the hearing have been praised by many senior officials as the president of Toyota, Toyoda has not been seen after these problems have been reported, while he is the grandson to the founder of Toyota and being in that position he was asked formally to attend the hearing and explain the reasons and future plans to regulate security and safety measure for which many of the customers await.

Further talking to a news reporters Toyota’s President said that he would be pleased to attend the hearing which was not planned till the formal invitation was received and prior to this plan he has already planned to visit US to meet the officials and employees of the Toyota Company.

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Whereas the office of statistics contributed by revealing more figures which showed that the total borrowing for the last 10 months to 122.4 billion pounds which is not a pleasing figure at all in these economic situation. Further there was another update made available for public attention, that was of total debt amounting to 848.5 billion pounds which is the total debt till the month of January and this amount is equivalent to 60% of the country’s GDP.

Capital Economics analyst Jonathan Loynes said that this year surplus would have been expected to ease the financial market in UK, however the 4.3 billion pounds borrowing made the situation even worse and that chances of it being improved are determined to show any improvement for a long time and same would be the case for public finances which do not show any chances of improving this year.

However, the record borrowing in January 2010 was the series began in 1993 and as we hope that the situation would be soon under control despite these deficits. In addition the statistics show that January market of mortgage lending hit low more than in 10 years and on the other hand buyers are struggling to pay their increased taxes.

For January the lowest monthly gross lending was recorded since the year 2000 and would be a figure of 9.1 billion pounds and house purchase was seen to be in a rush as many individuals purchased house before the yearend as they wanted to save from the new year’s tax system.

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There are recalls in progress for millions of cars to get the braking mechanism fixed and because of these issues Congress has called Toyota Motor Co for hearing to which president of Toyota is expected to appear in the first week of next month. While on the other hand Toyota’s president is making public appearances and press conferencing to explain the latest updates for such problems. He is also expected to visit US to meet Toyota’s officials and employees to brief on latest changes and issues they are going through.

In addition to above US transport department is opening a formal investigation today against Toyota’s new model “Corolla” which has reported to have power steering problems. It is said to be serious but the reports are not confirmed as further investigations are required before stating it to Toyota. It is expected to be 500,000 cars which are affected for the problem and has been ordered serious investigation to conform the actual reason for the problem. However, Toyota’s official made a statement this week that the company is looking into this problem and recall is one their option however not many complaints are received for such problem.

Further reports show that the drivers have complained to lose control when driving in high speed and these complaints almost have reached to 150 however, it’s not much to the amount of cars that exist in US. There would be almost 363,000 vehicles involved from the previous year model and 136,000 from this year to investigate the power steering problems. To these complaints and plan to investigate such issues Toyota reported to confirm that they are determined to find the problem and offer a fix to it and recall could be a possibility, further Toyota would help to identify the problem with the authorities.

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While the anniversary marks for the first and the next plan has been announced from Obama in which around $1.5 billion would be spent to fund the transportation factor and the speculations are enormous to succeed however what they have told is fund such investments that would create great returns such as this one by creating almost 3.5 million jobs within the span of two years.

Further we are would be expecting a report from Joseph Biden, Vice President who has been made responsible to monitor this plan so no wastage of funds can take place while known as Recovery Act, and the in the mean time report for the impact on the program proposed would be awaiting.

In addition, he has made several comments to the ongoing programs by the government from which he says that Americans do not realize the stage they are going through and the proposed plans by the government and the plans which are already in execution are so mixed with the infrastructure of the economy that desired results would be quite difficult to achieve. Added further on the anniversary eve Biden said that we are almost half way to success and yet more plan and determination to make them success is required for the betterment of our economy.

While others criticize Obama is determined to make the appropriate change and many expect him to a lot more while not a doubt he has done many important and timely decisions which saved many more from unemployment. The new $1.5 million plan is yet to start and make some achievements. However, this remains to be the one side story and many out there expect things to change overnight which is for sure not possible but some of these steps are to make change in the long run.

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