The Athens Stock Exchange General Index is down 6.3 per cent today.
Several months ago, we reported about a troubling development in Vietnam, happy inflationary host of one of the world’s most rapidly devaluing and best named currencies, that in direct refutation of Ben “Gold is not money, it is tradition” Bernanke’s claim that gold is just a trinket one can fondle with no […]
[credit provider=”flickr / Partido Popular de Cantabria” url=”http://www.flickr.com/photos/ppcantabria/5117665854/”] The stress test results for the Spanish banking system conducted by consulting firm Oliver Wyman have been released.The shortfall came in at 60 billion euros, as expected, per Bloomberg.
[credit provider=”(Photo by Pablo Blazquez Dominguez/Getty Images) “] Today, at 12 PM ET, Spain releases the results of the stress tests conducted by consulting firm Oliver Wyman on the Spanish banking system.UPDATE: Click here for the results >
[credit provider=”flickr / BurningQuestion” url=”http://www.flickr.com/photos/team_716_pwns/2686071229/”] BofA analysts Priya Misra and Brian Smedley have issued a warning in a recent note to clients about another “cliff” facing markets at the end of the year: the “$1.6 trillion deposit cliff” the U.S. banking system faces when special FDIC insurance provisions expire on […]
[credit provider=”Wikimedia Commons” url=”http://commons.wikimedia.org/wiki/File:Archimedes_lever.png”] In a new report entitled Gold: Adjusting For Zero, Deutsche Bank analysts Daniel Brebner and Xiao Fu paint an incredibly dark picture of the bind the global economy is in right now.Brebner and Xiao are pretty frank about how levered up the financial system is at the […]
[credit provider=”Bank of America”] As a Bank of America customer, I put up with the threat of a $35 fee for overdrawing my account; a savings account that barely earns enough annual interest to buy a morning latte; and surcharges each time I use an out-of-network ATM.And as of last […]
A recent NBER working paper by Adam Taylor uses economic history to take a look at how an unprecedented level of private credit growth contributed to the severity of the financial crisis.
Sandy Weill was the CEO and chairman of Citigroup during Wall Street’s bad old days. He oversaw the growth of that bank into the massive, global business that it is now and as a philanthropist, the Weill name is all over New York City.
[credit provider=”myjedilightsaber on flickr” url=”http://www.flickr.com/photos/myjedilightsaber/4839595126/”] It is clear that the Chinese economy is slowing, and some think the risks of a hard landing are rising substantially.If economic growth in China continues to slow, rising and sudden defaults on loans made in the country’s shadow banking system could threaten to bring down China’s traditional […]
[credit provider=”flickr/cuellar” url=”http://www.flickr.com/photos/cuellar/219162721/sizes/o/in/photostream/”] The Wall Street Journal reported this morning that full results from the audit of the Spanish banking system that were originally slated to be delivered by July 31 will now be delayed until September.The reason? August vacation, which ostensibly would not have any bearing on a report […]
[credit provider=”AP”] Michala Marcussen, Société Générale’s global head of economics, is one of the many experts telling clients this morning that the the 100bn euro package should be enough to credibly recapitalize the Spanish banking system.However, Marcussen highlights concerns over the proposed bailout mechanisms (the EFSF and ESM), raising questions […]
[credit provider=”AP Images” url=”http://www.apimages.com/OneUp.aspx?st=k&kw=portugal%20flag&showact=results&sort=relevance&intv=None&sh=10&kwstyle=and&adte=1323270464&pagez=60&cfasstyle=AND&rids=5c915c970b27db11af9f0014c2589dfb&dbm=PY2006&page=1&xslt=1&mediatype=Photo”] Bank recapitalization plans are under way in Europe this morning. Reuters reports that three of Portugal’s largest banks — Millennium bcp, Banco BPI, and Caixa Geral de Depositos — will tap funds from the 78bn euro bailout package initially provided by troika creditors (the EU, ECB, and […]
Goldman’s equity research desk covering Spanish banks is out with an overview of the Bankia recapitalization plan and a “read-across” to the potential recapitalization needs of the next six biggest Spanish banks in the sector.
[credit provider=”Oli Scarff/Getty Images” url=”http://www.gettyimages.com/detail/news-photo/woman-walks-past-graffiti-depicting-a-young-girl-trying-to-news-photo/139271631″] While headlines in Europe are centered on a Greek exit from Europe, and the looming fiscal crisis, economist Jeffrey Sachs says Europe’s banking sector is the real imminent problem.In a Financial Times editorial, Sachs writes that in order to save itself, the eurozone needs to […]
BAML is out with a monster report today detailing a couple different scenarios for how a Greek exit from the euro will likely shake out as well as a comprehensive look at the effect it will have across asset classes given different policy responses to such an event.
[credit provider=”Dennis Wong on flickr” url=”http://www.flickr.com/photos/denniswong/5083391023/”] Yes, you hear me talking about the dreaded debt deflation (in Irving Fisher’s sense) in China. It works like this, more or less: