« Four Currency Crises: Hungary, Iceland, Pakistan, and Argentina | Main | Quote of the Day: Paulson Plays Butch Cassidy »

Latest Stories

October 23, 2008

The Bank Capital Mirage

The following more or less supports what some have been saying for a while -– that major banks in the U.S. and the U.K. will end up being entirely nationalized before this crisis is over –- but it's still a striking way of looking at the data. The gist: Government recapitalization and other fund-raising has largely been in service of banks' prior subprime losses, while corporate and consumer loans are just starting to hit bank balance sheets. It won't take much to tip banks over into insolvency again.

bank-mirage

[via Bloomberg]

Sphere It   |  Digg this! Digg it   |  Bookmark this! Bookmark it   |  Stumble It! Stumble it   |  Facebook this! Facebook it