Moody’s has just released a report claiming that Australian banks are the “most exposed” banks in the Asia-Pacific to a worsening of Europe’s sovereign-debt problem. What exactly does that mean?
February 7th, 2012 | Dan Denning | 1 comment | ContinuedAll Posts Tagged With: "bank debt"
Europe’s Flawed Financial Transactions Tax (FTT)
Europe’s Financial Transactions Tax (FTT) may disincentivise financial transactions by adding to their marginal cost. But as long as the supply of credit and cheap money to the banking system remains abundant, the banks have an open invitation to speculate.
January 10th, 2012 | Dan Denning | 3 comments | Continued
How Central Bankers Attempt to “Cure” Insolvency
Whenever a central bank cannot provide direct, overt assistance to a specific insolvent investment bank or government, not to worry, a central bank can still provide indirect, covert assistance.
January 9th, 2012 | Eric J. Fry | 4 comments | Continued
When Banks Borrow Themselves Into Oblivion
In years gone by it was a real embarrassment for a bank to go cap in hand to its central bank to borrow funds. It was a sign of weakness. Clearly that’s not the case anymore, not in Europe anyway.
December 22nd, 2011 | Greg Canavan | 11 comments | Continued
Should Banks and Government Merge to Become One?
There was a problem we promised to solve on Monday. To refresh your memory, the problem is that both banks and governments need money. Governments borrow from banks. But because government finances are so terminally bad in Europe, government bonds are destabilising the capital structure of the banking system.
December 21st, 2011 | Dan Denning | 3 comments | Continued
CLF – The RBA’s Pre-emptive Bank Bailout
The RBA has announced how the CLF – a kind of pre-emptive bank bailout would work.
Of course… they won’t call it that.
November 29th, 2011 | Dan Denning | 6 comments | Continued
Australian Debt – The Deleveraging Has Not Even Begun
While global leaders (we use the term very loosely) gather in the trendy French town of Cannes to ruminate on the myriad problems caused by too much debt, Aussie banks are still reaping the benefits of an increasing Australian debt.
November 3rd, 2011 | Greg Canavan | 6 comments | Continued
Surely Gold Will Trade at One Times the Dow
“It is about five years since I first read the DR and agreed with your recommended ‘trade of the decade.’ At that time it was clear to anyone who saw the busts of 1974, 1991 and 2001 that the next one was imminent…
July 30th, 2009 | Bill Bonner | 5 comments | Continued
