Just two months ago a pin prick.
Eight banks out of the 90 tested failed the European Banking Authority’s July 15 stress test, with a combined capital shortfall of 2.5 billion euros.(BTW bankrupt Dexia 'passed' the test)
Now an Abyss.
At least 66 of Europe’s biggest banks would fail a revised European Union stress test and need to raise about 220 billion euros ($302.3 billion) of capital, Credit Suisse AG analysts said.Revised EU Stress Test Would See 66 Banks Fail refers.
Royal Bank of Scotland Group Plc (RBS), Deutsche Bank AG and BNP Paribas (BNP) SA would need the most, a combined total of about 47 billion euros, analysts led by Carla Antunes-Silva wrote in a note to clients today. Societe Generale (GLE) SA and Barclays Plc (BARC) would each need about 13 billion euros of fresh capital.
A sense of Official Panic?
Mario Draghi fears Italian debt spiral
"We must act fast. The sorts of interest rate rises seen over the last three months, if protracted, could lead to an uncontrollable spiral," said Mario Draghi, who takes over as head of the European Central Bank next month.Draghi is taking over the ECB. The ECB will add violent gesticulaton to meaningless rhetoric as the official response measure.
Mr Draghi said austerity measures must be enacted "immediately" and warned that Italy's €54bn austerity package is "not enough".Austerity doesn't work. It exacerbates recession/depression.
The daily downgrade. Euro Weakens for Second Day After S&P Cuts Spain’s Credit Rating One Level which nation and bank will get downgraded tonight?
Disclose.tv - Euro Expert: 'I would recommend you panic' Video