Gold Market Wire
News, analysis and commentary for gold traders and investors
The Long View
While the World Watched Netflix... Credit Suisse Took a Bad Beating
April 27, 2020 - (Gold Market Wire) - While everyone's attention was diverted by Covid-19 hysteria, an equally deadly force is attacking the European banking sector, threatening to bring true destruction to both Europe and the world's inter-dependent banking system.
The biggest, of the most recent disasters, has been Credit Suisse, which has seen its share price halved over the past month.
That's bad enough...but the long term paints an even uglier picture.
Other notable shipwrecks to recently find the rocks include the once mighty Santander - Spain's only functioning bank.
And, of course, everyone's favourite for glum gallows humor.... the one and only Deutsche Bank
And what picture could be complete without the fabled Commerzebank - - failed shotgun spouse to Deutsche.
What a picture. It's hard to see where this ends, other than a full blown depression. The Corona Crisis kicked what was left out of the European banking sector. The only topic of discussion now must be how to close the whole thing down. Bank holidays and haircuts loom, along with loan losses that dwarf capitalization and the final implosion of the grand-daddy of them all... the Over-the-Counter Derivatives day of reckoning, which should take everything else down the hole with it.
Still staring at your bank statement?