Wolf Richter: Bank Bailout Balloons, Tab for Italian Banking Crisis Soars
Monte dei Paschi di Siena sinks deeper into the mire and bailout costs spike to €8.8 billion, while the ECB claims the bank is “solvent”.
Read more...Category Archives: Banking industry
Chanos: Is a Big Change Underway in Global Capitalism?
Storied short seller Jim Chanos takes a long view of recent political and economic changes, including, of course, the Trump win.
Read more...Deutsche Bank Wins in Stare-Down With Department of Justice Over Mortgage-Backed Securities Liability; Credit Suisse Also Settles While Barclays Holds Out
Deutsche came off well in a mortgage settlement with the DoJ, while Barclay’s decision to fight doesn’t look so smart.
Read more...Italy Announces Sketchy Plan to Bail Out Monte dei Paschi
The Monte dei Paschi domino is finally about to fall. But what does that mean in practice?
Read more...Conflicts of Interest Not New to the Age of Trump: Many Politicians Voting for the TARP Bailout Protected Their Own Wealth
Conflicts of interest are not new to US politics; this paper shows how TARP votes tracked the stock portfolios of member of Congress.
Read more...Italy Banking Crisis Is Also a Huge Crime Scene
While Italy’s banking crisis results from business loans gone dud in a shrinking economy, some of the banks were also up to no good.
Read more...The Fundamental Flaw in Muddied Brexit Thinking
Brexit negotiators seem clueless about how to get out of their own way. Here’s why.
Read more...British Press in a Tizzy that the EU Will Be Mean to the City of London in Brexit
The whinging from entitled Brits over the fact that the EU is playing Brexit hardball is getting annoying.
Read more...The Story That Russia Does Not Want You to See: The Rosneft Share “Sale” as a Sham Transaction
The widely-reported sale of a 19.5% stake in Rosneft to Glencore and Qatar looks like a sham transaction.
Read more...So Who Gets to Pay for Italy’s Banking Crisis?
The pretense that even Monte dei Paschi can be bailed out privately is being abandoned. So how will Italy’s sick banks be salvaged?
Read more...Bill Black: White Collar Crime Will Have a Field Day Under Trump
In this Real News Network segment, Bill Black describes why elite banksters will have a free hand if Trump gets his appointees through. Although Black focuses here on just departed Goldmanite Gary Cohn, the Democrats ought to put up a pitched battle over another Goldman alum, Steve Mnuchin, Trump’s Treasury Secretary nominee. Mnuchin is unqualified […]
Read more...Greece and Creditors in Showdown Again
Greece tried a surprise move to slip the creditors’ leash. Sadly, it’s not likely to succeed.
Read more...Italy Gets a New Prime Minister, But Not Yet a New Government, Let Alone a New Banking System
Italy just may be able to save Monte dei Paschi with “precautionary recapitalization,” but what next?
Read more...Europe’s Crisis Was Caused More By Reckless Lending Than By Reckless Spending
Remedies have failed to produced growth and lower indebtedness because they’re focused on protecting toxic behavior by banks in Europe’s core
Read more...Wolf Richter: Italians Vote “No,” Renzi to Resign, Banking Crisis Now Looking for Taxpayers
Will the failure of Renzi’s constitutional referendum and resulting political uncertainty finally force Italy’s banking crisis to a head?
Read more...