Omega Owners Forum

Chat Area => General Discussion Area => Topic started by: Varche on 06 August 2013, 16:21:37

Title: Spanish bank losses just keep rising.
Post by: Varche on 06 August 2013, 16:21:37

http://elpais.com/elpais/2013/08/03/inenglish/1375540608_783646.html

The best thing about the article is the smiling FROB director general.  ;D

Title: Re: Spanish bank losses just keep rising.
Post by: Sir Tigger KC on 06 August 2013, 23:42:37

Hmmmm i wonder what the Spanish governments valuation of Gibraltar is?  ::)

Title: Re: Spanish bank losses just keep rising.
Post by: Rods2 on 07 August 2013, 00:29:56

Only written off €37bn so far, still along way to go then to cover the estimated €300bn of potential property losses.  ::) :o :o

Still a lot of can kicking here I think, where there is much speculation that property is reported to be on the banks books at much higher values than current market rates.  :o :o :o

The US has worked through their bank's problems, the UK has still some way to go, with RBS expected to need a further £1.5bn from taxpayers, Barclays needs to find £12.8bn to meet the latest capital reserve requirements and the Co-Op is £1bn short of where it needs to be and may need taxpayer assistance yet.

In Europe they have hardly started to purge the banks of all of their toxic debts, so I think there is going to be much more pain yet, especially in the PIIGS.

Title: Re: Spanish bank losses just keep rising.
Post by: Rods2 on 07 August 2013, 22:15:35

I passed your link on to the economist Shaun Richards who writes on the website Mindful Money. In return he has given me this link which I think will interest you. It is Spanish bank's exposure to Portugal which is about €70bn. At some point Portugal is going to require a sovereign debt haircut like Greece and that will cause major problems for Spanish banks unless they can mutualise the debts like France did with their exposure to Greek debt.

http://blogs.cfr.org/geographics/2013/08/06/bankexposure/ (http://blogs.cfr.org/geographics/2013/08/06/bankexposure/)

Shaun Richards writes about Spanish economic problems normally at least once a month when the latest figures are released, so it might be worth you checking his blog every week or so for his latest analysis. His articles are to a consistent high standard.

Another couple of free newsletters that might interest you is one called "Outside the box" from John Mauldin Economics and another from Grant Williams titled "Things that make you go hmmm". They are both of a very high standard and very thought provoking.

Today's newsletter from John Mauldin is about demographics and how it is going to affect long term growth particularly in the Western world.

Title: Re: Spanish bank losses just keep rising.
Post by: Varche on 07 August 2013, 22:33:23

Excellent.

Thanks. :y

Bookmarked.