– Italian Banks Collapse, Short Sales Banned As Loan Loss Fears Mount:
Italian bank stocks are crashing (with BMPS down 40% year-to-date) as Reuters reports that investors are growing increasingly nervous about how the sector will cope with lower interest rates and a 200 billion euro ($218 billion) pile of loans that are unlikely to be repaid. The broad banking sector is down 4% with stocks suspended, and in light of this bloodbath, Italian regulators have decided in their wisdom, to ban short-selling of some bank stocks (which has driven hedgers into the CDS market, spking BMPS credit risk).
http://beforeitsnews.com/survival/2016/01/a-run-on-the-banks-begins-in-italy-as-italian-banking-stocks-collapse-2601886.html
I wonder who’s next?
http://www.alt-market.com/articles/2787-the-us-is-at-the-center-of-the-global-economic-meltdown