Home› Archived Forums› Politics
Options

Why the big secret regarding the rumoured failure of Credit Agricole

Sapphire SunSapphire Sun Posts: 328
Forum Member
✭
in Politics #1
Seriously why keep it a secret,he investors and customers have a right to know at least?

The way the Euro mess has unfolded and has been handled by those in charge has be a nightmare and one that now threatens the stability of the Eurozone countries and the financial markets around the world.

Trying to keep secret bank failures is pathetic and pointless, the rumoured failure of Credit Agricole and the attempt to cover it up will not get Sarkozy re elected.

Comments

  • Options
    ChizzlefaceChizzleface Posts: 8,221
    Forum Member
    ✭
    #2
    Back that up with evidence?
  • Options
    PandorianPandorian Posts: 5,335
    Forum Member
    ✭
    #3
    Chizzleface wrote: »
    Back that up with evidence?

    Although it has not failed, it is not looking in great shape.

    http://www.zerohedge.com/news/dollar-libor-market-hints-credit-agricole-was-bank-x
  • Options
    ChizzlefaceChizzleface Posts: 8,221
    Forum Member
    ✭
    #4
    Pandorian wrote: »
    Although it has not failed, it is not looking in great shape.

    http://www.zerohedge.com/news/dollar-libor-market-hints-credit-agricole-was-bank-x

    But there's still nothing to suggest there's an imminent failure approaching. It's not easy to keep financial data of that magnitude under wraps for very long, especially not with the calibre of financial journalists sniffing round for stories.
  • Options
    PandorianPandorian Posts: 5,335
    Forum Member
    ✭
    #5
    Chizzleface wrote: »
    But there's still nothing to suggest there's an imminent failure approaching. It's not easy to keep financial data of that magnitude under wraps for very long, especially not with the calibre of financial journalists sniffing round for stories.

    What they are saying is that the united Central Bank response earlier in the week was done to prevent the bank's failure. IF CA failed then it would put massive pressure on France, and hence the entire Eurozone.
    Given Credit Agricole's notably weak Tangible Common Equity Ratio and the fact that its Libor was such an outlier recently, it is hard not to suspect the global stick-save was instigated because this $1.59tn asset-heavy bank was on the verge of failure.
  • Options
    ChizzlefaceChizzleface Posts: 8,221
    Forum Member
    ✭
    #6
    Pandorian wrote: »
    What they are saying is that the united Central Bank response earlier in the week was done to prevent the bank's failure. IF CA failed then it would put massive pressure on France, and hence the entire Eurozone.

    To be honest, it wouldn't surprise me - one of the first comments I made on these forums was about how the crisis would soon spread to the two strong economies of France and Germany and got laughed out for that, because people were adamant that they were far too strong to ever go down.

    I'm not sure the situation's as bad as the OP makes out, but it wouldn't surprise me that yet another bank is struggling. No doubt it's still Labour's fault though :D
Sign In or Register to comment.