Over the past year, the credit cycle finally turned, and has unleashed the latest default cycle. In fact, as BofA's Michael Contopoulos warned last week, it may be the worst default cycle in history with "cumulative losses over the length of the entire cycle could be worse than we’ve ever seen before."
Bank Bail Ins Begin as EU Bank “Bailed In” In Austria
Bank bail ins in the EU are here after Austria's financial markets regulator FMA imposed a hefty haircut on creditors in an Austrian bank. Creditors in the bank Heta Asset Resolution will receive less than half of their money back according to the country’s financial regulator, the FMA.
Two months after speculation and recurring headlines of an "imminent" OPEC meeting to first cut, then merely freeze (at record output levels) oil production, a meeting in which Iran is certain to not comply with any production curbs and the all important Saudis following suit, not even Goldman believes there is any upside from the meeting scheduled for this upcoming Sunday.
This is what Goldman commodity strategist Damien Courvalin said in a note released overnight.
it has been a rather quiet session, which saw Japan modestly lower dragged again by a lower USDJPY which hit fresh 17 month lows around 170.6 before staging another modest rebound and halting a six-day run of gains; China bounced after a slightly disappointing CPI print gave hope there is more space for the PBOC to ease; European equities rose, led by Italian banks which surged ahead of a meeting to discuss the rescue of various insolvent Italian banks, while mining stocks jumped buoyed by rising metal prices with signs of a pick-up in Chinese industrial demand.
Failure of the War on Cash
Written by Jeff Thomas (CLICK FOR ORIGINAL)