Portuguese Banks set to crash

sammysilver

sammysilver

Well-Known Member
Silver Stacker
http://www.reuters.com/article/2014/07/10/us-markets-stocks-idUSKBN0FF18H20140710

Posting this on an iPad so cannot add too much. I have been following this for a few days and believe that there are other European banks in the same position. An unrelated occurrence, one million civil servants on strike in Britain today, indicates not only is all not well there, but people are crying out about it.

Trouble at mine!

Throw in the latest Israel situation and we have the makings for the next breakout.
 
Pinching a title from another forum:

The problem in Portugal: Largest main bank shareholder Holding corporation has missed a bond repayment. Casts doubt on bank sustainability and possible contagion.

Espirito Santo Creditors Doubt Containment on Missed Payment
Central bank assurances that Portugal's Banco Espirito Santo SA is protected after a parent company missed short-term debt payments are failing to ease creditor concern they may also suffer losses.
...
The selloff is reawakening concern that the financial system remains vulnerable to shocks as the euro region emerges from the sovereign debt crisis. While the Portuguese government said the nation's second-biggest lender is isolated from losses in group holding companies, lack of transparency in the corporate structure is disturbing investors.

"Should the Portuguese situation continue to deteriorate, risk aversion contagion could quickly spread to other euro zone member states' bonds and other asset classes," Adrian Miller, director of fixed-income strategy at GMP Securities LLC in New York, wrote in a note to clients. "The situation confirms the EU's efforts to break the link between sovereigns and the related banking system has not been successful."

http://www.bloomberg.com/news/2014-...-doubt-containment-after-missed-payments.html
Click to expand...
 
Just a mark of the IMF's wonerful monetary policy @ work. The currency systems around the globe are all justs decks of cards, waiting to fall.

Take the Euro zones for instance. As we all know, money = power. When a nation's sovereign power is tied to s collective money body, such as the Euro. That nation's sovereign right is encroached upon.

Even here downunder, we've been warned our dollar will get weaker this year. No one escapes the nasty effects of globalization. It was touted as a means for underdeveloped nations to get in on the gravy train back in the 80's. Coerced by the threat of alienation from world trade if they did't borrow the IMF's money for er....restructuring. The fine print disclosing the truth though. You will borrow from the lender & never be able to pay back the principal! Every nation endebted/enslaved/disempowered by the rothschild's IMF end up financially ruined.

Sound like any nation you know?
 
Spain has the biggest exposure to Portugal's economy as a whole while German banks has the biggest exposure to Portugal's finanical sector. If things are going to get worse then watch for news coming out of Spain and German banks.
 
She'll be alright... Apparently

Banco Espirito Santo SA sought to calm investors after a parent company missed payment on short-term notes. Foreign lenders' exposure to Portugal is low and the European Central Bank is ready to support banks, signaling Santo's troubles are unlikely to cascade in the region, Goldman Sachs Group Inc. said in a note.
Click to expand...
Bloomberg
 
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