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"The banks are doing exactly what they should be doing," says Christian Clausen, the president...

"The banks are doing exactly what they should be doing," says Christian Clausen, the president of the European Banking Federation (and CEO of Nordea Bank), applauding EU lenders for dumping their risky sovereign paper. Exposure to the PIIGS "(has) come down quite dramatically," he says, backing up other anecdotal data that has banks eagerly hitting the bids whenever the ECB steps in to buy.
Comments (9)
  • JohnLocke
    , contributor
    Comments (381) | Send Message
     
    By banks "dumping their risky sovereign debt"

     

    Where is this debt going exactly? Who is actually purchasing it or are the banks just renaming the debt so they can put it into a new magic accounting column to make a shill regulator produce a report that makes the masses feel better so the fraud can continue?

     

    Just a thought...
    13 Nov 2011, 08:10 PM Reply Like
  • SA Editor Stephen Alpher
    , contributor
    Comments (540) | Send Message
     
    Anecdotal evidence says they're selling it to the ECB.

     

    http://seekingalpha.co...
    13 Nov 2011, 08:13 PM Reply Like
  • JohnLocke
    , contributor
    Comments (381) | Send Message
     
    So the ECB is attempting to monetize sovereign debt for select banks in select countries. Got it:-)

     

    Too big to fail banks in so big they are failing countries
    13 Nov 2011, 08:21 PM Reply Like
  • minecanary
    , contributor
    Comments (415) | Send Message
     
    Spoken like a true banker. Get the crap assets off your balance sheet and onto the public financed roles so you can claim your huge bonus. Its time to bring back Rollerball or start open season on these clowns...
    13 Nov 2011, 08:24 PM Reply Like
  • coddy0
    , contributor
    Comments (1182) | Send Message
     
    minecanary
    Get the crap assets off your balance sheet and onto the public financed roles so you can claim your huge bonus
    ======================...
    It appears you have problem with getting rid of your crap
    13 Nov 2011, 09:10 PM Reply Like
  • JohnBinTN
    , contributor
    Comments (3622) | Send Message
     
    Will the central banks share the same fate as the Ghostbuster's containment grid when that bureaucrat shut it down? :)
    13 Nov 2011, 08:24 PM Reply Like
  • Bouchart
    , contributor
    Comments (761) | Send Message
     
    Maybe if banks were doing their jobs they wouldn't have bought all this worthless debt to begin with.
    13 Nov 2011, 08:34 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3314) | Send Message
     
    Who are the Bagholders now?
    13 Nov 2011, 09:02 PM Reply Like
  • InnocentsAbroad
    , contributor
    Comments (167) | Send Message
     
    Well, unless I am mistaken, the bagholders are the peons. In other words, let's say you are Unicredit and you front run the ECB. That's your look out. The ECB is not going to enforce any insider trading prevention mechanisms.

     

    Makes me kind of wonder if the US Treasury market works the same way.
    14 Nov 2011, 12:04 AM Reply Like
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