- Shares in Italian banks have surprisingly rallied from opening losses despite severe pressure from an enormous surfeit of bad loans and a desperate need to recapitalize.
- The Bank of Italy estimates there is €360B worth of impaired loans in the banking system.
- Perhaps this is on expectations that the ECB will now definitely announce a six month extension of its bond buying program on Thursday.
- Related tickers: OTCPK:UNCFF, OTCPK:IITSF, OTCPK:IITOF, OTC:MDIBF, OTCPK:ISNPY, OTCPK:BPESY, OTCPK:UNCFY, OTCPK:MDIBY, OTCPK:BPESF