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Recent data from the BIS suggests U.S. banks have $41B in exposure to Greece, mostly in the form...

Recent data from the BIS suggests U.S. banks have $41B in exposure to Greece, mostly in the form of CDS contracts sold to European banks who own Greek paper. By comparison, French banks (under downgrade threat), part of an economy 1/6 the size of the U.S., have $65B in exposure.
Comments (5)
  • apberusdisvet
    , contributor
    Comments (2860) | Send Message
     
    The FED/BIS/IMF Mafia will have NATO invade Greece. It will be great R&R for the US Marines. Problem solved.
    16 Jun 2011, 12:51 PM Reply Like
  • dividend_growth
    , contributor
    Comments (2878) | Send Message
     
    The CDS exposure mentioned here is most likely the notional amount which actually means very little, because US banks such as JPM are primary dealers and carry offsetting positions. When one buys and sells the same CDS contract in order to capture the spread, the notional amount counts as a double even though the net exposure is zero (as long as no counter party goes bankrupt).

     

    I don't think there are any more stupid institutions selling naked CDS after what AIG had gone through.
    16 Jun 2011, 12:58 PM Reply Like
  • Joe Morgan
    , contributor
    Comments (1500) | Send Message
     
    Excellent comment on CDS, at least someone in SA knows how CDS are offset....
    16 Jun 2011, 01:17 PM Reply Like
  • montanamark
    , contributor
    Comments (1434) | Send Message
     
    what about the exposure of the fed reserve and US gov???
    16 Jun 2011, 01:12 PM Reply Like
  • montanamark
    , contributor
    Comments (1434) | Send Message
     
    how much $ did ben give euro banks that lend to greece
    16 Jun 2011, 01:13 PM Reply Like
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