Squeezed out of normal funding markets, Italian banks are increasingly turning to the London...

|By:, SA News Editor

Squeezed out of normal funding markets, Italian banks are increasingly turning to the London Stock Exchange's Italian clearinghouse (CC&G) for short-term loans. CC&G deposits in the banks money it receives as collateral for trades, earning a nice fee in return. It's a sweet business (until someone defaults), profits are up 209% vs. last year.