As European banks scramble to raise cash, they're increasingly doing so by selling off foreign...

|By:, SA News Editor

As European banks scramble to raise cash, they're increasingly doing so by selling off foreign assets such as U.S. mortgage-backed securities (MBS), and depressing their prices along the way. With Deutsche estimating Euro banks hold about $100B in MBS not  backed by Fannie or Freddie, further declines could occur, and affect the balance sheets of U.S. banks in the process.