Spanish Banks and El Crisis

[andie]

http://business.timesonline.co.uk/tol/b ... 425753.ece  

 http://seekingalpha.com/article/112876- ... -this-mess

"Sterling slid throughout the year, with the falls turning into a rout in the last few weeks as Britain was named by the International Monetary Fund as the economy facing the deepest recession in 2009. Against the currencies of our biggest trading partners, the pound was worth 24 per cent less by the end of the year, making imports more expensive and holiday spending money go less far, but leaving exporters and the tourist industry looking competitive."

 :lol plus its nice for the uk foks coz for once every thing will be more expensive here ,so the uk will look a better place to live in  

[andie]

oo,i have just had 10 mins,watching that one, wile having mi weeterbix , :sun

[yo_leviatan]

To all the people who want to know how the financial institutions work must to watch Zeitgeist Addendum, it is a documentary film by Peter Joseph, the film discusses the Federal Reserve System in the United States, the CIA, corporate America, other government and financial institutions, it is explained using simple words for people like me that can not understand all that financial terms, I used the version with spanish subtitles because my english is so limited and I couldn't understand everything in english. Hope all of you enjoy with it. For an online watch visit next link //http://video.google.com/videoplay?docid=7065205277695921912.
Take your time for full watch, it takes 2:03:07 h.

[andie]

a bit more intresting reading   S
http://www.telegraph.co.uk/finance/econ ... warns.html

http://www.telegraph.co.uk/finance/news ... shell.html

http://www.telegraph.co.uk/finance/news ... -outs.html

[judi bk]

Don't get so exited Juliet

[Juliet P]

:head

[andie]

bank of Ireland an intresting read
http://business.timesonline.co.uk/tol/b ... 192648.ece   S

[Juliet P]

Oh, for f@*!s sake, Steve - it's interesting.

Juliet

[andie]

http://www.economist.com/finance/displa ... d=12609706

 banco Santander another intresting read    S

[andie]

an intresting read  :?:

a law firm is  considering whether it can act for KSF  depositors.

Michael Tackley and Richard Beresford, both partners at Grundberg Mocatta Rakison LLP, and leading banking counsel John Jarvis QC attended a meeting at the bank in Reykjavik earlier this month.

Their initial review indicated a possible claim that the UK Treasury acted unlawfully when making its order to put the bank into administration on October 8.

There could also be possible claims for damages based on the torts of misfeasance in public office and negligence. The damages claimed would run into billions of pounds.

Iceland's Ministry for Foreign Affairs, meanwhile, has claimed the 'unprecedented application' of anti-terrorism legislation by the UK against the Icelandic bank Landsbanki had 'severely disturbed' currency transactions between the two countries – and had led to innocent Icelandic citizens abroad having to 'endure verbal abuse in the media, in shops and on the street'.

[andie]

another intresting read ,with a list of banks /bank ratings
http://www.thisismoney.co.uk/saving-and ... _page_id=7

  S



"Fitch revised the bank's outlook following its announcement today (Oct 14) that it will acquire the remaining 75.65% of Sovereign Bancorp Inc, a holding company whose primary subsidiary is the US savings bank Sovereign Bank. Santander's rating remains unchanged; the ratings agency merely wants to find out whether the bank is overstretching itself with its spate of recent acquisitions, including Alliance & Leicester and Bradford & Bingley's savings book. "

[andie]

just shows you what an hour in the wardrobe can acheive,breath in breath out  :wave  

[andie]

http://business.timesonline.co.uk/tol/b ... 926316.ece

[Juliet P]

Geraint - aka cityboy - is a bit of a legend. He used to write as cityboy in one of the free evening papers and he always told some pretty incrdible stories. Although, knowing the City pre-meltdown, I wouldn't be surprised if they were all true!!

Juliet

[linedancer]

Just read a book called Cityboy which is a "tongue in cheek" story about a stockbroker in the City of London.  Supposed to be fiction of course (but probably based on fact).  Well... now I'm not so sure about the fiction part, it makes an interesting read in today's current climate.  My friend gave it to me to remind me of the many happy days I spent working in EC2 .

Chris

[judi bk]

Kate Aide - OMG it must be serious!!

[andie]

isle of man 50k per instution as per uk

gurnsey jersey no cover unless your resident

bank of island will cover all a /c inc off shore ( for what the gaurentees worth if the system meltsdown  (jack shirack )

IMF more depressing than me ,  :thumbsup

http://uk.news.yahoo.com/rtrs/20081011/ ... b2d2f.html

aldgedly thair brining Kate Aide back next week as well  :rain S  :-)  what a great social  leveller  

[judi bk]

Yes LMJ I read that as well.  You are right Juliet nothing is safe and the situation is changing all the time.  Just listening to a report on BBC about offshore banks.  They say the UK govt guarantee does not cover Channel Islands, Isle of Man and Gibralter but I guess they are fairly safe anyway

[lmj50]

The Icelandic bank was AA+ rated up until last month!
LMJ

[Juliet P]

Judi,

Yes, I would have posted these too, but, actually, I think that in the current financial circumstances the absolute measures don't mean very much - I though it was more relevant to see where each financial institution is in relation to the others. Nothing is totally safe - just some are more safe than others.

Juliet

[judi bk]

May be a bit thick today but it took me ages to find on that site what those credit ratings stand for so to save other people time here is what I found
Investment Grade
AAA
Highest credit quality. 'AAA' ratings denote the lowest expectation of credit risk. They are assigned only in case of exceptionally strong capacity for payment of financial commitments. This capacity is highly unlikely to be adversely affected by foreseeable events.

AA
Very high credit quality. 'AA' ratings denote expectations of very low credit risk. They indicate very strong capacity for payment of financial commitments. This capacity is not significantly vulnerable to foreseeable events.

A
High credit quality. 'A' ratings denote expectations of low credit risk. The capacity for payment of financial commitments is considered strong. This capacity may, nevertheless, be more vulnerable to changes in circumstances or in economic conditions than is the case for higher ratings.

BBB
Good credit quality. 'BBB' ratings indicate that there are currently expectations of low credit risk. The capacity for payment of financial commitments is considered adequate but adverse changes in circumstances and economic conditions are more likely to impair this capacity.  This is the lowest investment grade category.

[andie]

a  labour  mp,s veiw,an intresting read   S

http://www.labourhome.org/story/2008/10/7/162018/363

[Babyboomer]

Thanks Juliet...nice piece of work.

Uhh - no. I'm not getting into this one - not that I don't love a debate.

Needless to say, however, that it has something to do with the centre not dictating to local authorities what they do with their money and the fact that it is illegal to restrict the free movement of money, impose protectionism or to restrict free trade.

As a bit of an added extra - I was PM'd about the status of a certain Spanish bank - so I started to do a bit of research. I found that Fitch (one of the big three credit rating agencies or CRAs) gives free info through their website. http://www.fitchratings.com/corporate/index.cfm

I only tried a few, but this is what I found - in descending order:

Santander AA
BBVA AA-
Banco Andalucia AA-
Unicaja A+
Bancaja A
Cajamar A
Cajasur BBB+

I should stress that this is only one source of information - but it's pretty interesting!

Juliet

[andie]

intresting stuff dear   :head  as i was going to put a couple of quid in, as thay offered good rates .

carnt remember which agancy it was but thay classed the bank as high risk,the same info was on google,so what some of thease council idiot finance directers where doing  :head

im still not a happy bunny and think this has a long way to run, with or without good bank  ratings as the system is in uncharted waters.

steve  :hat

mind you its not all bad news ,at least by 2010 housing will become affordable again for the young folks(providing thay have work& good dep )

[Juliet P]

Uhh - no. I'm not getting into this one - not that I don't love a debate.

Needless to say, however, that it has something to do with the centre not dictating to local authorities what they do with their money and the fact that it is illegal to restrict the free movement of money, impose protectionism or to restrict free trade.

As a bit of an added extra - I was PM'd about the status of a certain Spanish bank - so I started to do a bit of research. I found that Fitch (one of the big three credit rating agencies or CRAs) gives free info through their website. http://www.fitchratings.com/corporate/index.cfm

I only tried a few, but this is what I found - in descending order:

Santander AA
BBVA AA-
Banco Andalucia AA-
Unicaja A+
Bancaja A
Cajamar A
Cajasur BBB+

I should stress that this is only one source of information - but it's pretty interesting!

Juliet

[knowall]

Steve - did you miss the signs in August, that there might be problems with Iceland??

http://www.dailymail.co.uk/tvshowbiz/ar ... Kerry.html

 :out

[andie]

its me again  :hat

Juliet (this is a genuine question ) :?: )

thanks

steve  

[Juliet P]

On a more evidence-based point, the following have all had their credit ratings cut by the agencies (Fitch and Standards & Poors)

CajaSur, Caja Castilla La Mancha, Caixa Sabadell, Caixa Penedès and Bancaja.

Juliet

[andie]

ok dear very sorry to all,  :-o  :shock: (you,ve probably read abought them in the news  :-o

il go and hang upside down in the wardrobe for 1/2 an hour  :wave (dont try this at home or in the office as  it takes years of practice and can result in personal injury plus damaged wardrobe doors if you inadverantly fall of the rail rack  :hat  

http://uk.youtube.com/watch?v=GZ7O5LHRY ... re=related

[Juliet P]

Steve,

Stop being so alarmist. Santander is one of the strongest banks around - it is now reaping the benefits from being conservative about lending in the past few years.

Anyone would think you enjoy the role of doomsayer...

Juliet

[judi bk]

I heard an article on BBC radio 4 about European banks and that said that Franco introduced very tight restraints on Spanish banks that did not allow them to borrow more than they could pay off (sort of not allowed to go into the red).  Apparently some of these restraints have remained in place and it is why Banco Santander is in a better financial position to many of its European rivals.  I'll see if I can find a transcript.

[andie]

an intresting read and good news for people with funds here waiting to complet.

the irish goverment 100 % gaurente lark doesent stack up to mi if the system goes nits, ie 3 mill folks paying bills & trills out and  also the Santander could be one to watch

apparently the money market folks still aint happy with the 500 bill

S  :hat

[judi bk]

From FT website
Spain unveils credit fund
By Victor Mallet and Mark Mulligan in Madrid

Published: October 8 2008 03:00 | Last updated: October 8 2008 03:00

Spain yesterday became the latest European nation to take unilateral measures to deal with the deepening financial crisis, announcing a €30bn-€50bn emergency fund to provide liquidity to the financial system by buying Spanish bank assets.

José Luis Rodríguez Zapatero, the prime minister, said the temporary fund was to provide credit for borrowers starved of funds by the seizing up of interbank lending.

He announced a fivefold increase in the Spanish government guarantee for bank deposits, raising the amount to €100,000 ($136,000, £78,000) from €20,000 so that "individuals and companies can have full confidence in the security of their savings".

The fund, details of which will be fleshed out during the cabinet meeting on Friday, will be managed by the Spanish Treasury to buy the assets of financial institutions.

Mr Zapatero stressed the idea was not to rescue or restore to health the domestic financial system - where institutions were both solvent and solid - but to make financing available for companies and individuals so economic activity and job creation could continue.

The fund, he said, would complement the European Central Bank's weekly funding auctions, which have been used by Spanish banks, and would buy "healthy assets, not toxic ones".