http://news.bbc.co.uk/1/hi/business/7086909.stm
Already the big Wall Street banks have revealed losses totalling $50bn (£24bn), and the head of the biggest bank - Chuck Prince of Citigroup - and the biggest investment firm - Stan O'Neill of Merrill Lynch - have departed.
But experts estimate that the total losses facing the financial sector could amount to between $150bn and $450bn, and that many of the banks have hidden losses that have been concealed in off-balance sheet instruments like "special investment vehicles".
The big Wall Street banks and investment houses who are most exposed could find their profits, and much of their capital base, wiped out.
To restore their profits, and indeed in some cases to remain solvent, they will be forced to sell off many assets and lay off many workers, as well as cutting the bonuses of their remaining staff and limiting their future lending.
Phew! Thank god all our money is in UK BTL property and not the financial markets!
Carnage on Wall Street as loans go bad
Already the big Wall Street banks have revealed losses totalling $50bn (£24bn), and the head of the biggest bank - Chuck Prince of Citigroup - and the biggest investment firm - Stan O'Neill of Merrill Lynch - have departed.
But experts estimate that the total losses facing the financial sector could amount to between $150bn and $450bn, and that many of the banks have hidden losses that have been concealed in off-balance sheet instruments like "special investment vehicles".
The big Wall Street banks and investment houses who are most exposed could find their profits, and much of their capital base, wiped out.
To restore their profits, and indeed in some cases to remain solvent, they will be forced to sell off many assets and lay off many workers, as well as cutting the bonuses of their remaining staff and limiting their future lending.
Phew! Thank god all our money is in UK BTL property and not the financial markets!
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