SaxoTV

Bill Blain was right on the banks. What he says now is shocking

750 views
February 11, 2016 alternative, alternative asset market, alternative investment, alternatives, bank, bank crisis, bank equities, bank share, bank shares, banking, banking crisis, banking industry, banking sector, banking shares, banking system, banks, banks stock, banks tumble, bill blain, bloomberg, bonds, chaos, coco, coco bonds, content, debt, debt crisis, deutsche, deutsche bank, deutschebank, direct lending, earnings, equities, equities trading, equity, euro, euro bank crisis, european, european bank, european debt crisis, fed, fed meeting, federal, federal reserve, fixed income, fomc, frankenstein, how to trade, interest rates, market panic, markets, markets and risk, mint, mint partners, mint partners bgc, news, owen, owen thomas, panic, prediction, predictions, returns, saxo tv, share falls, shares, soc gen, soc gen results, socgen, societe generale, société généale, thomas, trades, trading, tradingfloor.com, tv, video, volatile, volatility
Société Générale was the latest European bank to see its share price plunge this Wednesday. Its stock fell around 12% towards the end of the session after it downgraded its earnings' expectations. Bill Blain, Mint Partners' Head of Capital Markets, said back in June last year that he was 'massively concerned about European banks'. Now he tells us his predictions are coming true.
Bill says we're seeing a perfect storm of negativity on the markets, the result, among other things, of negative interest rates and continuing non-perfomring loans on bank balance sheet; Deutsche Bank has seen its share price tumble around 40% this year alone. He also calls so-called CoCo bonds a 'Frankenstein' creation that is now putting banks at even more risk. Bill is convinced there's worse to come and the ensuing chaos will result in some form of European banking crisis which will be perilously difficult to solve.