U.S. Regulators Worried About Exposure of Money-Market Assets to European Banks! Greek Crisis Could Cost UK £336Bn: British Exposure ‘Significantly Underestimated’!

• Do not be lulled into a false sense of security. Hope for the best but be prepared for the worse. I am not fear mongering. A Greek default setting off a cascading dominoes of Eurozone defaults can lead to a global meltdown. Asia also will not escape!
  –
  Unease Rises Over Funds
  U.S. Regulators Worried About Exposure of Money-Market Assets to European Banks
  BY MARY PILON AND JON HILSENRATH, http://online.wsj.com/home-page
  As Greece slips closer to default, some U.S. regulators and lawmakers are concerned about money-market mutual funds’ exposure to European banks.
  –
  While the biggest U.S. money funds have minimal direct holdings of Greek government debt, they hold roughly $1 trillion of debt issued by big European banks such as BNP Paribas SA, Barclays PLC and Deutsche Bank AG, according to industry analysts. And those banks hold piles of Greek and other European government bonds, exposing them to large potential losses if the European sovereign-debt crisis takes a turn for the worse. The worry is that a default in Greece or …
  –
  … for the full article click here!
  –
  Greek crisis could cost UK £336bn: British exposure ‘significantly underestimated’
  By Tim Shipman , http://www.dailymail.co.uk/
  Britain could be hit with losses of up to £366billion from the collapse of the Greek economy, it has emerged. The potential devastation of banks and other City institutions would be equal to 24 per cent of our annual national output, or £14,640 for every family in the UK.
  –
  Ministers had claimed that British banks have ‘only’ £2.5billion of exposure to Greek government debt, while the Bank of England says the potential losses would be just £8billion.
  –
  But experts last night said that UK financial institutions are in far more danger than previously thought, because banks are tied up in complicated derivatives and insurance deals. They warned that if Greece defaults on its debts the crisis could cause a series of dominoes to fall, with Portugal, Spain and Ireland heading to the wall in turn.
  –
  … for the full article click here!

end