Moody’s Downgrades Global Banks!

• Practically, all major western banks are bankrupt! The reason why they can continue functioning is because after the 2008 crash, the FASB essentially ruled that they can mark/value their toxic crap assets to whatever they want. For eg. if a bank bought a share at US$100/share and now the market value of the share has dropped to US$10/share but the bank is allowed to still show the share as worth US$100/share in their books! The world is heading towards a global banking collapse triggered by these insolvent western banks. Aug-Oct 2012?? Are you prepared?
  –
  MOODY’S DOWNGRADES GLOBAL BANKS! 
  by Eric Platt, http://www.businessinsider.com/
  Ratings agency Moody’s  downgraded the long-term credit ratings of 15 major U.S., Canadian, and European  banks today after markets in New York closed. Of the 15 firms downgraded this afternoon, none were hit more than Moody’s  originally said was possible when it placed them on review in February. The action will likely force many of the banks targeted post additional  collateral against trades held on their books. elow, a summary of the major ratings action taken.
  –
  Cut One Notch:
  • HSBC  downgraded to Aa3 from Aa2
  • Lloyds TSB downgraded to A2 from A1
  • RBS downgraded to Baa1 from A3
  • Societe Generale downgraded to A2 from  A1

  Cut Two Notches:

  • Bank  of America downgraded to Baa2 from Baa1
  • BNP  Paribas downgraded to A2 from Aa3
  • Barclays  downgraded to A3 from A1
  • Citigroup downgraded to Baa2 from A3
  • Credit  Agricole downgraded to to A2 from Aa3
  • Goldman  Sachs downgraded to A3 from A1
  • JP  Morgan Chase downgraded to A2 from  Aa3
  • Morgan  Stanley downgraded to Baa1 from  A2
  • RBC downgraded to Aa3 from  Aa1
  • UBS  downgraded to A2 from Aa3

  Cut Three Notches:

  • Credit  Suisse downgraded to (P)A2 from (P)Aa2

  In February, Moody’s also placed Nomura and Macquarie  credit ratings on watch for downgrade. However, the agency took action before  today, lowering Nomura and Macquarie by one level each, to Baa3 and A2,  respectively. Perhaps the best news of the downgrade came to Morgan Stanley, which was on  review for a downgrade by as much as three levels. Shares  in the bank are up more than three percent in after-hours trade.
  –
  Analysts estimated that the company could be forced to post more than $5  billion in collateral if it was hit by a downgrade to Baa2. In a short statement after Moody’s announced its cuts, Morgan  said it had made clear progress, particularly with its Mitsubishi UFJ  partnership. “We believe the ratings still do not fully reflect the key strategic  actions we have taken in recent years,” the company said.

end