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Deutsche Bank: Worst of Global Crisis Yet to Come as Rescue Cash Runs Out

Wednesday, 18 Apr 2012 12:13 PM

The worst may be yet to come in the global financial crisis as the central bank spending that kept defaults low runs out, according to Deutsche Bank AG.

Credit-default swap prices imply that four or more European nations may suffer so-called credit events such as having to restructure their debt, strategists led by Jim Reid and Nick Burns said in a note. The Markit iTraxx SovX Western Europe Index of contracts on 15 governments including Spain and Italy jumped 26 percent in the past month as the region’s crisis flared up.

“If these implied defaults come vaguely close to being realized then the next five years of corporate and financial defaults could easily be worse than the last five relatively calm years,” the analysts in London said.

Read more: http://www.moneynews.com/StreetTalk/Deutsche-Bank-Worst-Cris...

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What the banks think is "crisis", I think is salvation.

I pray daily for the total obliteration of the global banking system, in its entirety.