European Bank Bloodbath Destroys Stress Test Credibility
- European Bank Bloodbath Destroys Stress Test Credibility
by Tyler Durden, http://www.zerohedge.com
If the goal of the EBA Stress Tests was to reassure investors and regain confidence that ‘all is well’ in Europe’s increasingly fragile and systemically interconnected banking system, then it has utterly failed. The broadest European bank stock index is now down 7% from the post-stress-test spike highs, Italian banks are at record lows and being halted (despite Renzi’s promises), Commerzbank is struggling with capital raise chatter, and Deutsche Bank and Credit Suisse are tumbling after being booted from the Stoxx 50. “We’re gonna need a bigger stress test”…
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