ECB Report Finds That European Banks Restricted even more Credit in Q2: “Pink Shoots” Evaporation

July 29, 2009 9:19 am · 0 comments

by Chuck

in Market Updates

And just as we are topping on the markets, additional signs are pointing out that we are in for another leg down in the current recession.

The European Central Bank published today a survey on 118 banks’ lending practices.

Far from relaxing their credit standards as was expected with the heaps of public money they received, European banks have been halving corporate credit lines for Q2. And for Q3, they expect to further tighten their credit lines.

Link this to my previous post about losses with European banks and you’ll see that pink shoots are evaporating even more.


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Read more on European Union, European Central Bank (ECB) at Wikinvest

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