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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: TobagoJack who wrote (65051)8/4/2010 11:30:27 PM
From: Amark$p  Read Replies (2) | Respond to of 217648
 
FWIW, China has a much better stress test for its banks... This 50%-60% stress test should be more than adequate. Will be interesting to see Chinese Banks capital adequacy ratios under this scenario.
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From Bloomberg: China Said to Test Banks for 60% Home-Price Drop
Banks were instructed to include worst-case scenarios of prices dropping 50 percent to 60 percent in cities where they have risen excessively ... Previous stress tests carried out in the past year assumed home-price declines of as much as 30 percent.
At least they are realize prices can fall sharply. In some European countries the regulators assumed steady prices was a worst-case economic scenario!



To: TobagoJack who wrote (65051)8/6/2010 12:02:54 PM
From: Haim R. Branisteanu1 Recommendation  Read Replies (3) | Respond to of 217648
 
The banking system is KAPUT and no one try to touch it

True you need a fractional banking system - but LOW ratios of 1 to 5 and separate trading of any form from banking