The fix is on in Europe - Dexia Bank Bailout in progress

[O.S.O.K.]

As I expected... they didn't have a choice - bailout in progress:

http://news.yahoo.com/dexia-bailout-set-wider-bank-rescue-mulled-002657741.html

"BRUSSELS/PARIS (Reuters) - Franco-Belgian bank Dexia agreed early on Monday to the nationalization of its Belgian banking division and secured 90 billion euros ($121 billion) in state guarantees in a rescue that could pressure other euro zone governments to strengthen their banks"

This is a finger in the dike. It will give them some more time - maybe another year or two... This is the bank that holds most of the Greek debt.

[Sergi762]

Cue the market super rally and the optimistic speculation! what a sick joke! Hell.. between this lot with their hallucinations of a recovery and the other lot arguing over who to blame or the bloated bureaucracies once again waffling..the ship of fools is sinking.

[O.S.O.K.]

Oh, I don't think they have any expectations of long-term recovery... I think they know full well that their ass is grass. This is just a bandaid.

[Warthogg]

I've also been watching Dexia go down.


Wart

[Warthogg]

Dexia shares resumed trading and after briefly crashing as much as 36 percent, pared losses to close down 4.7 percent at 0.81 euros, valuing the bank at 1.6 billion euros.




Dexia has a global credit risk exposure of $700 billion --more than twice Greece's GDP



"If capital is to have any chance of stabilizing the banks, it will need to be large: we would start with the IMF's 200 billion euros," said Alastair Ryan, analyst at UBS.

http://news.yahoo.com/dexia-bailout-set-wider-bank-rescue-mulled-002657741.html

Sooooo the US taxpayer will get hit for 34 billion euros via the IMF....on top of the table. What the Federal Reserve will do under the table will almost certainly remain secret.


Wart

Dexia is now worth 1.6 billion euros with a credit exposure of 700 billion euros. And that's just ONE European bank.