Financial Stability News

News about financial stability, central banking and theory of money

Shipping Loans Go Bad for European Banks

This post shows the free fall of the Baltic Dry index in 2012. Could be “canary in the mine” warning about harder times to come. Last time the index has been this low was back in the midst of the credit crisis. With China rolling over and lots of new tonnage coming along, the situation could become bad for large banks with lots of shipping loans. Watch out.



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