- Japan: CPI (Mar), All Industry Activity Indexes (Feb)
- Korea: Consumer Survey Index, Inflation Expectations (Apr); Philippines: Trade Imports (Feb); China: Unemployment Rate, Job Vacancies, Balance of Payments (Q1); Malaysia: Labor Force (Feb)
- US: Monthly & Quarterly Bankruptcy Filings (Jan-Mar, Q1)
- US: Housing Starts by State and Region (Mar)
- US: Kansas City Fed Mfg Survey (Apr)
- US: Advance Durable Goods (Mar)
- more updates...
Economy in Brief
Kansas City Fed Survey Remains Elevated
The Kansas City Fed reported that its April Composite index of 10th District factory sector activity remained firm at 7 versus 10 in March...
U.S. Initial Unemployment Insurance Claims Rise During Easter Week
Difficulties adjusting for the timing of the Easter holiday may be behind last week's rise in initial unemployment insurance claims to 329,000...
Ifo Shows Unexpected Strength as Europe Makes Some Progress
Climate in Germany's Ifo index improved unexpectedly in April...
U.S. New Home Sales Unexpectedly Decline Sharply
New home sales during March fell 14.5% to 384,000 (-13.3% y/y), the lowest level since July...
U.S. Mortgage Loan Applications Decline as Interest Rates Tick Higher
The MBA total Mortgage Market Volume Index declined 3.3% last week (-59.2% y/y)...
Italian Trade Trends: A One Month Back-off
Italian exports and imports are both engaged in a longer-term trend of sweeping upward...
by Louise Curley June 4, 2012
Spain is in trouble once again. Capital is leaving the country and interest rates are rising, as can be seen in the attached chart. The 10 year bond rate was 6.5% on June 1st and probably higher today. The European Central Bank, the European Commission and the International Monetary Fund together with the Spanish government are engaged in trying to find ways to ameliorate the situation while the foreign banks that have lent to Spanish banks in the past are worried about their exposure to these banks.
Some Information on foreign banks' exposure to Spanish banks, as well as to Greece, Ireland and Portugal, can be found in Haver. In The Bank of International Settlements (BIS) data base, there is a table "Foreign Exposure to Greece, Ireland, Portugal and Spain" under the section, Consolidated International Claims on BIS Reporting Banks. Data are quarterly and begin in 2010. Most data end in the fourth quarter of 2011. Countries covered are Germany, France, Italy, Other Euro Area, Japan. U. S. U. K. and Rest of the World. U. S. banks appear to have the largest exposure, $227.7 billion dollars, to Spanish banks followed by Germany and other European Countries. Japanese and Rest of the World banks have much smaller exposures to troubles in the Spanish Banks.
|Exposure of Banks to Claims from Greece, Ireland, Portugal and Spain, Q4 2011 (Billions USD)|
|U. K. Banks||137.5||33.3||192.1||22.3|
|Other Euro Area*||179.6||21.9||67.2||33.5|
|Rest of World Banks*||41.3||5.7||57.3||9.5|
|* Data are as of Third Quarter, 2010|