- Taiwan: Advanced GDP (Q3); Malaysia: Mid Year Population (2014); Singapore: Money Supply, Credit Card Statistics, Loans and Advances (Sep), Employment Situation, Banks' Classified Exposures (Q3); Korea: Average Monthly Wages (Aug); Macao: Trade (Sep)
- New Zealand: Building Consents Issued, Business Credit, Monetary & Credit Aggregates, Household Deposits, Registered Banks (Sep); Australia: Assets & Liabilities of ADIs (Sep), PPI (Q3)
- UK: GFK Consumer Confidence (Oct)
- more updates...
Economy in Brief
U.S. Initial Claims for Jobless Insurance Tick Higher
Initial claims for unemployment insurance during the week ended October 25 rose to 287,000 (-17.1% y/y) from 284,000...
EU Indices Head Higher in October
The EU overall sentiment index rose to a level of 104 in October from 103.5 in September...
FOMC Ends QE As Economy Improves & Inflation Remains Low
The Fed indicated that labor market improvement, moderate growth in household spending and positive business investment growth allowed for ending QE...
U.S. Mortgage Loan Applications Pull Back
The MBA total Mortgage Market Volume Index declined 6.6% last week (-20.2% y/y) following three week's of improvement...
French Household Confidence Is Stuck in Low Gear
France's household opinion survey for October saw its household indicator at a level of 85, the same value as in September...
U.S. Consumer Confidence Jumps With Youthful Exuberance
The Conference Board reported that their reading of consumer confidence surged to 94.5 this month (30.5% y/y)...
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|