{"id":180209,"date":"2017-06-24T19:56:00","date_gmt":"2017-06-25T00:56:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2017\/06\/24\/fasten-your-seatbelts-europe\/"},"modified":"2017-06-24T19:56:00","modified_gmt":"2017-06-25T00:56:00","slug":"fasten-your-seatbelts-europe","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2017\/06\/24\/fasten-your-seatbelts-europe\/","title":{"rendered":"Fasten Your Seatbelts, Europe"},"content":{"rendered":"<p><a href=\"http:\/\/i.imgur.com\/S7IgEme.jpg\"><img decoding=\"async\" src=\"http:\/\/i.imgur.com\/S7IgEme.jpg\" style=\"cursor: pointer; float: right; margin: 0px 0px 10px 10px;\" width=\"300\" \/><\/a>Because <a href=\"https:\/\/www.nytimes.com\/2017\/06\/23\/business\/dealbook\/banks-italy-veneto-popolare.html\">European regulators just shut down two Italian banks<\/a>:<\/p>\n<blockquote><p><span style=\"color: blue;\">Friday, in another sign that the eurozone financial system remains vulnerable even as the economy improves.<\/p>\n<p>The central bank said in a statement that <a href=\"https:\/\/www.venetobanca.it\/home\">Veneto Banca<\/a> and <a href=\"https:\/\/www.popolarevicenza.it\/bpvi-web\/home.html\">Banca Popolare di Vicenza<\/a>, both based in northern Italy, had failed or were likely to fail because they did not have enough capital to meet regulatory requirements.<\/p>\n<p>They become the second and third banks to be declared effectively dead by the central bank, which acquired power to supervise eurozone banks at the end of 2014.<\/p>\n<p>The first, earlier this month, was <a href=\"https:\/\/www.nytimes.com\/2017\/06\/23\/business\/lessons-from-the-collapse-of-banco-popular.html?ref=business\">Banco Popular, Spain\u2019s fifth biggest bank. <\/a><\/p>\n<p>Shareholders of the two Italian banks will lose their money, as will investors in so-called junior bonds that are intended to absorb losses first.<\/p>\n<p>But deposits in the bank will be protected, as will investors in so-called senior bonds.<\/span><\/p><\/blockquote>\n<p>After 3 years, 3 banks in a month.<\/p>\n<p>I&#8217;m wondering what is going to happen when (and it&#8217;s when, not if) the ECB actually tries to down a German bank.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Because European regulators just shut down two Italian banks: Friday, in another sign that the eurozone financial system remains vulnerable even as the economy improves. The central bank said in a statement that Veneto Banca and Banca Popolare di Vicenza, both based in northern Italy, had failed or were likely to fail because they did &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[630,456,437],"class_list":["post-180209","post","type-post","status-publish","format-standard","hentry","tag-european-union","tag-finance","tag-regulation"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/180209"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=180209"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/180209\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=180209"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=180209"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=180209"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}