Financial CRISIS looms amid global meltdown as banks accused of FUMBLING in the dark
FRENZIED selling continues to grip markets in Asia, as hysteria over a global financial meltdown grows.
By LANA CLEMENTS
Express.co.uk
Wed, Feb 10, 2016
Fears of another banking crisis have forced stocks in European banks down to lows not seen since 2009, as London’s FTSE 100 yesterday closed at its lowest level since 2012.
Panic iooked set to continue today after Japan’s top stock index fell to its lowest level since 2014, while Australian markets reached a two and a half year low.
It comes as investors appear to be losing ever more faith in central banks to significantly control chaos and influence market sentiment.
Michael Hewson, chief market analyst at CMC Markets UK, said: “The slide has continued in Asia overnight as the Nikkei has slumped sharply again as oil price volatility and the stability of the banking sector weigh on investors.
“While it is easy to suggest that the current sell-off is an over-reaction where banks are concerned confidence is everything, and as we know from 2008 once it is gone it is very difficult to get back.
“With economic growth showing signs of slowing, and interest rates already at record lows and in some case negative the capacity for banks to build up resilience and improve their profitability is becoming that much more difficult, as central bankers around the world fumble around in the dark.
“The extent of the threat to the banking sectors future profitability can be summed up in one number, $6trillion, and increasing.
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