..Apocalypse Now? Markets Tumble as Europe Approaches “Tipping Point”
..By Aaron Task
Global stocks and commodities tumbled Thursday amid a string of disappointing conomic reports and fears of meltdown in Europe’s banking system.
“The rapidly burning fuse is in the European banking system, particularly in France, and Europe is getting very close to yet another tipping point,” PIMCO’s Mohamed El-Erian writes in The Financial Times, which separately reports executives of BNP Paribas plan to tour the Middle East in an effort to raise capital this week.
Amid acute concern over French banks, the CAC 40 plummeted more-than 5% intraday in Paris Thursday before stabilizing a bit. Major bourses across Europe were down more-than 4.5% in recent trading and the price of credit default swaps on European corporate and sovereign debts were surging; the price of default insurance on German and French sovereign debt hit record levels, Bloomberg reports.
Yep, they told Tubo Tim he did not know what he was talking about….the last laugh?