According to recent reports from the IMF the black hole on bank's balance sheets is now approaching $4 trillion. Of this amount only about one quarter has been owned up to by the banks at present, and, with mounting losses from corporate loan defaults, home equity loans, credit card write-offs and commercial real estate mortgages going sour, the $4 trillion number is probably a conservative estimate.
One question is how much of these mind numbing figures has already been discounted in the stock prices of the commercial banks?
Second question is how much longer can governments pretend that this is a liquidity crisis and not a solvency crisis for some major banks?
Third question is can Bill Gross and his chums rescue the financial system?
If so, they had better get a move on.
Tax and the Civilised Society: Action Day in London, June 8
54 minutes ago