Hey there! Sign in to have your say on this topicNew here? Join for free to post

Banks getting ready for ‘economic nuclear winter’.

Announcements Posted on
Four hours left to win £100 of Amazon vouchers!! Don't miss out! Take our short survey to enter 24-10-2016
    • Thread Starter

    Weak corporate earnings, a banking crisis, and the Brexit vote are forcing banks to prepare for the worst case scenario in the second half of the year. According to CNBC quoting a major lender, banks are "preparing for an economic nuclear winter situation."

    "This could mean triggering Article 50, a referendum in other European nations leading to a break-up of the euro or sterling hitting below $1.20 or lower. The banks are ready for anything now," the source in the bank told the broadcaster.

    After the United Kingdom voted to leave the European Union in June, there have been talks a similar referendum may be held in France, the Netherlands and other countries.

    "Markets hate uncertainty and the events this year have unfortunately created a lot of mystery around what is going to happen next," the source added.

    Shares in the biggest banks have been plummeting. Deutsche Bank has lost almost 45 percent, Credit Suisse has lost 41 percent and the Royal Bank of Scotland went down 35 percent in 2016. Uncertainty and volatility has been spotted in all areas of the economy from mining to car production.

    Read More:

    I am ready for the apocalypse my friends. Hit the locals and the mini markets, avoid Tesco.

    In fairness to those 3 banks their shares have been **** for a long time RBS for obvious reasons, DB having a balance sheet loaded to the gunnels with non performing crap assets and CS is run by oiks to begin with, They've been sneered at since buying First Boston years back.
Write a reply…


Submit reply


Thanks for posting! You just need to create an account in order to submit the post
  1. this can't be left blank
    that username has been taken, please choose another Forgotten your password?
  2. this can't be left blank
    this email is already registered. Forgotten your password?
  3. this can't be left blank

    6 characters or longer with both numbers and letters is safer

  4. this can't be left empty
    your full birthday is required
  1. Oops, you need to agree to our Ts&Cs to register
  2. Slide to join now Processing…

Updated: August 29, 2016
TSR Support Team

We have a brilliant team of more than 60 Support Team members looking after discussions on The Student Room, helping to make it a fun, safe and useful place to hang out.

What do wear to bed?
Useful resources

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.