Tag Archives: eonia

The last time I lent out EUR18 billion….

This whole Cyprus situation is crazy for more than the obvious reasons, it reminds me of the last time I lent out EUR18 billion. In 2007 I was a repo trader at a large “overleveraged” US bank. One of my … Continue reading

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Euribor Spreads Show Worrying Reminder of 2008

The spread between secured and unsecured lending in the interbank markets as measured by the spread between 3-month Euribor and 3-month Eoniaswaps has taken a dangerously similar path to before the collapse of Lehman Brothers. Figure 1: 3mth Euribor spreads … Continue reading

Posted in Bailout, Banking, ECB, Euro Zone, European banks, European Central Bank, Germany | Tagged , , , , , , , , , | Leave a comment