European banks have invested almost €210bn in sovereign bonds since the coronavirus pandemic, which though manageable for the time being, could lead to new bank-sovereign doom loop, warns S&P.
Tension between the Italy and the EU on the draft budget is easing a bit. Still, the elevated sovereign yield can trigger the Sovereign-Bank Doom Loop. The non-performing loans problem could further ...
As investors scrambled for more clarity on the Italian budget plan that roiled its markets on Friday, at least one thing was clear: Ten years after the financial crisis, the sovereign-bank “doom loop” ...