Coming very soon: a major European banking crisis.

by mark000

Few mainstream commentators understand the seriousness of the economic and monetary situation, from a V-shaped rapid return to normality towards a more prolonged recovery phase.

The fact that a liquidity crisis developed in US money markets five months before the virus hit America has been forgotten. Only a rising gold price stands testament to a deeper crisis, comprised of contracting bank credit while central banks are trying to rescue the economy, fund government deficits and keep the market bubble inflated.

The next problem is a crisis in the banks, wholly unexpected by investors and depositors. At a time when lending risk is soaring off the charts, their financial condition is more fragile than before the Lehman crisis. Failures in European G-SIBs in the next month or two are almost impossible to avoid, leading to a full-blown monetary and credit crisis which promises to undermine asset values, government financing and fiat currencies themselves.

[Continues at www.goldmoney.com/research/goldmoney-insights/the-path-to-monetary-collapse]

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GSIBS are what they call Too Big To Let Fail these days

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