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Ecb Seeks To Allay Doubts Over Europe's Bank Test

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http://uk.reuters.com/article/idUKTRE66J4LU20100720

One of Europe's top central bankers sought on Tuesday to allay concern that a health check of Europe's lenders was too soft, while three successful debt auctions suggested fears of sovereign meltdown were easing.

European Central Bank Governing Council Member Ewald Nowotny's defence of bank stress tests came as a German bank lobby said the regional landesbanks would pass, and upbeat comments from officials in France, Greece and elsewhere raised concerns the process may not be tough or transparent enough to restore investor confidence in Europe.

"I think they are strict and serious. I observe that some groups have a tendency to raise doubts which is completely unfounded," Nowotny told Reuters Insider in an interview.

"What we have now is an organised stress test and then we have the government reaction to these results ... then at the ECB we will have to look how markets are developing and then we will have to act accordingly."

Europe's assessment of how 91 banks would cope with another economic downturn aims to restore market confidence after the Greek crisis sparked fears the euro zone could unravel and leave banks nursing major losses on government debt.

But while premiums remain high, successful debt auctions by Ireland, Spain and Greece on Tuesday showed fear of a sovereign debt meltdown in the euro zone were easing and stress tests being published on Friday were expected to give Europe's top banks a reasonably clean bill of health. In the first known failure of the stress tests, Germany's nationalised Hypo Real Estate was expected to fall short, a person familiar with the matter said on Monday.

But since Hypo is already being recapitalised with state funds, some analysts said that allowing it to fail would bolster the credibility of the stress tests without posing any additional risks to Germany's banking system.

Wow you sell some debt and it means it's all fixed.

Get the dallas_cowboys.jpg out.

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07-minister.jpg

There will be no bank failures or debasement of currency. Even now, as I stand here before you, our glorious monetary system is rising up etc etc.

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07-minister.jpg

There will be no bank failures or debasement of currency. Even now, as I stand here before you, our glorious monetary system is rising up etc etc.

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07-minister.jpg

There will be no bank failures or debasement of currency. Even now, as I stand here before you, our glorious monetary system is rising up etc etc.

You know, during the Iraq invasion I never noticed Comical Ali's furry tits.

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  • 140 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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