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http://uk.finance.yahoo.com/q?s=GLE.PA

Not fallen off a cliff on the share price.

Down 13% on the day.

Same for the other French banks. It's not obvious why socgen might be in a worse position, but you never know I guess as they do have a bit of a liking for big positions in obscure derivatives. Most likely though, they're all being marked down due to exposure to EU sovereign debt given there's a good chance of them taking a haircut at some point. If they get the chance, I assume they'll unload a pile of it onto the ECB shortly.

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http://www.bloomberg.com/news/2011-08-09/france-in-crosshairs-as-germany-enjoys-sole-safe-haven-status-euro-credit.html

France’s borrowing costs are rising as Europe’s debt crisis makes investors wary of lending to any nation other than Germany.

“There is only one sovereign in Europe, and that is Germany,” said Stuart Thomson, who helps oversee about $120 billion as a portfolio manager at Ignis Asset Management in Glasgow. “Everything else is a credit and trades like a credit, even France.”

Investors currently demand about 90 basis points of extra yield to buy 10-year French debt rather than German bunds, even though both carry AAA grades from the major rating companies. That spread is almost triple the 2010 average of 33, and compares with 17 in the second half of the previous decade. The cost of insuring French debt rose to a record today.

The market doesn't like France today.

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Out of interest did Zerohedge post before or after the sell off started?

Rumours can become self fulfilling prophecies very quickly.

The subject of the Zerohedge article was 'socgen down 17%' which would imply not. I find it reasonably hard to believe that an article on there could produce that kind of movement in a stock of that size too.

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  • 439 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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