Links: Euro, UK Bank, Sovereign Downgrades, Dexia, Proton, Paulson Advantage, ECRI

wall of banks
Wall of Banks (Dystopos on Flickr, click)
Weekend links on bank bailouts, credit downgrades and other economic concerns

Belgium to Buy Dexia’s Consumer Lending Unit for $5.4B - Bloomberg
"The Belgian federal government will pay 4 billion euros ($5.4 billion) for the division and guarantee 60 percent of a so-called bad bank to be set up for Dexia’s troubled assets, Finance Minister Didier Reynders said at a press conference today in Brussels." (continue reading)

Merkel, Sarkozy Pledge Bank Recapitalization - Bloomberg

Moody's places Belgium's Aa1 ratings on review for possible downgrade - Moody's

ECRI Recession Watch: Growth Index Declines Further (Weekly Leading Index) -

BNP, Socgen deny reported plan to raise $9.4 billion - Reuters

U.S. Bank Exposure to European Debt Crisis Could Be $640 Billion, Per Congressional Paper - WSJ

Greece activates rescue fund to save Proton Bank - Reuters

Paulson’s Main Fund (Paulson Advantage Plus) Said to Lose 47% in 2011 Through September - BusinessWeek

FYI: I found Paulson & Co. mutual fund quotes, via BNP Paribas Japan and Lyxor, denominated in yen focusing on european equities and debt. Links go to

Moody's downgrades 12 UK financial institutions, concluding review of systemic support - Moody's
"The rating actions include a one-notch downgrade of Lloyds TSB Bank plc (to A1 from Aa3), Santander UK plc (to A1 from Aa3), Co-Operative Bank plc (to A3 from A2), a two-notch downgrade of RBS plc (to A2 from Aa3) and Nationwide Building Society (to A2 from Aa3); and downgrades of one to five notches of 7 smaller building societies."

Weale Says Bank of England Can Increase Asset Purchases Plan - Bloomberg

Moody's takes rating actions on Portuguese banks; outlook negative - Moody's

U.S. Consumer Credit Fell $9.5 Billion in August, Fed Says - BusinessWeek

Fund Blamed For Gold Sell Off, Salida Capital, Tumbles 37% In September, 49% YTD - Zero Hedge

Goldman Presents The European Flowchart Of Life (Happiness) And Death (Default Misery) - Zero Hedge

The Four Bad Bears: Final Update (chart comparing Dow 1929 crash, 1973 oil crisis, tech crash and financial crisis) - *more interesting charts there

Europe's Crisis Greatest Since World War II: ECB Official - Reuters

China's debt pileup raises risk of hard landing - Reuters

Yield Spread Confirming Recession Call (AAA-BB bond spread, 10y Treasury-BB) - Pragcap

Concerns grow over Fannie and Freddie debt ("Asian and Middle Eastern central banks and sovereign wealth funds") - Financial Times

Moody's takes rating actions on Portuguese banks; outlook negative - Moody's
"The six banks which experienced downgrades of both their standalone ratings and their debt and deposit ratings are Caixa Geral de Depositos (CGD), Banco Comercial Portugues (BCP), Banco Espirito Santo (BES), Banco BPI (BPI), Banco Santander Totta (BST), and Caixa Economica Montepio Geral (Montepio)."

Fitch Downgrades Spain to 'AA-'; Outlook Negative - Fitch Research
"The downgrade primarily reflects two factors: the intensification of the euro area crisis and secondly, risks to the fiscal consolidation effort arising from the budgetary performance of some regions and downward revision by Fitch of Spain's medium-term growth prospects."

Fitch Downgrades Italy to 'A+'; Outlook Negative - Fitch Ratings
"The downgrade reflects the intensification of the Euro zone crisis that constitutes a significant financial and economic shock which has weakened Italy's sovereign risk profile."

Yang eyes Yahoo buyout with private equity - Reuters (private equity firms, Microsoft, Alibaba's Jack Ma also interested - Business Insider)