Europe’s lenders are holding their breath in anticipation of the release of “stress test” results Friday. The profit forecasts of 90 banks will be revealed in the evaluation. As many as 15 lenders are expected to fail the test, with casualties in Spain, Greece, Germany and Portugal. However, no large bank is expected to fail. Critics of the stress test say it doesn’t include the impact of the Greek default. Analysts expect that about 110 billion euros will be needed for a second bailout of Greece.
Europe’s lenders await stress tests results
Findings to show up to 15 banks need more capital to withstand recession
FILED UNDER: Euro-stress