John Carney wonders whether MF Global might turn out to be simply the first of many banks to go bust in a European financial crisis.
Here’s one upside to the fact that Europe finds it almost impossible to agree on anything these days: even a half-baked deal like the one we got last night managed to significantly exceed expectations, making it seem that it’s being ratified by market action today.
You won’t be surprised to hear that shareholders in Allied Irish Banks have not done very well for themselves in the past five years. It did go bust, after all, and had to be nationalized; the share-price chart is above. But recently, as part of the recapitalization of the bank, the number of shares outstanding rose dramatically. Here’s the announcement, which doesn’t quite spell things out:
The latest CBO report on income trends says nothing particularly surprising, although it does underline quite emphatically what we already knew about the 99% and the 1%. In particular, the key message, both in charts and text, is all about the 1% and how they’ve torn away from the rest of the population in the past 30 years.