Another big European bank collapses and is bailed out

[cali]

Dexia receives €6.4bn capital injection
By Brooke Masters in London and Scheherazade Daneshkhu in Paris

Published: September 30 2008 08:14 | Last updated: September 30 2008 13:04

The Belgian government stepped in for the second time in 24 hours to rescue a bank as it led a €6.4bn ($9.2bn, £5bn) cash injection for Dexia, the world’s biggest lender to local governments.

Axel Miller, chief executive and Pierre Richard, chairman, are to step down once replacements are found at the bank, which is quoted on the Brussels and Paris stock exchanges
http://www.ft.com/cms/s/0/116457fe-8ebc-11dd-946c-0000779fd18c.html?nclick_check=1

[Barack_America]

1. Ah, so that's why the Belgian stock market did so poorly yesterday.

Makes sense now.

[Kurt_and_Hunter]

2. I can't believe the ECB fell for Bush's bullshit. That bank is fine!

[Oregone]

3. And here is my BIG question....

How the hell is the US bailout plan going to affect Euro/Asian banks? These things are going to start tanking (already are). Its going to be huge when B&B goes under (100 billion pounds?). This thing is going to be global (just like the Great Depression). Our trading partners are being hit hard (meaning they cannot buy our products even if we continue to produce them), and hell, even Canada, with a somewhat sound banking system is injecting government cash to advert a credit freeze. How the hell is a bailout plan focused on the US domestic side going to fix anything in the world that may or may not trigger devastating economic conditions for all industrialized nations?

[Kurt_and_Hunter]

4. Every central bank is doing stuff in concert

Our bill wasn't meant to save the world. It's not even the bulk of Fed/Treasury intervention.

People are planning and implementing similar actions everywhere.

But we can drag anyone down no matter how smart they are... we are very big. That's why everyone wants us to get with the program.