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theguardian - 1 days ago

US dollar set for worst week since August amid trade tensions – business live

Rolling coverage of the latest economic and financial newsJitters are rising about US regional banks, after two lenders disclosed issues with bad and fraudulent loans.Regional banking stocks fell sharply yesterday, as Wall Street fretted about the state of credit markets.Financial stability risks reared their head [yesterday], with two separate regional banks announcing a significant write down due to exposure to one major borrower. Such events raised fears about systemic risks.While meaty, the size of the bad loans in and of itself is unlikely to pose risks to the overall system. However, the underlying cause of the write-down is lax lending standards and fraud, stoking fears that such behaviour is endemic and liable to see similar defaults occur. Continue reading...


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