Hayman Capital Management | Kyle Bass | Excellent Discussion inc. Europe and China (BNN)
Selected Excerpts:
- Japan will follow Europe in debt restructuring
- Europe's banks (with 3X the leverage the US had) have to be recapitalized
- Global Assets $87T >>> $40T reside in Europe - in a post recap world - debt:GDP will be unmanageable
- Fringe EU banks - annualized rate of capital flight >20% - this is the final precursor to a sovereign default - this is happening as we speak
- Central bank thesis - default or inflation - at insolvency of many multiples - are not mutually exclusive - the inflation will create the default
- China banking sector assets have grown by 50% of GDP two years in a row - analogous to $14T into US economy in two years - is another $5T possible for China? Sure.
- Its a disaster in the US, it's a scary place
- Canada: a central banker whom I recently met, and like
No comments:
Post a Comment