Comments on: Stock markets suggests US banking crisis does not appear to be mirrored in Canada http://blog.communitylend.com/2008/10/05/stock-markets-suggests-us-banking-crisis-does-not-appear-to-be-mirrored-in-canada/ Starting the conversation about P2P Lending in Canada Fri, 12 Mar 2010 05:24:46 +0000 http://wordpress.com/ hourly 1 By: Colin http://blog.communitylend.com/2008/10/05/stock-markets-suggests-us-banking-crisis-does-not-appear-to-be-mirrored-in-canada/#comment-199 Colin Mon, 06 Oct 2008 16:25:58 +0000 http://communitylend.wordpress.com/2008/10/05/stock-markets-suggests-us-banking-crisis-does-not-appear-to-be-mirrored-in-canada/#comment-199 Alan ... agreed their nothing to cheer about in this mess. There is a relative distinction between Canadian banks and US/UK banks that the market is recognising, otherwise we would see the same percentage drop as we are in the overall market. One thought I had was the work Purdy Crawford and the Feds did last year to stabilise $35Bn in ABCP. Perhaps that along with the early recognition in loan losses by the Canadian Banks has forestalled the wrath of investors. Alan … agreed their nothing to cheer about in this mess. There is a relative distinction between Canadian banks and US/UK banks that the market is recognising, otherwise we would see the same percentage drop as we are in the overall market. One thought I had was the work Purdy Crawford and the Feds did last year to stabilise $35Bn in ABCP. Perhaps that along with the early recognition in loan losses by the Canadian Banks has forestalled the wrath of investors.

]]> By: Alan http://blog.communitylend.com/2008/10/05/stock-markets-suggests-us-banking-crisis-does-not-appear-to-be-mirrored-in-canada/#comment-198 Alan Mon, 06 Oct 2008 16:05:58 +0000 http://communitylend.wordpress.com/2008/10/05/stock-markets-suggests-us-banking-crisis-does-not-appear-to-be-mirrored-in-canada/#comment-198 A 19% drop in the financial services index (Canada) is not considered worrying or correlated? Sheesh! Canada is not a major financial player (compared to the US) so there is an element of safety in being less active but a 1/5 drop in value is still enormous. TSX' declines are across the board, but notably in resources as well (reflecting anticipated economic slowing). While the crisis is not mirrored, there is little to cheer about. A 19% drop in the financial services index (Canada) is not considered worrying or correlated?

Sheesh! Canada is not a major financial player (compared to the US) so there is an element of safety in being less active but a 1/5 drop in value is still enormous. TSX’ declines are across the board, but notably in resources as well (reflecting anticipated economic slowing).

While the crisis is not mirrored, there is little to cheer about.

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