Barclays - is the Clay melting?
Barclays needed to borrow 1.6B pounds from the Bank of England to settle their trades. They should have enough to cover this, as it is a fairly sizeable institution, however they obviously did not.
Cracks are still there, becareful out there. The markets are poised to be strong today thanks to proper action by Bush and an anticipated rate cut. As the market rallies (and it could rally over the next week or two) I would start easing long positions or protect yourself from the down side.
I still think the markets will take a hit due to the reajusting of the asset/earnings value from the banks, especially if some are in threat of going under. And we will not know this until they report in a late Sept/Oct.
