... Italy’s banks are struggling under the weight of a 360 billion-euro mountain of bad loans, a plight that has eroded profitability and undermined investor confidence. Taking Monte Paschi into public ownership, which would be Italy’s biggest nationalization since the 1930s, could be followed by rescues of lenders including Veneto Banca SpA and Banca Popolare di Vicenza.
Keep in mind that Italy's GDP is only $1.8 trillion, meaning that it will put over 1% of its GDP into bailing failing banks, for the second time in 7 years!
I have warned about Italian banks since 2010, but the IMF/EC said things were getting better. The IMF has always been overly optimistic when it comes to Italy.
As I've said, I've been warning about Italy's troubled banks since 2010. During the months of March and April of 2016 we released a series of proprietary research reports indicating signficant weakneses that we found in the European banking system and released it for sale through the blockchain (reference The First Bank Likely to Fall in the Great European Banking Crisis). This was performed by the same macro forensic and fundamental analysis team that first warned about the pan-European sovereign debt crisis in 2009 and 2010 (reference Pan-European sovereign debt crisis) as well as Bear Stearns and Lehman Brothers ( .