Video: Inter-bank credit markets virtually froze this week

Video: Inter-bank credit markets virtually froze this week


The international inter-bank credit markets virtually froze this week as banks stopped trusting each other.

They were petrified in the wake of the shock collapses of AIG, Washington Mutual and Lehman Bros, the forced mergers of Merrill Lynch, Halifax Bank of Scotland and Wachovia, and the bailouts of Fannie Mae, Freddie Mac, Bradford and Bingley, Fortis and Dexia.

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