Intesa Sanpaolo Halted Twice On French Downgrade Rumor, Euro Drops

Tyler Durden's picture

Update: Unicredit halted

As we predicted yesterday, the Italian market is hating its life right now, with traditional whipping boy Intesa Sanpaolo being halted half an hour ago, resuming trading, dropping 8.2%, and then getting halted again. Same thing with Banco Popolare which was halted down 6.02%, and we expect Unicredit is due for a halt next. The catalyst: a fresh new rumor that France is about to be downgraded, which would send all of Europe into a risk flaring tailspin as it would obviate the EFSF even before it has been launched. The rumor is also rattling the EURUSD, which has dropped about 50 pips from the highs. As a reminder, this is not the first time the French downgrade rumor has emerged, however it is the first time since a rumor about a major AAA-rated country downgrade was proven to be true (ref: last Friday).

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SheepDog-One's picture

Whiplash! Someone call a lawyer! This ride should come with disclaimers and an insurance policy!

Snidley Whipsnae's picture

For sure! Dow futures now down 202...

Sudden Debt's picture

Does a stockmarket crash if you put your head in the sand?


Sudden Debt's picture



a topic.... hmmm....

what about......



RIOTS SPREAD FROM ENGLAND TO THE REST OF THE EUROPEAN CONTINENT!! (lot's of discussions on facebook and twitter seem to point into that direction for the moment)


unky's picture

Yeah, just like they spreaded from Spain into the rest of europe a few month ago ? I dont think so,  it needs more than that,  hyperinflation or so

Quintus's picture

There must be something in the rumour.  Sarkozy has jetted back to Paris and is dashing about re-assuring everyone that their fiscal plans will be in place to keep the AAA rating.

He wouldn't cut short his holiday if there wasn't a credible threat.

Sudden Debt's picture

he forgot to take his high heels slippers to walk on the beach....


A.W.E.S.O.M.-O 4000's picture

Yo Snap! No, wait. "Sacré Le Snap!"

Cdad's picture

Would love to short the Euro...but the perpetual interventions there by China make it damn near impossible to enter the trade well.

I suppose the best way to see the trade is to take it longer term.  Just as gold will finally go parabolic when the end comes, so too would a short euro trade finally be a home run.  It seems like shorting the euro is ONLY an end of the world trade.

slaughterer's picture

Short the Euro against the Canadian dollar. 

Sudden Debt's picture




Ethics Gradient's picture

I though you Belgians and the French loved each other. No, no, sorry, I'm mistaken. I was thinking of the Belgians and the Belgians, no, oh, that doesn't work either.

As a nation, you lot don't really get on with anyone. Have some patience, though. Given current demographic trends, in 2018 Brussels could vote to twin with Mecca.

Sudden Debt's picture


There's me, myself and of course I!

Catullus's picture

What I love most about yesterday's stick save rally is how much volume was churned through at the highs. Fresh meat.

Anyway, Germans, are you reading this? You can now bail out the Frenchies now too. Throwing good money after bad. Does that translate into German?

Stumpy's picture

Don't know if you're a gamer, but "fresh meat" is the scariest thing I've heard in a game.

John Law Lives's picture

<<<  hrowing good money after bad. Does that translate into German?  >>>


Werfen Sie gutes Geld schlechtem Geld.

NoClueSneaker's picture

Eher stolpern :-P


DM 2.0 oder RMB sofort ?

Sudden Debt's picture
die Mark geht sicher zurück. Jeder Europäer wünscht ihren alte Währung zurück
cossack55's picture

Freakin' funny, SD.



unky's picture

does it even matter? in the end nobody will/can pay this. i feel good this finally all comes to an end and PM prices go ballisic

bigdumbnugly's picture

fade outdoor bistro's?

Mr.Kowalski's picture

If for some reason the French are not able to kick in their share of the EFSF, EUtopia would be in some serious trouble. Germany would do what it could, but it would not be enough to save the Euro currency.

unky's picture

you underestimate germany ;- )

cossack55's picture

The French have a history of that.

joshua10's picture

And Down Goes Frazier.

HAL 9000's picture

Yes. It's puzzling. I don't think I've ever seen anything quite like this before. I would recommend that we put the unit back in operation and let it fail. It should then be a simple matter to track down the cause. We can certainly afford to be out of communication for the short time it will take to replace it.

Paralympic Equity's picture

Now denied by Warren Woody's which affirmed its AAA rating, outlook stable...

SheepDog-One's picture

Hell with it just halt the world! 

disabledvet's picture

That was quick. I thought waterfall sparkles was going to chime in and save the day. Where is our Waterfall Sparkles btw? Perhaps a little futures pixie dust is in order?

SheepDog-One's picture

Bernankes with his herd of pink unicorns filling bags with tasty Skittles that they shit piles of. HFT traders gotta eat ya know.

americanspirit's picture

Downgrade a great nation like France? Heck, you might as well downgrade the USA. Oh...

Sudden Debt's picture

Better put a bottle of red wine in the microwave and put some cheese in the freezer because the party will soon start!


Paralympic Equity's picture

Now Fitch also affirmed AAA, outlook stable...

Snidley Whipsnae's picture

One day will be witness to THE EVENT that sends this entire world financial system into the abyss...

Maybe that is why we continue to watch?

Franken_Stein's picture


Oh my God !

We are all gonna die !




Reggie currently at +1100 %


SheepDog-One's picture

We was all gonna die in the first place...may as well go out with a bang and a party! The trick is figuring out what you can do that will cause others later to make a statue of you. Hmmmm.

slaughterer's picture

S&P has no intention of downgrading France.  This rumor is noise.  Read the article on it today in the ZH docket. 

RobotTrader's picture

5-yr. yield now .91%

Why not downgrade Uncle Gorilla to AA- and watch the 5-yr. go to .51%???

Bahamas's picture

Banca intesa is a recent creation that includes Cariplo+Banco Ambrosiano Veneto+Banca Commerciale Italiana+Banco di Napoli+Istituto Bancario San Paolo di Torino+Cassa di Risparmio di Firenze+other minor banks from south and central Italy.

It 's a big conglomerate still full of plenty old school workers and old time garbage.  The joke on Banca Commerciale Italiana was: they hire 3 people just for the mailing service, 1 to put it in the envelop, 1 to lick it and one to stamp it.  And that's a bank from can only imagine Banco di Napoli what holds in its belly. Not to mention Banco Ambrosiano, born from the still hot ashes of Calvi Banco Ambrosiano.

Paralympic Equity's picture

SocGen now down 11,5%...that is worth something right?

Miss Expectations's picture

Here's an "In the Mood" video repleat with tail spin:

OpenEyes's picture

futures down 248... fire up the Teleprompter?