Wall Street giants Bank of America and Goldman Sachs are positioning themselves as short sellers in the European private credit market, warning investors about a potential 30% downside risk. The move comes amid mounting pressure and concerns over systemic risks, reminiscent of the period leading up to the 2008 financial crisis.
In response to these developments, some analysts have expressed views that media attention on private credit is “excessive” and focuses on “low-value data points.” Meanwhile, European banking executives are working to reassure investors about the robustness of their portfolios.
Source: https://news.futunn.com/en/post/70283650/the-scent-of-2008-bank-of-america-recommends-shorting-european?level=1&data_ticket=1770715472297499