Hypo Real Estate collapses

Look, it’s a German bank for a change… and the first of my stocks that got wiped out by the crash. They are still in business but only due to a €35 billion infusion by other banks. No dividend this year, unsurprisingly.

Apparently this was not due to risky investments the bank itself had made but simply because they relied heavily on interbank loans which they could no longer afford, thanks to the ongoing panic. So it’s an indirect victim of the American housing crash as it strangles the international finance system.