BoE's Bailey says 'alarm bells ringing' on private credit after US failures | Metals Mine

  • BoE's Bailey says 'alarm bells ringing' on private credit after US failures

    From sharecast.com

    The recent collapse of US firms First Brands and Tricolor has raised concerns about the strength of the private credit market, Bank of England Governor Andrew Bailey warned on Tuesday, as he compared the failures to the sale of sub-prime mortgages that caused the 2008 financial crash. Bailey said the BoE planned to conduct a "stress test" with the private equity and credit industry. An annoucement would be made before the end of this year, with the exercise completed in nine to 12 months "Are these cases idiosyncratic or are they what are called 'the canary in the coal mine'? In other words are they telling us ... (full story)

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DaJoWaBa
Oct 21, 2025 8:23am
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Quoting Trader#3A30
{quote} Oh no. Reminds me of a controlled burn the fire department performed near my house several years back. We were evacuated only hours later because their "controlled" burn very quickly became "out of control" and damn near killed all of the nearby residents.
Or someone wanted to flush you out of your cover!
Reply
DaJoWaBa
Oct 21, 2025 8:50am
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Quoting Trader#30EB
Yes, of course, everything is terrible. That’s exactly why worldwide equities are screaming to new highs and people are buying bonds too. Maybe look at the reality of actual markets before posting yet another overblown panic fake news article. If this were true, prices would reflect it, so by definition it’s not true. A handful of small companies going under means nothing compared to multiple trillion dollars companies making huge profits.
Para 1: That's always the case until it isn't and they don't.
Para 2: It's an article based on something Bailey said, so it's not fake news. You can complain about Bailey for lifting the carpet to see what's swept underneath if you like but it is part of his/BoE's brief to be watchful for the snowball that can become an avalanche. Trust is key, as we have seen many times before.
Para 3: Beware the butterfly flapping its wings on the other side of the world. Even a handful of companies can become an issue when they're cross-investing, indebted or overspending huge amounts of CASH for little actual visible future returns.
Parties don't go on forever.
Reply
Schultz
Oct 21, 2025 8:36am
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The recent collapse of US firms First Brands and Tricolor has raised concerns about the strength regulation of the private credit market

He can't even get the basics right. There, fixed it.
Reply
Trader#3A30
Oct 21, 2025 7:52am
Permalink
Quote
...Bailey said the BoE planned to conduct a "stress test" with the private equity and credit industry...

Oh no. Reminds me of a controlled burn the fire department performed near my house several years back. We were evacuated only hours later because their "controlled" burn very quickly became "out of control" and damn near killed all of the nearby residents.
Reply
Trader#30EB
Oct 21, 2025 8:27am
Permalink
Yes, of course, everything is terrible. That’s exactly why worldwide equities are screaming to new highs and people are buying bonds too.

Maybe look at the reality of actual markets before posting yet another overblown panic fake news article.

If this were true, prices would reflect it, so by definition it’s not true. A handful of small companies going under means nothing compared to multiple trillion dollars companies making huge profits.
Reply
Trader#3A30
Oct 21, 2025 8:35am
Permalink
Quoting DaJoWaBa
{quote} Or someone wanted to flush you out of your cover!
Sorry. I live in a democracy. We don't have Dictators or Terrorists doing that here. The "controlled burn" was to "mitigate risk". Also something Terrorists and Dictators don't perform let alone understand the definitions of. They tend to have a naaaah screw it, let 'em all burn type of mentality.
Reply
Trader#94DE
Oct 21, 2025 9:37am
Permalink
Quoting DaJoWaBa
{quote} Para 1: That's always the case until it isn't and they don't. Para 2: It's an article based on something Bailey said, so it's not fake news. You can complain about Bailey for lifting the carpet to see what's swept underneath if you like but it is part of his/BoE's brief to be watchful for the snowball that can become an avalanche. Trust is key, as we have seen many times before. Para 3: Beware the butterfly flapping its wings on the other side of the world. Even a handful of companies can become an issue when they're cross-investing, indebted...
People have been saying that everyday for 5 straight months and have been 100% wrong for 5 straight months. As far as I know I’m literally the only person on this website telling people for five months that stocks are going higher. It’s quite simple, I posted multiple times that 6550 wa shirts support in the SPX before we tested it. It was tested and held perfectly. Until a support level is breached equities have no choice but to go higher. So posting negative headline or posts is just dumb, anyone who shorted the market at any time has gotten destroyed. The market will tell you when a turn is happening, you will go bankrupt trying to call a top everyday.
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Trader#2FDF
Oct 21, 2025 7:33am
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Yea good crash it hard let everything collapse
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Trader#A306
Oct 21, 2025 8:25am
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Now we know where will go all these U.S. tariff proceeds to bailout.
Reply
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