This bubble diagramm gives a good impression of which banks, by market cap have suffered most this year.
The highest percentage losers are the ones that the market thinks are most likely to fail, need bail-outs, increase capital – or generally put: Which will be first to fall off the cliff.
Unicredit, RBS, Credit Suisse, Deutsche Bank, Barclays, UBS – in that order – are considered unsafest by shareholders, currently.
In a normal capitalist world, these weak banks may see themselves
in a death spiral or at least in a negative feedback loop. If you have a lot of money parked with those banks you will be asking yourself the question, is it safe there, should I risk having large liquidity there? Do these banks have derivatives or property investments or loans that will suddenly wipe out the capital, like in 2008 after it began to look dodgy in 2007.
I’ve read lots of articles stating people are worried about a reoccurence of 2007-2009 in last hours and days. Whether it materialises or can be circumvented is a very open outcome. But investors and people in general react by moving on the rumour.
If you’re in a herd and it starts running, I assume in 9 out 10 cases there is a predator lurking somewhere.