From UK's Independent: 'Shares to fall further, banks will go bust'

[Karmadillo]

Not the cheeriest article. I thought we were supposed to believe and clap our hands in order to make a rally happen during tomorrow's trading.

http://business.guardian.co.uk/story/0,,2150499,00.html

'Shares to fall further, banks will go bust'

Julia Finch, City editor
Friday August 17, 2007
The Guardian

A top-performing fund manager warned yesterday that the markets turmoil would result in "one of the greatest banking crises in decades".

Ken Murray of Edinburgh-based Blue Planet - whose Worldwide Financials Investment Trust has been one of the best-performing financial funds in recent years - said: "The credit cycle has turned, bad debts are soaring, banks will go bust and stock markets will fall much further."

His views are among the most pessimistic, but institutional UK shareholders are almost universally gloomy about the outlook for the markets and deals.

Anthony Bolton of Fidelity - one of the most respected fund managers in the City - said yesterday he expected the volatility to continue "for the time being". Mr Bolton shocked the City in May when he warned that bank lending had become too risky. He revealed then that he had sold nearly all his financial stocks and had shorted stocks so that Fidelity investors could profit from falling prices.

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