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Replacing cheap liquidity supplied by or guaranteed by central banks will also be costly.
We've also flooded the markets with cheap liquidity, which has helped your investment banking businesses flourish.
It's not healthy if investors can count on being bailed out by cheap liquidity if markets slump.
It got enormous public assistance in the form of very cheap liquidity or it too would have crashed".
That speculation is easier because markets are still awash with cheap liquidity injected by the European Central Bank to avert a credit crunch during the financial crisis.
Thus far, there's little indication that those central banks, including the Federal Reserve in the United States, will turn off the spigot of cheap liquidity.
Similar(48)
Further downgrades could mean the bonds might eventually no longer qualify as collateral for Greek banks seeking ultra-cheap liquidity from the central bank.
Jens Weidmann, the head of Germany's Bundesbank, worried out loud this week that some banks will become dependent on cheap ECB liquidity.
Stock markets surged on Wednesday in response to a broad-based currency intervention by the world's central banks, led by the Federal Reserve, to ameliorate the credit crunch by providing cheaper dollar liquidity to the European banking system.
The European Central Bank has intervened sporadically and controversially, buying up government bonds in secondary markets and spraying banks with €1 trillion worth of cheap three-year liquidity.
Essentially, he said, the dispute dampened the company's access to cheaper capital and liquidity, making a sale the primary option left to the company.
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