Inside Brett Klasko’s World

The financial crisis is far from over, and now some are worrying about UBS.  The Swiss bank’s account holders removed $58 billion in the third quarter, and rumors are swirling that S&P may be on the verge of downgrading its credit rating.  Similar series of events have been the downfall for other banks, but UBS is much more globally diversified than Lehman or Bear.  Still, an S&P ratings cut would cause panic among UBS customers and likely result in another huge bank in a liquidity crunch.  But how would the U.S. government react to a Swiss bank (albeit one that conducts quite a bit of business in the U.S.) that is on the fritz?  This whole mess is far from over, folks.