Hildebrand expects catastrophe on European markets

Philipp Hildebrand, vice president of the American asset manager Blackrock and former president of the Swiss National Bank, is afraid that Brexit is the prelude of a "catastrophe" in European financial markets.

"Nine years after the financial crisis now is coming the second wave," Hildebrand said in an interview with "Süddeutsche Zeitung". To worsen the scenario is the fact that Europe, at this time, has not healed their own banking system and "it was a big mistake." An unforeseeable event such as voting and unwanted output from Britain by the EU, leading financial markets to question the actual stability of European banks.

Hildebrand judges also welcomed the project of the Italian government intends to help the banks with taxpayers' money. When the financial stability is trembling, a state eurozone can support its financial sector with new money, said the former chairman of the SNB, saying he was convinced that Italy, to avoid the worst, will have to recapitalize their banks.