Europe’s worsening sovereign debt crisis has spread beyond its banks and the spillover now threatens businesses on the Continent and around the world.
From global airlines and shipping giants to small manufacturers, all kinds of companies are feeling the strain as European banks pull back on lending in an effort to hoard capital and shore up their balance sheets.
The result is a credit squeeze for companies from Berlin to Beijing, edging the world economy toward another slump....
Read the rest at The New York TimesCrisis in Europe Tightens Credit Across the Globe
by Eric Dash and Nelson D. Schwartz
(h/t Calculated Risk)