I can't find that article anymore but a few days ago I read an article showing that since August, French banks have largely reduced their exposure to other European countries' debt. By largely I'm speaking of figures ranging from 40% to 80%, depending on the Bank.
What was more disturbing in that article is that it clearly shows that the activity of those banks is still very sane and that they made profits and all indicators are green even through the last few months. In other words, besides market speculation, nothing justifies the 20% drop of the CAC40 or 50% drop for certain groups (Carrefour is now worth less on the market than their assets).
I'll reach back when I find the article.
Edit: I believe it's this article, but it's now behind a paywall:
Here is a related link from the WSJ, essentially saying that French banks are reducing their exposure to Greek debt (and to other governments as well):
I'd say that their assets in China only are worth more than this. Carrefour has literally withdrawn from Thailand (they had a large and well placed fleet of shops and a good reputation) to invest everything in China. They had long been in China before that but that's just to give an idea of how seriously they take the Chinese market. Their strategy is to be fully implemented throughout the country when the middle class fully emerges. If such a middle class ever emerges, they will be terribly wealthy.
Which is why Walmart et al. are desperately trying to build brandshare there. They don't want to be left out of the China frenzy and "stuck" with the reliable old US embarrassment of riches.
What was more disturbing in that article is that it clearly shows that the activity of those banks is still very sane and that they made profits and all indicators are green even through the last few months. In other words, besides market speculation, nothing justifies the 20% drop of the CAC40 or 50% drop for certain groups (Carrefour is now worth less on the market than their assets).
I'll reach back when I find the article.
Edit: I believe it's this article, but it's now behind a paywall: