ESMA published a risk dashboard that covers the third quarter of 2014. The risk dashboard analyses liquidity, market, contagion and credit risks in European financial markets. ESMA finds that
- Systemic stress indicators have increased, after experiencing a calm second quarter of 2014.
- Contagion risk has augmented, but liquidity and market risk remain on high levels, with potential for further increases.
- Credit risk reduced, but remains at a high level.
- Market sentiment is at odds with sluggish economic fundamentals and guarded expectations.
