Thara – A contrarian sign of things to come in the future? Relaxing requirement for setting up a bank is a sign that people is becoming complacent about the future risk of bank collapsing. It seems that the memory of 2008/2009 is slowly being locked away in the deepest part or our brain, only to resurface during the next crisis.
Does that mean we are more likely to see banking sector outperforming other sectors? Or this is a sign that market (bankers) is expecting a rate rise soon? Only time will tell.