BNY Mellon Strategist Derrick: 2011 Crisis Could be Worse Than 2008

Thursday, 07 Apr 2011 08:47 AM
By Dan Weil

Many economists say the global financial system is now reasonably safe after suffering its worst crisis in more than 70 years during 2008-09. But Simon Derrick, chief currency strategist at Bank of New York Mellon, isn’t so sure.

He sees some parallels between financial developments now and three years ago before Lehman Brothers imploded. But in some ways, the magnitude of the current problems are greater, he writes in a research note obtained by CNBC.

So what are the similarities? “The front-month Nymex (New York Mercantile Exchange) crude future is trading at almost exactly the same level that it was in early April 2008,â€