The Banque de France identifies financial signals comparable to those observed before the 2008 subprime crisis

▤ Summary

The Banque de France warns that private credit now shows patterns similar to the subprime market before the 2008 crisis. It highlights the opacity of private credit valuation, the difficulty of knowing who holds what, and the role of securitization in spreading risk through financial markets. The report also flags rising exposure to software and AI-related borrowers, where weaker revenue expectations could pressure asset values. It adds that U.S. equity markets remain vulnerable because a small group of technology stocks drives much of the performance. The article is relevant to software and fintech observers because it points to stress in software lending and AI-linked financing.

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