To get some idea of the distrust or lack of confidence in the system one indicator that is useful is the TED spread. Here is the address for it on Bloomberg: http://www.bloomberg.com/apps/quote?ticker=.TEDSP%3AIND . In 1987 this spread went above 4% for a brief period like a day or two. Look at how long it has been over 4% now. This is the rate banks will lend to each other. I hope this helps a bit to give some insight into the situation out there.
Regards, Tim
