ECB warns of more bank loan losses (Reuters)

Pro-Palestinian protesters attack police with wooden sticks in front of the Israeli embassy in Athens May 31, 2010. Greek police fired teargas on Monday at demonstrators protesting outside the Israeli embassy in Athens over Israel's storming of a Gaza-bound aid flotilla and the killing of pro-Palestinian activists. REUTERS/Yannis Behrakis (GREECE - Tags: POLITICS CIVIL UNREST)Reuters – The European Central Bank warned on Monday that euro zone banks face up to 195 billion euros in a „second wave” of potential loan losses over the next 18 months due to the financial crisis, and disclosed it had increased purchases of euro zone government bonds.