Deutsche Bank: Subprime Losses May Reach $400 Billion

Back in July, Bernanke suggested the subprime related losses would be in the $50 Billion to $100 Billion range:

"Some estimates are in the order of between $50 billion and $100 billion of losses associated with subprime credit problems," [Bernanke] said (July 19, 2007).

Last week, the Royal Bank of Scotland pegged the total losses at $250 Billion to $500 Billion:

``This credit crisis, when all is out, will see $250 billion to $500 billion of losses,'' London-based Janjuah said.

Now from Bloomberg: Subprime Losses May Reach $400 Billion, Analysts Say

Losses from the falling value of subprime mortgage assets may reach $300 billion to $400 billion worldwide, Deutsche Bank AG analysts said.

Wall Street's largest banks and brokers will be forced to write down as much as $130 billion because of the slump in subprime-related debt, according to a report today by Mike Mayo, a New York-based analyst. The rest of the losses will come from smaller banks and investors in mortgage-related securities.

As I've noted before, Mayo has really been on top of the Wall Street losses.

Also these losses don't include the coming $2+ Trillion in household net worth losses due to house prices falling over the next couple of years.