Euro crisis big risk to Canadian banks: BoC

photoOTTAWA (Reuters) – Risks to Canada’s financial stability rose sharply in the second half of the year largely because of the European sovereign debt crisis, even though domestic banks remain stronger than in most other countries, the Bank of Canada said on Thursday. “The Governing Council judges that the risks to the stability of Canada’s financial system are high and have increased markedly over the past six months,” the bank said in its twice-yearly Financial System Review. …