This analysis from Bloomberg is based on some fairly modest economic assumptions. Most of the banks in question are state and regional banks that have not enjoyed the largesse of the Fed and Treasury like the free-spending, Wall Street money center banks, who are sharply curbing lending and raising rates on credit cards and other revolving debt aggressively even for customers with excellent credit and no history of non-payment.

 

As you might suspect, even the worst of the banks with large percentages of non-performing loans all claim to be 'well capitalized' by regulatory standards.

 

If as indicated more of the smaller banks fail, we will be left with a few, larger, more potentially lethal financial institutions.

 

The Obama Administration policy decisions, particularly the programs and reserves decision enabled in October 2008, appear to be favoring Wall Street heavily, monetizing debt for the Primary Dealers and the Wall Street market players, while choking off the consumer and the state and regional banks.

 

Policy decisions have impact, especially when they have the weight of the Federal Reserve, the Treasury, the Congress, and a powerful President behind them. The question becomes are they the right policy decisions? How were they crafted?

 

Regretfully, most of them were done behind closed doors, with little public discussion or scrutiny, crafted by an army of lobbyists, campaign donors, and crony capitalists galore.

 

http://www.nakedcapitalism.com/2009/08/guest-post-more-than-150-us-banks-are.html

 

Also check this out about mortgage resets coming;

 

The FDIC is dead, also:

 

http://www.financialsense.com/editorials/conrad/2009/0804.html

 

It can only cover 2/10th of a cent for each dollar it protects.

 

They have unlimited supply from the Fed and/or Treasury so they'll never officially go bankrupt.

Yea mayne government can print all the money it wants it's the government and the government is just looking out for you you idiots!

Josh's use of the word "mayne" goes well with his avatar.

hahaha no doubt holmes

Why? Are we being racist here? Is it just because I have a black person in my avatar?

Why? Are we being racist here? Is it just because I have a black person in my avatar?

Are you black!?