Custom Search

Tuesday, May 19, 2009

WSJ on bank losses



I'll save you the trouble of reading 100 bearish blogs, because they'll all lead with this story in the WSJ:

Commercial real-estate loans could generate losses of $100 billion by the end of next year at more than 900 small and midsize U.S. banks if the economy's woes deepen, according to an analysis by The Wall Street Journal.

Such loans, which fund the construction of shopping malls, office buildings, apartment complexes and hotels, could account for nearly half the losses at the banks analyzed by the Journal, consuming capital that is an essential cushion against bad loans.


Total losses at those banks could surpass $200 billion over that period, according to the Journal's analysis, which utilized the same worst-case scenario the federal government used in its recent stress tests of 19 large banks. Under that scenario, more than 600 small and midsize banks could see their capital shrink to levels that usually are considered worrisome by federal regulators. The potential losses could exceed revenue over that period at nearly all the banks analyzed by the Journal.

http://online.wsj.com/article/SB124269114847832587.html#mod=testMod

You can read the paper, or you can read a chart. Which one will make you money?

If the WSJ story is true, then why, are the Markit indexes for commercial mortgage backed securities rocking?

7 comments :

Anonymous said...

Where do you see the financials going over the next month?

Palmoni said...

I'll give you what I like for the next few days--BAC.

Anonymous said...

where do you see bac goin gthe next few days?

is it a buy tomorrow morning?

Coach Factory said...

oakley sunglasses outlet, ray bans, raybans, canada goose outlet, canada goose, oakley sunglasses cheap, cheap oakley sunglasses, ray ban sunglasses outlet, moncler outlet, cheap oakley sunglasses, cheap sunglasses, louboutin, rayban, oakley, rayban, tn pas cher, ugg, discount oakley sunglasses, oakley outlet, canada goose, ray ban, oakley vault, canada goose outlet, ugg boots, ray ban, oakley sunglasses cheap, cheap sunglasses, oakley vault, gucci, moncler, cheap sunglasses, ray ban outlet, ray ban, ray-ban, cheap oakley sunglasses, oakley sunglasses cheap, oakley outlet, oakley sunglasses outlet, cheap oakley, oakley vault, moncler, oakley outlet, ray bans, moncler, canada goose, ray ban outlet, canada goose, ralph lauren, oakley sunglasses outlet

Coach Factory said...

insanity, soccer jerseys, juicy couture outlet, marc jacobs, nike free, bottega veneta, louis vuitton, mont blanc, supra shoes, rolex watches, ferragamo shoes, ugg boots, asics gel, burberry, vans, chi flat iron, louis vuitton, reebok outlet, hollister, timberland, p90x3, air max, wedding dresses, mulberry, lululemon, nfl jerseys, celine handbags, nike air max, jimmy choo, valentino shoes, lancel, ugg boots, oakley pas cher, north face outlet, karen millen, montre pas cher, yoga pants, birkin bag, hogan, ghd, ray ban pas cher, soccer shoes, ralph lauren, new balance shoes, abercrombie and fitch, herve leger, beats by dre, hermes, converse shoes, mcm handbags

Coach Factory said...

michael kors outlet, polo ralph lauren, louis vuitton outlet online, toms shoes, oakley sunglasses, true religion outlet, coach factory, longchamp outlet, gucci outlet, true religion, coach purses, coach outlet, air jordan, louboutin, true religion jeans, kate spade outlet, ray ban sunglasses, nike air max, nike shoes, michael kors outlet, chanel handbags, louboutin, air max, nike free, nike free, prada outlet, oakley sunglasses, michael kors, polo ralph lauren outlet, michael kors, tiffany and co, prada handbags, ray ban, nike air max, louis vuitton handbags, oakley sunglasses, ray ban sunglasses, louboutin, michael kors, jordan shoes, longchamp, louis vuitton, burberry outlet online, coach outlet store, air max, polo ralph lauren outlet, tory burch outlet, ralph lauren,

alice asd said...

cheap ray bans
ralph lauren outlet online
coach outlet
cheap ray ban sunglasses
coach outlet
cheap uggs
coach outlet online
jordan shoes
fitflops sale
hermes belt