Skip to comments.The Worst Of The Banking Crisis Is Over
Posted on 12/09/2010 7:31:18 AM PST by SeekAndFind
The New Year is just around the corner so using the most recent 09/30/2010 banking industry data submitted to the FDIC, I have recently compiled the Quanta Analytics List of U.S. Banks in Trouble for 2011 and Beyond. But before I explain how you can obtain this free, no strings attached, no hassle, and no continuous follow-up list, I believe it is important to explain several key points in relation to the Quanta Analytics List.
One, although the banking world may still be struggling, the Quanta Analytics List shows that it is not going to crumble. Even though there are still a significant number of banks in trouble, most of the bill has been paid and the worst of the banking crisis is over. The new Quanta Analytics List of Troubled Banks for 2011 and Beyond identifies 446 banks with a total asset base of $219 billion, which is approximately half the size of the FDICs own troubled bank list which is not made public.
Two, putting the size of the QA troubled bank list into perspective, it is important to understand that the QA list represents less than 5.8% of the banks in the banking industry and that these troubled banks account for less than 1.7% of all banking assets.
Three, not all banking assets are toxic. The total estimated losses that Quanta Analytics expects the FDIC to incur if they had to shutdown all 446 banks on the Quanta Analytics list (which they will not have to do) would be in the range of $13 - $20 billion
Four, the Quanta Analytics List for 2010, which was also less than half the size of the FDICs troubled bank list, contained 52 of the last 53 banks shutdown by the FDIC.
(Excerpt) Read more at businessinsider.com ...
I certainly hope so. It’s bonus season after all. The gloom and doom will no doubt return once the checks are cashed.
Like hell it is over. Has this guy heard of MERS?
In other words, bend over and grab your ankles, here comes round 2.
The end of any banking crisis cannot BY DEFINITION be over until statists have completed their agenda. Bear in mind that a “crisis” serves a purpose. If the purpose is not met, then the crisis will be maintained or re-fed. If a breather is needed, then it might appear to be no crisis. Temporarily, until it is needed again.
All hail Lord Obama!!!!
nothing that billions upon billions in subsidy with our money couldn’t fix
Yea sure it is lol
FDIC says list of ‘problem’ banks grows in Q3
WASHINGTON The number of banks on the Federal Deposit Insurance Corp.’s “problem” list grew over the summer, even as the industry posted solid net income and fewer loans soured.
The number of troubled banks rose to 860 in the July-September quarter from 829 in the previous quarter. That’s the most since 1993, during the savings and loan crisis.
Oh and the quality of their assets...
Are The Banks Insolvent? Fair Question, Given This...
Of course the banks are making money for doing nothing so while it costs you at the store and gas station you receive next to nothing on your savings and small business’s can’t get loans maybe eventually they will be if the rest of us can last that long...
“At the moment, banks are very happy investing their reserves at two or three percent by buying government securities, while borrowing them from the Fed at close to zero. Thats called milking the spread, and explains how the banks continue to profit despite not making loans to small businesses.”
So why is bernanke talking about QE3?
The banks got forked with the forced subprime lending.
The housing industry is still loaded down with lots of empty houses that are still held by the banks.
The debt hasn’t gone away.
I guess since the feds have nationalized the banks, then there is no longer a problem. Their mission was accomplished. Kick the financial can down the road for the grownups to clean up later.
It seems (from looking at history) that the DEMS pillage the economy, when in power, and leave the mess for the Republicans to deal with. Then, after the Republicans hold office (or executive power) for 8 years and finally start making progress again, the Dems take over and then take the credit.
You are seeing it in action.
Only this time, the mess they are creating is much more massive than the ones in the past.
This garbage about the banking crisis is over is the current line from the government media. When the repubs take over in January, I would bet that they change their tune.
This article is the biggest pile I've seen in a long time!
The idiot author is correct only if you ignore the problems the banks are presently facing with rising interest rates (which are about to soar) and fixed rate loan portfolios, the home repo fiasco, resetting ARM's, vast holdings of Treasuries (which are about to dive in market value), falling real estate markets (which are still dropping and will take years to recover), impending mega-inflation (and possibly hyperinflation), etc.
Right now is not a particularly to own bank stocks, IMHO.
>>>using the most recent 09/30/2010 banking industry data submitted to the FDIC
I think this is the crux of his bad assumption: using financial data prepared by accountants, accountants who use rules (FASB and the SEC also) that do not require true reporting. We’ve seen the accounting messes created by Enron and numerous other publicly traded companies with “certified” balance sheets. Lehman had certified statements, but they went “poof” overnight. Then there’s LTCM.
What we need is real transparency: a look at off-balance sheet activities and valuations of assets that reflect reality. This was apparent early on, but I don’t see any improvement in this area. Thus, using numbers submitted to FDIC is just pushing bad numbers around in a sandbox.
The banks are still tip-toeing (hobbling?) past the grave.
Just a member of the Ruling Class trying to tell us it will all be ok, Hold on tight it’s gonna be a rough ride. But seriously, Why does Businessinsider.com allow delusional crackheads to soil their site with such blatant lies and drivel?? The emperor has no clothes and we know it, regardless of your lies, The Game is up and you know it. We the People will prevail over the Den of Vipers.