Stress Test Leak: BAC Needs $34 Billion In Capital

Discussion in 'Wall St. News' started by MrDODGE, May 5, 2009.

  1. Bank of America to need $34 bln in capital-source
    Tue May 5, 2009 9:42pm EDT

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    WASHINGTON, May 5 (Reuters) - Bank of America (BAC.N) has been deemed to need an additional $34 billion in capital, according to the results of a government stress test, a source familiar with the results said on Tuesday.

    A Bank of America spokesman declined comment. (Reporting by Karey Wutkowski; Editing Bernard Orr)
  2. Bully Bully
  3. This why futures are down 100?
  4. Yes
  5. yea and the futures keep falling
    ES - 12.25
    YM - 96 .00
  6. Not sure why this is a surprise, unless you were expecting them to magically find all the banks were it the magnitude? Seems like chump change.
  7. Fuck...........................
    Great news for my shorts though. Hahaha to the bulls.
  8. Considering they said two days ago they though C may ONLY need 10BB (and it is by most deemed to be in worse shape that BAC) I would think it could be a negative - though you are right everyone knew/knows they banks need more capital. Just a question of what the market has priced in.
  9. I would expect Citigroup to need $50 billion +++ after this report.
  10. Another 34B. That's a drop in the bucket. They just have to run the presses in overtime for a few weeks.

    No problem guys. The US is in great shape. Just print more money everything will be fine.
    #10     May 5, 2009