The stress test results gave banks 30 days to come up with a plan for raising capital and then six months to execute on the plan. Well, no offense to Big Brother, but the banks are tripping over themselves to sell equity to be in the position to repay the double-dealing government overlords.
It's often been said that rallies can just as easily die on light volume as they can on heavy volume, and today is a good example of the former.
Futures are weak as commodities and commodity stocks are down, along with some financials which have announced secondary offerings today.
In the world of banking, too-big-to-fail may be in the process of morphing into too-big-to-exist.
Some market watchers are speculating that the stress test results could trigger a string of mergers.
US banking regulators released results of the stress tests on the 19 biggest American financial institutions, saying which banks need additional capital to survive a worsening of the economy
"The government will try and spin the results positively, and argue that most financial firms are in good shape and no one firm “failed” the test. But the market should know differently. Because the stress tests applied consistent standards across banks, the relative ranking of the banks will be quite accurate. The losers will be out there for us all to see," writes Roubini and his colleagues.
After months of speculation, the veil will be lifted on Thursday. What should you expect from the official results of the bank stress tests?
The bank stress tests may not only be misguided policy, critics say, but may actually conflict with two other key government initiatives to stabilize the financial system.
Shares of bank stocks soared even as the government told some of the industry's leaders that they'll need to raise billions to pass stress tests.
The existing US banks have survived tough economic conditions over the past half year, which can be assimilated to a real-life stress test, Bob Parker, vice-chairman at Credit Suisse Asset Management, told CNBC.
Citigroup is holding its annual shareholder meeting Tuesday. CNBC's David Faber reported on the state of global and regional financials. (Updated.)
Why are traders flooding bearish positions on Zions Bancorp on Tuesday?
While indicating a modestly lower open earlier this morning, the markets turned around late in the morning on a strong rebound in financials and the digestion of a series of less pessimistic comments by corporate executives.
The slumping economy negatively impacted many smaller companies that reported earnings on Tuesday. The following are some firms that reported earnings before the opening bell:
The markets are poised for another weak open following a big round of earnings reports this morning. The earnings picture was far from pretty too, with many companies, from large industrials to regional banks, showing continued weakness in business conditions over the past quarter.
Bob Auer of the Auer Growth Fund has some definite standards for choosing stocks. He gets a chance to use them every earnings season — and this tough time is no exception.
Banks were hurt by a recent report by Mike Mayo, Cramer tells you why you should pay no attention to it, and points out the best and the worst in the sector.
Many of the recent fixes in the financial sector are merely "window dressing" and problems still persist in the banking sector, says veteran baking analyst Michael Mayo.
A few of them look attractive right now, Cramer says. Here's one of his top picks.