At long last the official results of the bank stress tests are out. Who belongs at the head of the class?
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.
Later today the Fed will play King Solomon with the financials deciding who is strong and who is weak. Considering the recent run in banks, has Wall Street gotten it right?
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 financials were up on Wednesday after Washington seemed to take the market's worst-case scenario off the table.
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.
As we get better economic news, stocks set the bar higher. I noted this morning that "less bad" was no longer good enough to move stocks forward, the new standard is "much less bad," and even that may not last long.
They say the truth shall set you free. Well, it looks the banks are going to be really free.
Stocks opened higher Wednesday and continue to climb mid-morning — despite a glum GDP report — amid glimmers of health in financials. As everyone waits for the results of the banks' stress tests, analyst chatter is focusing on the regionals. David Faber has more.
The market is trading lower ahead of earnings from Microsoft and Amazon however investors are finding some relief in the financials.
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 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.
Following are the week’s biggest winners and losers. Find out why shares of Regions Financial and US Steel popped while Microsoft and Burger King dropped.
Stocks rose on Friday, capping the S&P 500's longest weekly winning streak since 2007, helped by better than expected results from GE and Citigroup.
Stocks climbed on Thursday with technology the star of the day largely due to optimistic comments from Nokia.
For most of the day, stocks moved in a narrow range, but volume and prices picked up late in the day.
Around lunchtime the bulls were whispering about Google’s quarterly results, which come out after the bell, and what they’d reveal. There’s cautious optimism in the sector...
Fifth Third Bancorp was one of a long list of regional banks that had been practically left for dead, but yesterday (Tuesday) its shares spiked nearly 18 percent with heavy options activity.
The face of Wall Street undoubtedly changed forever last fall, with the Lehman Brothers bankruptcy, the Bank of America acquisition of Merrill Lynch, the government’s unprecedented 79.9% stake in AIG, and the shift of major investment banks (like Goldman Sachs and Morgan Stanley) to become bank holding companies. However, before all those stunning events unfolded in the fall, exactly 1 year ago today, JPMorgan Chase agreed to acquire Bear Stearns for $236 million or $2 per share – signifying the end to one of Wall Street’s most storied franchises.