Archive for the 'GD 2.0' Category

Its sad and its true…

I must say that SNL and The Daily Show) do a great job on these skits. If you have been following the so called “Stress Test” you will find this pretty sad and amusing.

This is sad because it is true. In fact, the truth is even worse. Not only have banks been able to “negotiate” the results of the test.

The Federal Reserve significantly scaled back the size of the capital hole facing some of the nation’s biggest banks shortly before concluding its stress tests, following two weeks of intense bargaining.

In addition, according to bank and government officials, the Fed used a different measurement of bank-capital levels than analysts and investors had been expecting, resulting in much smaller capital deficits.

The test itself (even in the more “adverse” scenarios) is not as stressful as thing already are ALREADY.