Expert Says Banking Problems Are Now Bigger Than Pre-Lehman
Joseph Stiglitz, the Nobel Prize- winning economist, said the U.S. has failed to fix the underlying problems of its banking system after the credit crunch and the collapse of Lehman Brothers Holdings Inc.“In the U.S. and many other countries, the too-big-to-fail banks have become even bigger,” Stiglitz said in an interview today in Paris. “The problems are worse than they were in 2007 before the crisis.”Stiglitz’s views echo those of former Federal Reserve Chairman Paul Volcker, who has advised President Barack Obama’s administration to curtail the size of banks, and Bank of Israel Governor Stanley Fischer, who suggested last month that governments may want to discourage financial institutions from growing “excessively.”A year after the demise of Lehman forced the Treasury Department to spend billions to shore up the financial system, Bank of America Corp.’s assets have grown and Citigroup Inc. remains intact. In the U.K., Lloyds Banking Group Plc, 43 percent owned by the government, has taken over the activities of HBOS Plc, and in France BNP Paribas SA now owns the Belgian and Luxembourg banking assets of insurer Fortis.
via Stiglitz Says Banking Problems Are Now Bigger Than Pre-Lehman – Bloomberg.com.
One World Financial System – One World Currency Is The End Game
Glenn Beck urges America to, “wake up now!” “There is a global meltdown coming. It is global depression. And one world currency and one world financial system is the endgame.” Glenn Beck Says, “China said last week they want one global currency. France said yesterday … they want one world order – a new world order at the end of this event. Read more
FDIC – Bank Profits Drop By 86 Percent – 117 Banks In Trouble
The government says U.S. banking profits fell 86 percent in the second quarter, while the number of troubled banks rose to the highest level in about five years.
The Federal Deposit Insurance Corp. says the roughly 8,500 banks and thrifts also set aside a record 50 billion dollars to cover losses from soured mortgages and other loans in the second quarter.
FDIC says 117 banks and thrifts were considered to be in trouble in the second quarter, up from 90 in the prior quarter.
