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Bernanke predicts bank failures »

Posted by: engineer 1 year, 10 months ago

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Some small US banks are likely to fail in the months ahead, Ben Bernanke said on Thursday "There will probably be some bank failures," the Fed chairman told the Senate banking committee in his second day of biannual testimony to Congress.

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engineer

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My background is Biomedical engineering with an MBA As you know from all my comments where I almost stand politically. I have loads of ...

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engineer
March 2, 2008, 5:52 p.m.
He said the banks at risk were "small and in many cases de novo [new] banks that are heavily invested in real estate in localities where prices have fallen".
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texangelwings
March 2, 2008, 6:37 p.m.
That seems to be a rather mild estimate of the future economic conditions! But then, he is not living in the real world, he really can't see the real picture!
Say goodbye to all the little banks that have popped up over the past couple of year, here in Texas! One Credit Union has a lot that is filling up fast with repo's; cars, boats, etc. Real estate isn't the only culprit, for the financial crisis we are looking at in the near future!
Thanks engineer.
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smfmarket
March 2, 2008, 7:22 p.m.
Nice Article ;)
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quackpot
March 3, 2008, 8:04 a.m.
This is in tune with Bush's statement that the economy is OK. All of Bush's friends have BIG banks, so why should he worry about the small ones?
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korr
March 3, 2008, 8:19 a.m.
Exactly quackpot. Part of the untold story of the great depression and other smaller financial panics is the number of small banks that get swallowed up by the bigger banks inside the federal reserve system.
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chevydog
March 3, 2008, 9:26 a.m.
Normally this would not be anything big. Who cares if the 1st Bank of Podunk goes under?
But the banking system runs so close to the edge (by design) that even a small failure can send a number of bigger banks over it. The best way to prevent this is for all to operate prudently. But that's not going to happen.
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Jaydee40
March 3, 2008, 9:58 a.m.
It's a sad fact of life that those responsible for the pain or suffering in the world never feel what they cause others to feel......Capitalism at it's best.
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crespi
March 3, 2008, 10:14 a.m.
I don't like the idea of a recession enabling some of those with billions (like those malfeasant super-wealthy creepy corporate investor/owners on FoxNews that seriously say they are going to "INCREASE global warming because it's good for business") being able to swoop down and buy up our infrastructure.
Very bad.
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Cityslicker
March 3, 2008, 10:50 a.m.
3 years ago if Oil Companies were not allowed to raise their prices we would not be in this position now .
Bring Oil down , brings Economy up .
Takes a genus to see that , sarcasm .
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nikkibabe
March 3, 2008, 11:44 a.m.
Whatever happened to Bush tax cuts? The country is crumbling like dry bread crumbs all over.
Iraq John wants to make the tax cuts to Warren Buffet, Bill Gates, Donald Trump and scores of filthy rich permanent.
Then he says he will run the war in Iraq for next 100 years.
If there is any money left, he will think of what to do with it.
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joeblowe
March 3, 2008, 12:50 p.m.
Oops - couldn't read the story without signing up for more spam. No, thanks.
I will note that in a recession, there are ALWAYS going to be problems at banks. And the banks that are the most decent to their customers, unfortunately, are the ones MOST likely to be in serious trouble. One would hope that every bank - large or small - would have sensible lending policies in place that would help to protect their assets. Which means: NO sub-prime loans. Banks who participated in THAT particular mess pretty much ASKED to be hosed.
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Truzseeker
March 3, 2008, 12:50 p.m.
its time to get rid of the fed and its disastrous war time economics
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marshx
March 3, 2008, 1:15 p.m.
he's getting good at telling the obvious!!
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hamy
March 3, 2008, 2 p.m.
I am sure that Bush and Cheney will bail out any of their friends who own banks.
Gays can't marry. Fences were built on parts of the border to Mexico. Schools are teaching "Intelligent Design." We can say "Merry Christmas" to whomever we want. Our soldiers are still dying in Iraq.
Who care's if the economy is in the toilet? Bush's important accomplishments continue to live on.
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eugenegerard
March 3, 2008, 2:06 p.m.
I'm looking for all the abetters,,enablers and apologists for George Bush. Tell me now how GOOD the economy is. Tell me about your stocks. Tell me Bush and his criminal cronies have not pillaged the economy of this country.
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