Is it wise to believe that Geithner's statements regarding the overall sufficient capitalization of banks is enough to change the markets direction? If you read the MSM finance articles, it is.
Allegedly it is only mood which is the driving force behind the market's direction. All that needs to be done is the proper management of "bad credit." Once this occurs. the recession can recede because the essentials for lending are already in place.
I'm sorry, I'm just not buying it. I think there are larger forces going on. Yesterday its Armageddon and today its roses. That is not a recovery, that is chaos.
Reuters: Geithner says most banks have adequate capital
...he said toxic assets were "congesting" the U.S. financial system and hindering efforts to get credit flowing normally.
"Indicators on interbank lending, corporate issuance and credit spreads generally suggest improvements in confidence in the stability of the system and some thawing in credit markets..."
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