No Bottom for Financials: 'Re-regulation' Means Slower Profits Ahead

Spot on.

The financials are going to get hammered

Financials will be the test of market strength, they have been trading that way most days all year. If finacials are up in general, thats when we see an upswing. If market sentiment turns on financials, and they should, most arent worth more than $2-3 a share in actual value vs. company profitability in the coming months. When you make a profit, you can be worth more, just like in any stock price, you dont make money, you have a future that means you will make less money, and your stock should drop. $25 a share(C) for the largest debted bank in the world possibly, ya right. They are selling shares or selling assets weekly to keep solvent. Not a good sign when your selling safe 10 year notes. Those arent things banks usually sell, my friends. Especially high yield ones. Either they dont expect those to hold, or they are more desperate than they are mentioning.(Or its just a simple cash infusion. Banks get cash infusion when you deposit money and make loans(money created out of nothing). So they must not be making many loans and receiving customer deposits as they need them. Another bad sign.

IT HARD TO FIGURE OUT. I AM SURE THEY WILL BE WORTH MORE THAN 2 OR 3 DOLLARS. ALTHOUGH THE REGS WILL HAMPER PROFITS IN ONE WAY THEY MAY ALSO HELP IN ANOTHER WAY BY STOPPING BANKS FROM ISSUING STUPID LOANS. BARNEY FRANKS IS WRONG TO THINK BANKS SHOULD EAT THE LOSS THAT THE CONSUMER INCURS WHEN HIS HOUSE DEPRECIATES. THE CONSUMER SHOULD CONTINUE TO PAY THE MORTGAGE AND MAY BE IN THE LONG WRONG THE HOUSE WILL GO BACK UP IN VALUE.

"C" is an international banking system with many large overseas investors, they are still making big profits outside the US. Pick a spot and start getting back in, its near its bottom. They are paying you almost 5% while you wait for the price to go back up.

THE BEST IS YET TO COME... IT AIN'T OVER TILL ITS OVER...

As the housing situation get worst, the financials will continue to get hit with large write downs. How long can all these $billions of fund raising last? They makes its sound so easy. What is the effects on the vaulue of their shares as they get diluted by all these funds? Its not as if the banks are getting all those $billions for free.

Just look at the website of any good-government organizations you will see the huge contributions the financials are making to political candidates at all levels and of all ideologies. After the November elections the victors will pay back the contributors--lobbyists if you prefer--with tax-payers' money. Unfortunately no one can figure out a better political system. The more you try to reform the more loopholes will be discovered.