This morning I wrote already in great detail about the causes and true dimensions of the banking crisis, a matching I still have this message from Douglas McIntyre at blogging displayed Stocks : go
Two other state banks Bankruptcy
The FDIC has [Deposit Insurance Fund] over two more banks. According to the Wall Street Journal pulled "the office of the auditors of the currency, a division of the Treasury, the charters of First National Bank of Nevada, based in Reno, Nevada and First Heritage Bank of Newport Beach, California one. The FIDC was designated as recipient of the two banks. "Bank of Nevada had deposits of more than three billion dollars.
Current estimates suggest that fewer than 100 banks will go bankrupt during the current credit crisis, a much smaller number than those who had to close during the "saving and loan" debacle of the late 80s.
However, these estimates may be too low. Bill Gross, an extremely well-known investor and head of Pimco, recently wrote that total losses due to the property market will reach the milestone of one billion dollars. About 450 billion of write-downs have already through the system done. That leaves a potentially enormous burden on the banking system.
The idea that only 100 banks will go bankrupt next year wishful thinking.
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