Bank Stocks Are Bad Investments – But Excellent Trading Opportunities

J'ai inséré ce carnet, à titre d’information.

Car nos spéculateurs, toujours de vrais cafards pour saisir toute opportunité. Se pose donc, de sérieuses questions sur la solvabilité des banques, est-ce que les banques vont être capables de supporter les pertes des dettes souveraines.

À savoir si le système financier s’écroule, tant aussi longtemps qu’ils font de l’argent, c’est leurs moindres de leurs soucis

Un message qui est drôle et en même temps pathétique.

Les banques pas sûres comme investissement,
drôlement, intéressant à spéculer dessus.

Enfin …

It's Like A "Flak Jacket" For the Next European Debt Bomb

Make no mistake:

If France's banking system spirals out of control,
there's a good chance U.S. banks will go down with it.

Are you prepared for the next euro-shrapnel heading your way?

Extrait de: Bank Stocks Are Bad Investments – But Excellent Trading Opportunities, BY SHAH GILANI, Capital Waves Strategist, Money Morning, OCTOBER 21, 2011

Long gone are the days when bank stocks were safe investments. Now, and for the foreseeable future, the only safe way to play banks and financials is by trading them.

Banks face so many issues, both in the near term and on a long-term secular basis, that putting shares away, even now when they look cheap, could be hazardous to your wealth and your mental state.


Big Questions For Bank Stocks

U.S. banks, and even more-so their European counterparts, are facing some very big issues. Each hurdle is big in and of itself, and collectively they form a tremendous weight on the sector. 

The biggest question marks are: 

·         Unanticipated Expenditures: What litigation and potential settlement costs are banks facing over mortgage putbacks? And what will taking back huge quantities of failing mortgages onto their books do to their capital reserves, ratios, and set-asides?

·         Losing Loans: With the economy potentially slipping backwards, what impact will low loan demand have on future earnings, and are banks damaging their traditional loan businesses by keeping borrower standards higher than justifiable?

·         Fed Intervention: How is the current manipulation of interest rates (they're being kept artificially low) affecting banks now; what will Operation Twist really do for banks; and what will happen to banks when rates eventually start to rise?

·         Regulatory Reform: What are the major regulatory impacts banks are facing, from the pending Volcker Rule to Basel III capital requirements?

·         European Exposure: What exposure do our banks really have to their teetering European counterparts; how interconnected is the global financial system, really?

·         Sleight of Hand: What accounting games are being played by all the big banks?