Tuesday, October 14, 2008

Bank Nationalization Plan

Krugman's looking like some kind of freaking Nobel Prize winner at this point...oh, wait.

And here they are...the new portfolio companies in the sovereign wealth fund of the United States:
There's no arguing with the fact that these are the best, strongest banks in the country. One curious thing to note: they're all the strongest banks on the corporate services side. Some of the big consumer super-regional players (e.g.,US Bancorp, PNC) aren't listed here. That may have the effect of reactivating the commercial paper and C&I markets preferentially over the consumer and small business segments.
I wonder if that's going to be the case? If so, is that going to be a good thing?
Whatever the case, I hope the investment came with some head-knocking and the statement, "you guys are going to lend to the other banks, or else." Also, some thanks to the American people would be appropriate, along with a promise to Never Screw Up Again.

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