Stress Test Leak: BAC Needs $34 Billion In Capital

M

MrDODGE

Bank of America to need $34 bln in capital-source
Tue May 5, 2009 9:42pm EDT

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WASHINGTON, May 5 (Reuters) - Bank of America (BAC.N) has been deemed to need an additional $34 billion in capital, according to the results of a government stress test, a source familiar with the results said on Tuesday.

A Bank of America spokesman declined comment. (Reporting by Karey Wutkowski; Editing Bernard Orr)
 
Not sure why this is a surprise, unless you were expecting them to magically find all the banks were fine.....is it the magnitude? Seems like chump change.
 
Considering they said two days ago they though C may ONLY need 10BB (and it is by most deemed to be in worse shape that BAC) I would think it could be a negative - though you are right everyone knew/knows they banks need more capital. Just a question of what the market has priced in.
 
Another 34B. That's a drop in the bucket. They just have to run the presses in overtime for a few weeks.

No problem guys. The US is in great shape. Just print more money everything will be fine.
 
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