Read More of the Same Day's Blog

The Story of the Day was the nationalization that did not happen. All through the morning, traders on Wall Street bet that the federal government would take over two of the country's hugest banks. If that were to happen, their shares would be wiped out, value zero. Citigroup and Bank of America were heading in that direction, as low as $1.61 and $2.35 respectively. The afternoon started with this declaration from the White House press secretary: "A privately-held banking system is the correct way to go." It was enough to halt the sell-off. The two banks ended the day at $1.95 and $3.79. All three newscasts led with the banks' near-death experience. ABC again had a substitute anchor, this time George Stephanopoulos of This Week.

It may have been only a stay of execution, CBS' Anthony Mason reported. The Treasury Department' stress test "will begin imminently, aimed at exposing the extent of bad loans on their books." CNBC's economist Steve Liesman calmly reminded NBC anchor Brian Williams that bank nationalization happens "almost every weekend"--just not to banks as big as Citi or BofA. When the FDIC takes over an insolvent bank, "they sell the deposits; they get rid of the assets; sometimes they hold on to some assets. It is a normal process. It is basically how a bank goes bankrupt."

ABC's David Muir picked up on press secretary Robert Gibbs' preference for privately-held banks. Was he willing to go further and say that President Barack Obama would never nationalize banks? "He would not say that. Economists say that is because the White House must hold open the option of taking some banks over, cleaning their books, infusing them with capital and getting them lending again."

On NBC, Trish Regan of CNBC reassured those of us who do not happen to own shares in these perhaps doomed companies: "As worried as shareholders in these banks may be, people that have accounts in them--whether that be a savings account, a checking account, a money market, a CD--they really do not have to be worried." The FDIC insures accounts up to $250,000.


Andrew Tyndall 2/23/09 6:51:30 pm

insurance auto >:DD homeowners insurance 434738 affordable health insurance 5804
- TheIronGeek (guest) 01-07-2012 06:43 am


cheapest health insurance >:P florida health insurance vsgjom home insurance ebf
- M0R3NiA (guest) 01-13-2012 07:42 am


in home health care insurance educy cheap health insurance :] affordable health insurance 559 low car insurance mspl
- mireillekooy (guest) 01-19-2012 07:07 am


order provigil online 5244 over the counter tamoxifen ppgzv accutane 8OOO
- therandomgoat (guest) 02-18-2012 12:47 pm


flagyl 8[[[ topamax 737563 buy prednisone =-[[[ valtrex %-PPP
- amelioratio (guest) 02-20-2012 03:40 am


flagyl :-OO prednisone tablets %(( synthroid jzgpq
- mianachico (guest) 02-22-2012 11:47 am


synthroid >:-)) tamoxifen >:-]] toradol 110734
- cassie1fan (guest) 02-24-2012 05:28 am


carinsurance 54482 ultram 160 propecia >:-OOO
- Bubby (guest) 02-29-2012 12:12 pm


car insurance >:-[[[ insurance auto auctions 2274 auto insurance online ekjgza
- Jonetta (guest) 04-08-2012 01:34 am


home loans :-[[ mortgage refinance zqs mortgage refinance quotes kspmzp
- Lina (guest) 07-06-2012 09:28 am


home refinance lcs nursing schools kyxvks mortgage interest rates hzmhr credit cards %-))
- Philly (guest) 07-08-2012 03:29 pm


online colleges 624873 nursing schools 8PPP mortgage rates 9205 credit cards =PP
- Brynell (guest) 07-08-2012 08:18 pm


car insurance ksqu university colleges sqm MBA online 2544 mortgage %PPP
- Roxanna (guest) 07-10-2012 08:09 am


affordable auto insurance mgxp mortgage refinance rates 38005 art school 61121 current mortgage rates 9276
- Chris (guest) 07-11-2012 10:40 pm


car insurance gxfw classic car insurance 70765 nursing schools >:PP MBA degree :(((
- Candie (guest) 07-13-2012 10:26 pm


community colleges =-OOO online degree programs 8-))) credit cards 3617
- Buckie (guest) 07-14-2012 11:08 am


art college 8-[ home loans >:( mortgage 260
- Keyanna (guest) 07-17-2012 03:08 am


car insurance 405082 online colleges 346638 mortgage 2307
- Karah (guest) 07-20-2012 10:27 pm


mortgage refinance rates lev online accredited colleges 850 reverse mortgage calculator irhg MBA online qfzuai
- Louise (guest) 07-21-2012 08:02 am


online auto insurance :-DDD infinity auto insurance wubk low car insurance :-(((
- Robinson (guest) 08-06-2012 11:08 am


classic car insurance wmcwoo online car insurance uqpiv cheap car insurance hiuax infinity auto insurance 7048
- Jaylan (guest) 08-08-2012 07:05 am


insurance auto auctions jrxo auto insurance quotes xxjtcq prednisone 8))) buy car insurance online njj
- Chuckles (guest) 09-08-2012 09:20 am


eastwood auto insurance 325378 auto insurance 264 car insurance fnt cheap auto insurance =[[
- Reegan (guest) 09-17-2012 05:06 pm


auto insurance quotes wcfgcm life insurance wljvxi car insurance 8)
- Hines (guest) 11-06-2012 12:46 pm

© 2010 Tyndall Report