Ken Houghton finds someone who is more pessimistic than I am.
Seven institutions — JPMorgan Chase & Co., Citigroup, Wells Fargo & Co., Goldman Sachs Group, GMAC LLC, SunTrust Banks, Inc., and Fifth Third Bancorp — are at risk of failure and may have to cut back lending dramatically to stay alive.
Rusty disagrees with me on Fifth Third, which he sees on a daily basis a lot more than I ever did.
I still expect JPMC and Goldman Sachs to survive, and am still trying to figure out why they are on this list while Bank of America and Morgan Stanley “are borderline, meaning they could be at risk of failure with worsening economic or financial conditions and will also have to cut back on lending.”
But the whole thing is worth reading, so long as you don’t have any sharp objects nearby, or are paid in Swiss Francs.