The U.S. Recovery Has Been Spectacular*

We need a real recovery. That's what Mitt Romney said during the campaign, and he was right. Five years since the start of the Great Recession, unemployment is still far too high. It's not for a lack of optimism among policymakers. As Evan Soltas pointed out, the Federal Reserve keeps predicting that prosperity is just around the corner, only to find it's not. Catchup growth is the new Godot. FULL STORY *Compared to almost every other rich country and almost every other financial crisis.

Official: Drug Money Keeping Banks Afloat

The United Nations' crime and drug watchdog has indications that money made in illicit drug trade has been used to keep banks afloat in the global financial crisis, its head was quoted as saying on Sunday...

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Source: internationale herald tribune

Banks Foreclose on Builders With Perfect Records

Not only have new-home sales stagnated, but builders confront a rising wave of foreclosed properties coming to market at prices below the cost of building a new home. To move houses, they have to mark them down to less than the cost of construction.

The convergence of these problems is bringing many small and medium-size builders — who account for about 70 percent of new-home construction in the United States — to their knees...

Read more Banks Foreclose on Builders

Source: new york times

US Banks Owe $40 Billion In Pay, Pensions To Executives

Troubled financial giants getting cash infusions from the U.S. Federal Reserve owe their executives more than $40 billion for past year's pay and pensions as of the end of 2007, the Wall Street Journal said in an analysis.

The sums owed are mostly for special executive pensions and deferred compensation, including bonuses, for prior years, said the paper....

Read more US banks owe billions in pay


Source: economic times

UPDATE: $70 Billion Cash Fund Ready. One Step From Meltdown.

"One Step From Meltdown..."

Ten banks -- Bank of America, Barclays, Citibank, Credit Suisse, Deutsche Bank, Goldman Sachs, JP Morgan, Merrill Lynch, Morgan Stanley and UBS -- each agreed to provide $7 billion "to help enhance liquidity and mitigate the unprecedented volatility and other challenges affecting global equity and debt markets."

Read more about this huge $70 billion bailout

also see:
Bank of America says it will buy Merrill Lynch for $50 billion