Banks Are Poor Investments - According to the Banks

So an analyst at "Bank" of America is now telling us that:

• banks are bad investments;
• certain large banks should be closed;
• FDIC insurance should be increased; and
• takeovers should increase.

Now I suspect that his plan is that BofA will be one of the banks taking over their insolvent brotheren, but they have already bitten off more than they can chew and I do not see that happening. In my book, I agree BofA should be closed. They may be too big to fail but they are not too big to resell in pieces. Any hoot, I am wondering if this guy will have his job tomorrow as (as I read it) he just told the painful truth about his employer. I respect his honesty.

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aoc1E2sKjADk

China Again

I have noted in past posts that China is in a true troubled state. The extent of their problems is exceeding difficult to define. The news is very varied and suspect. And judging by those commenting on my posts, some seemingly from China, not even all the information there is consistent. And so I give up this dismal stat - which is from the government - for what it is worth. Whatever it is worth, it is not cheery. When exports fall 17.5% YoY in any economy, that is not good news.

http://www.nakedcapitalism.com/2009/02/chinas-exports-fall-175-most-since.html

There is a lot that I could post but nothing right now too worthy. Yes, it looks like the House and Congress may have a Plan to take to Obama, but if you cannot find a thousand articles on this and why it will not work, you are not trying. I am in the it-will-not-work camp, so I can add that it is time to plan for a depression. Hunker down - big time.

Disclosures: None.