Death Watch 2008

Well, WaMu's down. Who's next on the block?

Investors are pulling out of Wachovia and National City right now.

Shares of Wachovia and National City tumbled on worries about heavy mortgage losses after talks on a $700 billion financial sector bailout bogged down and federal regulators seized Washington Mutual in the largest bank failure in U.S. history.

A collapse of the bailout talks in Washington could prolong and deepen the freeze in various parts of the credit markets and could deepen losses on banks' balance sheets from troubled mortgages and other loans.

Both are down 20-25% as of this morning. National City has been slowly dying for months now, being Ohio's largest retail bank and stuck in Rust Belt Mortgage Hell.

[UPDATE] NCC is crashing hard, down more than 40% to under $3 and falling. I don't see NCC surviving the weekend at all. Wachovia I give 40% odds of making it.