Global No Confidence Vote: Flunking Out

The banks are fine!

So wonderful in fact that the banks are arguing that the stress test results shouldn't actually be released.

U.S. officials are leaning toward announcing the "stress test" results of individual banks next week instead of just summary results, a source familiar with administration talks said Thursday.

The source, speaking anonymously because talks are ongoing, also said officials will likely release the capital requirements of the 19 firms at their holding company level, not just the needs of their banking units. Some of the banks being tested, such as Bank of America, have large non-bank subsidiaries that were included in the assessments, the source said.

Regulators have stress-tested the 19 largest U.S. banks to determine their capital needs should economic conditions deteriorate further. The source said the announcement of the results has been pushed back, possibly to May 6.

Note the language. "Possibly" we could see stress test results on Wednesday. They are leaning towards "individual" results too, instead of releasing all the results publicly and at the same time.

I'm betting strongly that the banks that are hurting the most, the ones that truly are uncapitalized to the point of being insolvent? You'll never know who they are. The banks will refuse to let the government release the results to us. Forget Wednesday. The banks are angling for "never."

Such a last minute delay in the results the banks knew were coming for weeks now indicates strongly that the banks are in serious trouble. If the results are made known to the public it could cause a run on the banks. I was worried that the tests given the banks were indications that they couldn't fail, they were so easy. But the reality is that the banks have now failed the cream puff tests given to them so badly that they are warning the Fed of systemic collapse brought on by financial panic, and the banks don't want the results to be released at all. The Obama administration is clearly going along with this charade.

Officials said at the time the banks would learn how much extra capital regulators wanted them to have, and then they would have six months to raise that amount in the private market or could tap a new government capital facility.

Since then, the market appetite for the results has reached a fever pitch, forcing the Treasury Department to rethink its plan to keep detailed results of individual banks private.

The source said officials are well aware of the market's sensitivity to the information, evidenced by the punishment some bank stocks have endured from leaked reports of the results and outside analysts' versions of the tests.

"Everyone's being very sensitive," the source said.

Nobody could have predicted! Here's what happened, folks. The Obama administration sold the bank stress tests too well! Now the investing public actually believes these results are "objective and meaningful", and in a way they are. When Timmy and his crew rigged the tests so that any bank could pass, they never counted on a number of banks failing the test anyway.

Even a cursory look at the books shows America's major financial instutuions are zombie banks that should have gone into government recievership months ago. And the banks are now so terrified of the results that they are playing the systemic collapse extortion card yet again.

I have been saying for months now that a receivership plan continues to be the only solution. The banks must be made to give in, because right now any possible efforts to work with the Obama administration results in the banks getting 100% of what they want and the American taxpayer getting no accountability, no stake in the game, and no idea what is really going on. The first real public accounting of the banks is now being all but scuttled before our eyes.

These bad banks must be forced into recievership. They must be Chryslerized: given a firm date and when they fail, taken over and restructured. But that will never, ever happen. The banksters that run the country will never allow it and Obama has no intention of doing it, he has already been given his orders.

Now the last chance of public accountability is being dismantled. We've gone from all stress test results on May 4 to maybe some banks, maybe on May 6th...which of course will become no results whatsoever. Our course towards disaster is now all but locked in. The Fed will simply throw money at the banks extorting taxpayer money, and the creditor nations that own the US will throw money at us...or else.

That is until they run out of money and our economy collapses anyway. There's a reason Obama is trying to frantically implement popular social programs as soon as possible. He knows what's coming.

Now, so do you.

Be prepared.