Another reiteration of the regulators wanting to require that
the banks hold 3.5% of capital. This scares the banks and
financails because they depend on the 10: and 100: 1 leverage to
make money the Fed lets them print. Since banks make money by
loaning it out. It means they'll make less money. Of course, since
they're not LENDING it they'll not make money anyway.
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Another reiteration of the regulators
VIX
Posted by klatuu on 16th of Jun 2011 at 02:31 pm
Another reiteration of the regulators wanting to require that the banks hold 3.5% of capital. This scares the banks and financails because they depend on the 10: and 100: 1 leverage to make money the Fed lets them print. Since banks make money by loaning it out. It means they'll make less money. Of course, since they're not LENDING it they'll not make money anyway.