US Banks Insolvent – Cynicism High

Roubini’s somewhat offhand remaark in his newletter yesterday that the US banking system may be insolvent set off a round of sell-offs that brought NYSE down 300 points on Inauguration Day. At one point it was below 5200, a number I had predicted we would not reach until February, so that was cause for some discomfort during the day. Things may be worse than even I believe LOL.

Worse, the blanket of “Yes We Can” euphoria in light of Bush finally leaving office seems to be clouding the judgement and commentary of many in blogland and even among contacts on Facebook. I guess it’s a day for simple platitudes and stasis.

As is customary for me, I’m leaving my January brooding off the written page so postings have been light from me in the month. Things will get back to a normal schedule in February. Have a nice winter.

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