This quote doesn't do justice but here it is:
Read the whole kit and kaboodle here.It is going to take a lot more TARP and private money to capitalize the banks. A whole lot more. And that is before any of the other stimulus. And all that next $1 trillion does is get the banks back to where they were two years ago. Further, it does not give them the capital they need to make up for the loss of the Shadow Banking System. It is going to take some time to build what I call the new private credit system.
This mess just gets uglier by the day! Mauldin explains in his latest newsletter why, even if the banks lend like there's no tomorrow, the credit markets won't be any better this year, or the next one, or the year after that (2011).
In case you don't believe there will be a TARP 3 and 4, here is a headline on Marketwatch tonight:
Here's a quote: "More money may be needed for the Treasury's Trouble Asset Relief Program, beyond the $700 billion already approved..."
