"Even as the Dow Jones Industrial average returns to the 10,000 mark, the financial crisis is alive and kicking in the banking business. In the next week or so, the U.S. will reach a somber milestone: 100 banks down the drain in 2009."
"The worst is far from over. The FDIC says 416 banks are at risk of failure, up from 117 a year ago. Soured commercial real estate loans alone may generate a fresh $600 billion in losses by 2013. Veteran bank analyst Gerard Cassidy of RBC Capital Markets expects as many as 1,000 lenders to go bust in total."
"Two years ago, the FDIC had about $52 billion in its deposit-insurance fund. Today that fund is technically broke."
" 'bad banks are more like fish than wine,' says Bert Ely, a bank-industry consultant and an FDIC critic. 'They get smellier with age.' "
I would say that the number of failed banks would easily reach 250 to 300 early next year. Also pay attention to the Triple Negative MACD divergences in Dow Jones US Financials Index chart.
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