May 28, 2010

http://www.dailyfinance.com/story/investing/bankwatch-big-banks-face-financial-doomsday-in-2012/19492708/

Today's news says that the big banks have been borrowing cheap money from the Fed at virtually zero interest rates, but that these loans will have to be refinanced in 2012 at much higher rates.

Supposedly, this will be "financial doomsday."

Hey, wait a minute. If they use zero-interest money to make billions of dollars in derivatives trading, why could they not easily pay back the money in two years?

They will probably hide the money offshore and put it on their other set of books so that they look so poverty-stricken that they will need another bailout.

I think the headline ought to read, "Big Banks face another Financial Bailout in 2010 after scamming the taxpayers once again."