Thursday, March 26, 2009

Roubini Says Stocks Will Drop as Banks Go ‘Belly Up’


"“The stock market is a bit ahead of the real macroeconomic and financial news,” Roubini, a professor at NYU’s Stern School of Business and the chairman of consulting firm Roubini Global Economics, said in an interview with Bloomberg Television in London today. “We’ll have some major banks going belly up that will need to be taken over.”

The global equity rebound in March that sent the Standard & Poor’s 500 Index to its best monthly advance in 17 years is a “bear-market rally” and U.S. Treasury yields will “remain relatively low” as investors flock to the safest assets, Roubini said. Treasury Secretary Timothy Geithner’s new plan to remove toxic debt from financial companies won’t be enough for insolvent banks, he said."

3 comments:

Anonymous said...

this guy is way too late and way too wrong.

thanks for the wrong advice. f&$ head

Andre in 3D said...

Seems to be quite the obvious statement... Maybe it would have been a good prediction about a year ago.

Anonymous said...

The current market is trading on sentiment right now. anyone can be way right or way wrong.