Floyd Norris, Chief Financial Correspondent of the New York Times, has made a reference to my paper "Banks face Perfect Storm" in his blog. He has an article making similar arguments.
I am working on two additional contributions on financial markets issues, which I hope to bring online soon (one or two weeks).
Saturday, November 10, 2007
One of the points of my prior post was that in essence the profits of the recent years were an illusion. The recent growth in profits resulted from the growth in risk undertaken by the banks. A November 6th post in http://bigpicture.typepad.com/comments/2007/11/sp500-ex-risk.html makes the same argument.