More fear feelings for banks.

January 15, 2009 at 10:50 pm (Forex)

This Thursday banks get scary thanks to the new economic recovery package, an expansive combination of spending and tax cuts that aims to put millions of unemployed Americans back to work and begin fulfilling President-elect Barack Obama’s ambitious agenda. So there`s not room for banks, but it doesn’t mean they don’t need the help of the government.

Bank shares tumbled on both sides of the Atlantic on Thursday amid intensifying fears that Bank of America and Citigroup, two of the world’s biggest financial institutions,  will need further US government support and about the authorities’ ability to stabilize the banking system

Some of the largest components include $87 billion for a temporary increase in aid to states for Medicaid costs; $79 billion in aid to local school districts and public colleges to prevent cutbacks; $90 billion in infrastructure spending; and $54 billion to encourage energy production from renewable sources

2 Comments

  1. Gilbert said,

    I know they got fear for this, the situation is nothing good, now they will not receive more money because president Obama said that the economy cant hold it anymore, fear, of course, from the beginning.

  2. Felipe said,

    I don’t get it, in one moment the banks are getting so bad, so now there are too many companies broke Circuit city included. I waiting for Obama´s plan maybe he can help these companies.

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