“We’ve already blown past the worst-case scenario on unemployment”| repeat stress tests

As banks rush to repay TARP money, driven by the desire to remove government control rather than any reflection of improved financial standing, here is a sobering statement from Elizabeth Warren.  Just as GM didn’t ‘get it’ in terms of the world will look like on the other side of this recession, many banks appear to have similar blinders.  Instead of arguing that they are not in bad shape and that they are secure, why not make changes now that display the recognition that the future is not going to be anything like the past.  I say again, and blame the politicians for the use of the word recovery – recovery does not mean a return to 2007.

Repeat stress tests right now | MSNBC

The Congressionally-appointed panel overseeing the Troubled Asset Relief Program (TARP) recommends running again the stress tests on US banks, as economic conditions have worsened, its chair, Harvard University professor Elizabeth Warren, told CNBC Tuesday.

“We actually make recommendations to do it all over again right now,” Warren told “Squawk Box.”

“We’ve already blown past the worst-case scenario on unemployment,” she added.

Yahoo Japan notes the expected repayment of $68 Bn from 10 banks.

金融不安後退　大手１０社公的資金返済へ

6月10日1時53分配信 産経新聞
【ワシントン＝渡辺浩生】米財務省は９日、大手金融機関１０社の公的資金返済を認めると発表した。返済額は６８０億ドル（約６兆６６００億円）に上る。昨秋に金融システムの崩壊を阻止するために一斉注入された大手金融機関による返済は初めて。金融危機が最悪期を脱し、当面の金融不安は沈静化したと判断した。

Reported by Nobuyo Henderson