Wednesday 20 July 2011

Bank of America reports worst ever loss, margins shrink

This seems in line with what Mike Ruppert as been warning of since April.  The bit about the economy "improving" seems to be a universal mantra - just like the Soviet economy had "shortcomings" just before the collapse.


(Reuters) - Bank of America Corp reported a record quarterly loss of $8.8 billion as persistent mortgage problems and low interest rates squeezed revenue at the largest U.S. bank.

The loss was expected after the bank said in June it would pay $8.5 billion to settle lawsuits from mortgage bond investors and take more than $14 billion of other home loan-related charges. But investors were troubled by indications that a tepid economy is retarding recovery outside of mortgages.

Interest income fell during the quarter, and Chief Executive Brian Moynihan said in a conference call that demand for loans is sluggish and the economy is not improving quickly.

Shares of the bank closed down 1.54 percent at $9.57 on the New York Stock Exchange.

For rest of article see here

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