Bernanke urges clean-up of US banking

[katty]

(luv that title-really, bernie? ya think?!)

more: http://www.ft.com/cms/s/0/615f1f72-e17e-11dd-afa0-0000779fd2ac.html

Bernanke urges clean-up of US banking
By Krishna Guha in Washington and Paul J Davies in London

Published: January 13 2009 14:36 | Last updated: January 13 2009 19:01

Ben Bernanke called for fresh efforts to clean up the US banking system on Tuesday, warning that fiscal stimulus measures alone would not be enough to overcome the economic crisis.

Speaking in London, the Federal Reserve chairman said he would like the Obama administration to combine further capital injections with a plan to remove troubled assets from bank balance sheets – the idea behind the ill-fated original version of Hank Paulson’s troubled asset relief program (Tarp). “More capital injections and guarantees may become necessary to ensure stability and the normalisation of credit markets,” he said.

EDITOR’S CHOICE
Fed focuses on credit market problems - Jan-13Congress gets tough on bail-out funds - Jan-13Martin Wolf: Why Obama’s plan is still inadequate and incomplete - Jan-13FT Alphaville: Bernanke on QE and the exit strategy - Jan-13Markets insight: Five-point plan for Fed to help prevent a dollar rout - Jan-13US Treasury bond prices fell slightly in the wake of Mr Bernanke’s comments as investors acted in the hope that further government action would improve credit conditions.

[aquart]

1. A little late, maybe?

[katty]

2. ahh yeah, just a tad

[w4rma]

3. No more money for banks. The government should loan out the money, bypassing the banks.

The banks will start loaning then, when there is competition.

[geckosfeet]

4. As he hits the lights and shuts the door - "oh by the way - the banking system is fucked."

[dixiegrrrrl]

5. In other news...

Insurance companies call for safeguards against Medicare billing fraud.

Munition makers call for cheaper weapons contracts.