Is it safe to be optimistic?

2 June 2009

1 minute read

If you're a glass half full variety of person, the glass is now looking very promising. The first quarter was good and the second quarter looks like it will be good too.

Several banks have big hiring plans in M&A, recruitment is taking place in prime broking, and Barclays is going wild in cash equities.

As well as this, bonuses and guaranteed bonuses are making a comeback, and banking analyst Dick Bove keeps issuing research saying that we're on the cusp of a new Golden Age of banking because -

· The industry's balance sheet is stronger than ever.

· Revenue growth has reappeared.

· Costs are under control.

· Cash earnings are at an all-time record.

· Loan losses will plummet in a recovering economy.

Nevertheless, sneaking glass half empty sensations remain. So tell us, is the glass about to get washed away by a tide of consumer debt, or is everything really FINE?

AUTHORAnonymous

Insider Comment

Fr
Franco Rivera
15 June 2009
Basically,when we talk about optimism it is a will and strength to survive the odds, but can we really survive the crisis?the whole world was hit by this dilemma and worries strikes all our heads. It is a global call now and since we talked about crisis and a landslide fall of all economy globally and speaking of economy it is all about money in the market and speaking of money we need numbers now , but first to be optimistic let us apply our knowledge as i am calling our expert economist to help our President Obama, maybe we try and test the Permutation formulas, Probabilities of single,Multiple, Mutually Exclusive events and repeated trials,before we say that it is safe to be optimistic, numbers will prove it and will answer the question if whether a credit will answer the problem on the credit crisis. It is hard to say it is safe but calculations will help us all to decide if it is safe and to become optimist that we will all make it and rise up again we will not surrender this world to this crisis that wants to
engulfed us all including our dreams , families, profession, businesses, Let us all be optimistic and let the numbers prove it safely for all of us again to rise.
Reply
AB
AB
11 June 2009
If you honestly believe that by lumbering governments with massive debt and huge deficits results in a sustainable recovery then yes. If, on the other hand, you understand that a credit crisis is not solved by creating another credit crisis, then no.
Reply
as
as
9 June 2009
never
Reply
Do
Don't you dare be bullish now
2 June 2009
Optimists are deluding themselves. The fundamentals of this recession are such that it will go on, and on, and on.
Reply