In The News: Meredith Whitney Still Says No To Banks
Not a terribly big surprise, but to summarize, government intervention has caused inflated bank earnings and, therefore, overvalued bank stocks – quote the dollar dominatrix. Meredith would still, obviously, not own these stocks and believes that the entire banking business model is flawed and not coming back to greatness. Specifically targeting BofA, if for no other reason than because, sadly, they are now an easy target, Whitney went on to describe their credit line cuts and steep slowdown in consumer spending to site a few examples supporting her conclusion.
Does a lot of what she says make sense; sure. Is she right; possibly. Has she been saying the exact same thing for a long time now and repeating herself about once every few weeks, at least, to stay current in the news; absolutely. I mean let’s be honest; there really isn’t any groundbreaking information here, just more of the same to keep the Whitney name alive. Will everything she says ring true in the future; only time will tell.
