A little over three months ago, many of the top banks in the United States were on life support. However, over the last couple days many of these same banks are beginning to recover. Recently, JP Morgan Chase, Goldman Sachs and Wells Fargo have all announced that they had huge profits in the first quarter this year. Citi Bank and Bank of America also have been reporting that their profits are up, and that the worst of the recession is over.
Low federal interest rates have caused many citizens to refinance their houses at these better rates, and thus increasing consumer activity. Many analysts are now reporting that the outlook of the housing market is improving, but that we are not out of the woods yet concerning our economic problems.
“We are in the eye of the storm,” Gerard Cassidy, a banking analyst at RBC Capital Markets. “The worst is behind us for housing. For commercial real estate and corporate lending, there is still a big dark cloud.”
http://www.nytimes.com/2009/04/17/business/17bank.html?_r=1&ref=todayspaper
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