filippo: similar in the sense banks, mayghty u.s. resort to an old-school management, which european banks have mastered in the last 10 years. profitability is not a trial for america. the balance sheets for the larger u.s. banks is probably inching closer to zero. it presents a challenge. there will be some sort of plan on the cost side. guy: good morning. creditndering when peak stress is for banks in the u.s. crux of thet is the matter. thatere close to provisioning amount, parallel close tope, norway, peak provisioning, then it went up 10%, stock. feel more comfortable today on their levels. guy: do i need to treat trading revenue on a quarterly basis as a one-off? is it going to be repeatable next quarter? this is a key ballast on the others of the ledger protecting banks right now. filippo: larry drew -- very true. the universal banking model has been a canyon of credit in the last couple years. q4, it will depend on the economy. consensus at the moment, there is a disconnect. these sort ofets, short-term equity buildup, the hig

and u.s. banks are braced for the worth order since the -- quarter -- for the worse quarter since the financial crisis. jp morgan kicks off a big rank week. good morning, it is 6:00 a.m. in london. it is getting hot here. with an untamed virus irrationalional -- exuberance in stocks. it could get tricky. goldman has upped their view of their earnings. y'all so have the gilead story in terms of remdesivir helping the severely ill despite the untamed virus in florida exceeding the peaks of new york and texas. they are still below consensus and there are deals there. the dollar drops. two straight weeks of a demolition of the dollar. yields traded at .63. do you buy the rally? i'm a believer, are you? copper is the shining narrative. copper is ripping it up there this morning. you are looking at the longest 20 16. streak since is that a wake-up call to the treasury department? on -- willudi's turn the saudis turn on the faucet? you also should have a bit of gold. let us talk about the virus and the sur

capital return is limited by swiss banks and u.s. banks and is off the table for european and u.k. r this year. next year is a different story. is syntaxwheelhouse -- how far behind we were -- thehe pandemic and in digital disruption that you write about, how far behind is the united states? , because of its scale has everything. there are parts of the u.s. financial services, particularly the tax on market side and the b2b side that are world-class. there are other parts of the u.s. financial system similar to the u.k. that have first mover disadvantage. a lot of what we grew up with in terms of consumer finance, atm's, credit cards, those all got created in the u.s. and the u.k. in the 1950's and 60's. thefirst atm, london and u.s. will fight over who had the first one. when we shifted from that era to the current digital age, the u.s. and u.k. already had a lot of these form factors. you go to china and india -- you go to pay with your phone. that is why the u.s. in some ways is behind. tom: too short of a conversation, we look forward to seeing you in london. global head of bank

u.s. back into european banking?i: i would not get that excited, but what i would say is the eu you have to look at different spots. when it comes to deutsche bank they said germany might suffer less than the surrounding economy given the fiscal support. they are bound to have lower loan losses. we have less than one billion verse -- less than one billion worth of provision announced today. i would look at the relative trait in europe on top of the u.s. versus europe when it comes to valuations. guy: as ever, thank you very much, indeed. great insight into what is happening within some of the big banks, particular investment banks. let's pivot and talk politics and fed politics. inare seeing a huge shift the global security architecture. the u.s. is planning to withdraw around 12,000 troops from germany. some of these will be redeployed elsewhere in europe, and some will be brought back. president trump frequently complained about the lack of german defense spending, saying "they have taken advantage of us for many y

whether you are a european bank or u.s. bank much can they tolerate before the weight of any bankruptcy is too much? institutionally every bank organization is going to have their own threshold, and they are going to have their own approach to what their capital and balance sheets can take. they have the option to do a couple of things. they can continue to support the credit and do what we call mend and extend. taking a look at their exposure and the loan and seeing how much longer they can extend covenants, extend maturity, things like that. they can also sell the loan in the secondary market, which happens a lot. you have secondary buyers that buy it for whatever percentage it is trading at, and that is how the banks manage how much tolerance they have for risk. it comes down to what industries they are exposed to and what their own institutional tolerance is. alix: really interesting, fascinating to hear about. thank you very much. lisa donohue. the magic returns. disney world parks reopen. can they maintain a safe environme

all six major u.s. banks have reported their earnings for the last quarter.us some sense of how they are doing in the course of this coronavirus. we welcome the dean of the u.s. banking and laura regulation, rodgin cohen, senior chairman of sullivan & cromwell. welcome to have you -- welcome. great to have you. now two 2008, 2009. how are they doing? contrastis a definite as opposed to a comparison. banks have come into this economic turmoil with far stronger capital ratios, far , and they are not a part of the problem in terms of having caused the problem. it is obviously a health crisis which is enveloping the economy .nd the banks this is not a problem that is attributable to the banks. the banks are in much better shape than in 2008, but at the same time their stock price may not reflect that. mine is in the market giving them full credit for the shape they are in? rodgin: that is a fascinating question, one that a number of ceos,, importantly, bank are struggling with. i think it's a combination of three factors. the inevitable that economy suffers, bank

banks to be the big winner. you would need to see reopening's go better in the u.s. you would need to see a -- more resumption in economic activity, really acceleration, in order for banks to take over the leadership of this market. given that cases are rising, some states are talking about becoming more stringent in terms ofctivit i wld thi it's an activity that favors more of the growth oriented businesses rather than early cyclical businesses, like financials. vonnie: is there a headwind that checks those growth stocks, weather conflicts with china, the election, or otherwise? so far there doesn't seem to be any headwind to check that growth. headwind would probably come in the form of investors becoming concerned about the valuations -- although that has not seem to emerge -- or if there are concerns that the elections could lead to concerns about checks of monopolistic powers of these businesses. anbably something that administration probably wouldn't want to do during the recovery. for now, if you are focusing on it from an investment practitioners point of view

u.s. is on digital banking.he forces of this pandemic have turned the accelerator up on some of these forces. everything has sped up. tom: absolutely. we are seeing the vix come in. it is really interesting to see, as we go through this trading day, do we have the tech lag we have seen the last couple of days? with the banks, we may get a broader lift to the market. jonathan: equity futures up 40 on the s&p 500. we advanced by 1.26%. goldman sachs up by 4%. this market is doing better. is the rotation back on? we will ask that question to jared watered -- to jared woodard. this is "bloomberg surveillance ." ritika: with the first word news, i'm ritika gupta. china is warning the u.s. to stay out of hong kong affairs after president trump ordered an end to hong kong's special status. he also signaled sanctions on officials cracking down on political dissent in the city. a vaccine produced anybody's for the coronavirus for the first time in its current test -- produced anti-bodies for the coronavirus for the first

u.s. sanctions. some bank executives are more sanguine. tial fallout is likely to be major since the u.s. would want to avoid significant economic damage or destruction to trade. foreign banks are assessing a variety of options, including having offshore entities rather than local units implement those potential u.s. sanctions. it is unclear whether that would even work, since the hong kong national security law claims extraterritorial rights. this u.s. sanctions bill, not yet signed by trump, would penalize foreign financial institutions knowingly doing business with sanctioned individuals deemed to undermine hong kong's autonomy under the one country, two systems framework. rishaad: what about these u.s. banks? how do they fit into all of this? talking about the likes of citigroup or jp morgan? selina: they all are walking this tight rope between complying with these laws and not losing their potential extremely expensive business plans in china. if china decides to retaliate over u.s. sanctions, those expansion plans in china are at risk

business is going to do about this because i think they were already in a tough place, particularly u.s. banks. it is likely, as this progresses, the chinese will put more pressure on them, the u.s. will have to put more pressure on them. they are going to have to take sides. yesterday a guest walked the overlyot sounding enthusiastic about the decisions he had to make. it is really going to be tough. the chinese will pile pressure on. tom: maybe we will see that pressure today. we have our people in hong kong watching the story. also in beijing, karen leigh scheduled to be with us throughout the money. in new york city, here is ritika gupta. ritika: president trump is due to punish china because of the national -- the sweeping national law. he finds legislation would chinese that sanction chinese officials responsible for cracking down on political dissent in the city. beijing told the u.s. to quit interfering in chinese affairs. here's a very hong kong brain train are increasing, china moving to tax its citizens' global income. they could have a tax rate as high as 45%. the bank of japan is

if sanctions, and after the united states, the u.s. banksl have to abide by those, but that put them in a difficult spot. in theory, they would be in violation of it. a really difficult spot for the banks. i understand the need to prevaricate therefore, and figure out what exactly will be happening. i think everybody is trying to put themselves in that position. european close will happen and we will have the mom -- the numbers in a minute. ♪ guy: european stocks wrapping up the day. 30 seconds away from regular trading coming to a close. stocks pushing higher over the last hour on both sides of the atlantic. the price action yesterday fairly grim. as a result, what we saw this morning was europe coming in, fairly negative start. a tight range we are trading in. pushing up a little bit. i talk about session highs. i think that is a fairly pointed story to be talking about. these markets are struggling to find direction after the price action yesterday in the united states, which took some of the tech stocks down sharply. where we finish toda

it is a global phenomenon european banks have more exposure than u.s. banksthat is the issue of what to do with china. todaye standard chartered , you will see hsbc tomorrow. having to navigate difficult waters with regards to their positions in hong kong and thus far when it comes to the security law, the new security law, they are putting their eggs in the chinese basket. to does a u.k. domicile bank these institutions continued to keep one foot in both camps? octavio: you are right to ask the question. it is extraordinarily difficult, the idea of one country, does k systems is going out the window. that means chinese law will be the law of the land in hong kong , that means a lot more restrictions in terms of what goes in and out, what funds you can buy and what asset classes you can handle. a lot of the business is leaving hong kong. if you look the mutual fund outperformance, that money is disappearing, i would not say it is evaporating but it is moving quickly to taiwan or singapore where there is safety. on hong kong to carry on being the financial sec

u.s. banking mages have posted big drops in profits for the 2nd quarter taking morgan's earnings hot citigroup's were down almost 3 quarters and wells fargo posted its 1st loss for over a decade the trio of revealed also that they set aside a combined $28000000000.00 to cover bad loans during q 2. companies in developed nations have often been accused of turning a blind eye to conditions at the factories and farms where they source their products but now the german government is planning to make them accountable for their overseas supply chains spawning a new law that would impact a wide range of sectors from textiles to take. these pictures show the tea harvest in the northern indian state of assam many german wholesalers buy their tea here produced under working conditions that would not be allowed in germany says development minister gad miller. these are conditions like an early colonial times an awesome women working 12 hour days in the heat on steep slopes and earning $1.00 a day i mean. up to now german companies can commit themselves voluntarily to uphold acceptable social and ecological

filippo: you are correct in the sense that in comparison to the u.s. bankseurope had a fromsion -- also coming the message, we see the mother -- the moratorium tryingxtended to 2021, to push the problem into next year, hoping by that time the economy will be almost even and recovered and the banks will be able to absorb more loan-loss, as opposed to american banks who are doing a good job in frontloading. talk me through what the ecb is worried about. --arly it understands that looking at economic data and the virus data and i suspect autumn is going to be very difficult. in terms of the most extreme scenarios that the ecb is looking at, how close do you think we can get to some of those? announcedoday they the results of a stress test in the covid-19 environment. it is a worst-case scenario 570 points of capital go down. that doesn't take into account the fiscal stimulus we put on the table by the different governments. if you look at the fiscal packages, they are quite significant. -- that a lot of money -- that is quite a lot of money. [indiscernible] the

sachs.deck, goldman we talk u.s. bank earnings next.berg. ♪ ♪ welcome back to "bloomberg markets: european open." we are just 10 minutes into the session, which is proving to be broadly positive for european equity markets, lifted by hopes of a vaccine. citigroup, and wells fargo all reported earnings $47erday, setting aside debt.n in 2020 for bad next to report, goldman sachs before the u.s. open today. joining us is dani burger. different stories being told by jp morgan and wells fargo. is there any big take away from the banking industry so far? dani: it seems like the message coming from executives is that the worst may be yet to come in terms of the u.s. economy. wells fargo having its first loss in profits since 2008. jp morgan having a better-than-expected earnings thanks to release strong underwriting investment banking and notably, a consumer without as many delinquencies as we had expected. diamond -- jamie dimon saying that this has more to do with the stimulus, that we are likely to see the effects of recession down the road

u.s. banks reporting, plenty of those coming through the week. we've got a few central banks giving us their interest rate decisions, a little less likely to drive sentiment this week. looking to the earnings season for any clues. let's have a look at the gmm to see where we've been overnight through the asian session and any clues into the european session. flying, chinese assets taking off despite caution in chinese papers. the japanese nikkei come also strongly up .2% -- up over 2%. perhaps denial about the virus isdeciding the virus worse behind us, the flareups and maybeof the world, policymakers looking to the fiscal side. in fx, appetite for riskier currencies, the aussie dollar up .4%. we are getting risk on, which explains why sovereign bonds moved to the downside and commodities, copper showing its longest winning streak since 2017. exploration behind the most move, supply pushing prices, but the longer-term story has been positive. the longest winning straight since 2017 and with the

we get second-quarter earnings from some of the major u.s. banks.his from dani burger as we go through the program. jp morgan, citigroup, and wells fargo will be reporting today. we will bring you a preview, as i mentioned, of what we will hear from those banks in under an hour. let's talk about some of the geopolitics. it was this story and concerns around california virus infections that knocked markets off their stride yesterday in the u.s. deteriorating relations between the u.s. and china one of the chief headwinds faced by stockmarkets, besides the coronavirus. washington has escalated tensions further by rejecting beijing's expansive maritime claims in the south china sea. -- check mark -turn of therks a a of the previous policy of not getting involved. what is the latest on these u.s.-china tensions? this is a break from the previous stance on this particular issue from the u.s. >> that's right. in the past, the u.s. largely have limited itself for calling for freedom of navigation in this contestant waterway, which is critical for global tr

because at u.s. bankr people are dedicated to turning your new inspiration into your next pursuit. in a highly capable lexus suv at the golden opportunity sales event. lease the 2020 nx 300 for $339 a month for 36 months. experience amazing at your lexus dealer. ♪ experience amazing ♪ gantt: it makes me emotional. this is our world, this is what we live in, and the virus really did a number on us. dan: i mean, if you thought that this could've happened six months ago, i think everybody would've said that, you know, you were nuts. betram: it was unlike anything any of us had ever experienced before. patterson: my first reaction was this was gonna be bad. ♪ kough: they were panic buying. they were worried. they were scared. treacy: all of a sudden it was kind of like, "oh, my gosh, we ran out in literally less than 24 hours." abdulrahman: it's definitely different than how it used to be. it's not normal anymore. jon: six months ago, there's nothing that could ever disrupt our food chain.

banking sector. hsbc is sliding in hong kong trading after a report the u.s. ks in the city by destabilizing the currency peg to the u.s. dollar. hsbc draws more than two thirds of its pretax income from the city, and bloomberg news has learned that it was specifically mentioned in conversations about this in the united states. joining us for more is annmarie hordern, focusing this morning on everything to do with banks. what is the outlook for hsbc following this report? i suppose we should not be surprised that they might be on the wrong side of things when it comes to the american viewpoint, after what was said recently about security law. annmarie: certainly. last month, mike pompeo singled at the scene you over signing a petition supporting beijing -- singled out the ceo for signing a petition supporting beijing. a priority has been finding ways butunishing these banks, specifically hsbc was mentioned as a potential target. if some of these top advisors get their way with the administration, this could mean limiting the ability of hong kong banks to buy u.

calls if we can go back to that chart we were looking at where you have your calls for the big banks in the u.sd a hold for goldman sachs instead of a buy for everyone else. why? stephen: well, if you look across the franchises, the common element between j.p. morgan, bank of america and morgan stanley is really better diversification of the revenue streams. they have a much better diversification, particularly on the consumer side which is a big driver. obviously, that could hurt in a downturn but in an upswing, that will benefit them much better. goldman is more of a pure play. in capital markets activity and they live and die by that sword. they have gone relatively recently into consumer with the apple credit card. it was a bit of an up -- inopportune time as they built up their business right before a downturn. now they will have to bear some of those credit costs as well. i just like the diversification of the credit card, mortgages, international footprint with regional that the other banks have in terms of network banking and the like. it is the diversification aspect. shery: as we see

because at u.s. bank, our people are dedicated to turning your new inspiration into your next pursuit. >>> welcome back to "fast money. check out boston beer topping the tape today, shares bubbling over 25% after the company reported a monster earnings b t beat do the gains keep flowi ining w people are apparently drinking while they're home bonawyn, i hear through the grapevine that you have firsthand knowledge of some of these products [ laughter ] >> you know, i love the products if you kind of look out of the whole competitive landscape going on in the food sector, you're seeing a rotation into health conscious consumption whether it's calories on menus or a vegan burger at some of the fast food chains i think this is a trend. when the bars opened you saw a glut of consumption there. those got closed i can be health conscious and calorie conscious while i do it. >> the hard seltzer with a beer. the question is will these consumption patterns continue as the economy reopens? as the economy worsens, is

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forreak down the results the first lot of u.s. banks porting. this is bloomberg. ♪ >> this is daybreak: australia. i'm karina mitchell. >> china is accusing organizers at a primary vote of seeking revolution. paging says the event was illegal and benefited from the support of foreign forces. election was scheduled for september and final results have been delayed amid sign beijing may prosecute or disqualify antigovernment figures. trump administration is backing off a high-profile fight with harvard and other colleges made foreign student visas. they are rescinding a controversial policy that would have required international students to go home if they could not take physical classes following legal action. sydney is on high alert for a large-scale coronavirus outbreak as cases linked to melbourne seem to have moved across the state border. confirmed cases have now passed 10,000 283 new infections by tuesday. 270 are the state of victoria which went bet -- back into lockdown. australia had hoped to ease most restrictions by july. global news,

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most of the european banks coming in at plus 40 or 50% year over year compared to some of the u.s. investment banks that are up over 100% year over year. steph, we're getting another reminder of how many hurdles the banks have to get over it gets undone quickly they're holding in better and massively outperforming. the money center banks thet did have great quarters, right? and the stocks are still cheap they don't have as high dividends. i think that you're going to see more dividend growth from a morgue an stanley. maybe not goldman sachs. i wouldn't touch the european banks. the capital levels are not nearly what the u.s. banks r i think there is market share had. i think that's what's been happening. this issy own special situation stories. wells fargo with the turn around morgan stanley with e-trade. all these things are down-and-out i think into a recovery into next year they should do better. >> some chief price to book multiples though, steph. if you do want to venture on that side of the pond. mike, on the yield point, clearly we could close at some record lows of yields to

u.s.. this is valid for all of the wealth manager and the european national -- loansne: how you view bad ? is it a testament to the economy? a lot of the banksan important function of getting loans to the companies that need it most, where the government is asking it. do you worry about nonperforming loans in europe but also in the u.s.? francine: overall, the difference of this crisis between the last one is the last , this time banks are the solution. the last time mistakes are made by the banks, this time the governments are guaranteeing loans. the banks of the arm of the government. they will not be on the hook for all of credit they accept. -- hence i doept expect banks will keeping profitable, and some of that is worth seeing. so far, extremely profitable despite the pandemic. alix: which ones? davide: in europe you have upside overall in the index. to be pragmatic, it is the european banking index has about 150 euros of book value to share. that is how much cash. today it creates less than 70. you are paying less than $.50 a dollar or sense in the euro for a banking sector that will meet its cost of capital. if you think that some of

because at u.s. bank new inspiration into your next pursuit. >> garrett: on tomorro evening news," the latest from a covid patient who was one of the first to receive plasma therapy back in april. could his recovery be the key to others' survival? and if you can't watch us live, don't forget to set your dvr so you can watch us later. and that's tonight's "cbs evening news." for norah o'donnell, i'm major garrett in washington. thanks for watching, and

this afternoon, it is more u.s. bank earnings. today it is bank of america. 1:30 p.m. u.k.christine lagarde will hold a virtual press conference after the ecb meeting. will she be asked about whether there will be further stimulus from the ecb later on this year? will she be asked about how the extraordinary measures are reversed? we will talk more about that later in the program. second waves of the coronavirus are spreading around the world. tokyo and victoria has posted record cases with a surge continuing in the accident -- in california. some are concerns around possible vaccine side effects. we will wait for details perhaps in the coming days. joining us now is reacher's director at bloomberg. all theou are across talk on a vaccine. your thoughts a day after the market was transfixed by mode dharna -- by moderna. what are your thoughts after seeing the latest reporting around vaccines? >> good morning. if you could see my face it would be one of those agog faces wondering why people are getting so excited about a 45 patient trial which, albeit positive for what it is,

turkey is dependent on foreign money to grow the economy and it's introduced bans on some u.s. banks that are trying to short the stock market well joining me now from london is andrus craig anderson is in the system professor at king's college london with the school of security department of defense studies good to have you with us how easy is it right now on the economy to be fighting all of these war zones. not very easy. as you rightly said is under immense economic pressure following the current 1000 crisis after kind of 820198 prospect for true to those 20 which was relatively positive. nonetheless turkey is obviously already down in iraq and in syria and now as engaging in in libya in quite an extensive way you know in in an expert in an expeditionary operation that is unprecedented in many ways but what tookie has been able to do over the last couple of years is revolutionize its way in style of warfare to use to engage in something that i would call surrogate warfare where there externalizing the burden of warfare as much as they can to local forces or to technology which me

because at u.s. bank inspiration into your next pursuit. >> garrett: on tomorrow's "cbs evening news," the latest from a covid patient who was one of the first to receive plasma therapy back in april. could his recovery be the key to others' survival? and if you can't watch us live, don't forget to set your dvr so you can watch us later. and that's tonight's "cbs evening news." for norah o'donnell, i'm major garrett in washington. thanks for watching, and good night. >>> right now at the pic >> breaking news big day bay area freeway shooting leaves several people injured. right now, traffic is backed up for miles through alameda county pic >> much of the state is hit with new coronavirus restrictions. what it means for july 4 celebrations in the bay area. >> we can't come and enjoy our week like we have traditionally been able to. >> we just got a table yesterday. it was the first reopening. >> it is so filthy, contaminated and riddled with germs. >>> a former san quentin inmate revealing to kpix 5 iske i

was defeated in elections in 2018 amid growing anger over the allegations last week u.s. bank goldman sachs reached a near $4000000000.00 settlement with the malaysian government over its role in the scandal thank you let's bring in our guests now and in kuala lumpur we have isa on oh he's senior fellow with singapore institute of international affairs and a former political secretary to najib razak in london we have cleric arsal brown she's an investor journalist who helped expose the one scandal and also in kuala lumpur with her we have bridget welsh she's an ornery research associate at the university of nottingham malaysia campus a very warm welcome to all of you clare you spent years exposing this scandal how does it feel today to see najib being sentenced. well. i hate to sort of use the word vindication or you know i i didn't one ever feels enormous delight at seeing someone poor will be faced with such punishments but i think malaysians deserve to have this crime identified for what it is and for a deterrent to be put in place so i think the situation i have now is is

jp morgan, citigroup, wells fargo kicked off reporting season for u.s. banks. investors are braced for heavy provisions. trading revenue could be the bright spot. 6:00 a.m. inne london. 9:00 a.m. here in dubai. the defining sentiment of u.s. markets and the world will be defined by this family, jvm, bank of america, goldman sachs. do you want to take a look at the spread between gs and the rest of the banks? it is going to be confusing, sloppy, and shocking. is provisions. bank of america warns wells fargo the dividend could be toast. ficc that saves the day? this is the defining narrative on the consumer, confidence, and the outlook for the u.s. pandemic won't disappear in coming months as the total pace is 13 million, california closes its doors to indoor dining and bars, shutting its two largest school districts as hospitalizations hit a record. our guest is with us. .nd unsynchronized moment how does that redefine the narrative for the amount of risk you want to put in at the moment? good morning. welcome back. >> good morning. very happy to be with you. res

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five of the biggest u.s. banksllions of dollars for that. $272 million.er that was less than expected. there is still that you have doubt about the uncertainty. the banks are still putting some of that money away but it looks like it will be a bumper quarter for banks in europe and the united states. nejra: of course, the trading will be in focus as well as in the u.s.. forecast,rimming the so not quite so positive here. the results were basically in line. they missed on earnings-per-share by just a penny. the sales forecast is what investors will likely be looking at. novartis -- some of their key drugs have suffered in the pandemic. they have seen different patterns and hospitalizations for the pandemic. we will see how both of these open in premarket in the next hour. nejra: in reordering, great work. -- annmarie hordern, great work. the funds, lower than what was initially tabled. european futures in the green. the european open is up next. this is bloomberg. ♪ >> good morning. welcome to "bloomberg markets: eu

the six giant u.s. banks of dollars from profits to brace for a coming wave of souring loans. the lenders that reported have set aside any $5 billion in loan loss provisions. joining us for a wrap of the latest from u.s. wall street and u.s. banks and their earnings is dani burger. how bad did the environment look that banks had to set aside such a large amount, such a big figure for souring loans? dani: the environment certainly is not rosy for banks and for credit more generally. one of the strange things about this environment is that it does not quite look as what you would expect it to be, considering the $35 billion set aside, 11% unemployment rate. when we look at the amount of delinquencies, loans that thousand two delinquencies actually lessened this year -- that fell into delinquencies actually lessened this year. if anything, the huge amount of loan loss provisions that have been set aside if anything are an indication that banks just have not a clue what the environment is going to look like at th

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