Reply #20: Anyone can know this: Bank of America is a zombie, the bailouts a patch-up fraud. [View All]

[JackRiddler]

They (and Citi) have been on a treadmill of near-zero-interest loans from the Fed and cash from the Treasury. Even with the moving of many toxic assets to public debt, the banking sector still has trillions in derivatives to unwind. They've also been getting to mark up their fraudulent paper as worth more than market price. And there's the mortgage title scammery and foreclosure fraud. There are probably dozens of items on their books that if exposed might cause this beast to unwind into a giant pile of yarn. Not to mention all the possible frauds that would likely implicate other banks or the Fed. Let's see if it starts Monday with market hits, just on the sizzle of the one tweeted word, "safer."

In other words, the banking crash was not unwound, the debt burden and the derivatives bomb are still there, the bailouts have been a delaying action, and the zombies will fall down again even if Wikileaks does nothing. Their advice by Twitter is sound: move your money out of BoA and the other monster banks, if you have any there.