The man of the hour, Dr. Doom aka Nouriel Roubini of the NYU Business School, suggests we are in a prolonged U shaped recession that has at least 20 months to go. He is worried, though, that continued propping up of the zombie banks means that we have not yet found a bottom.
Today’s markets certainly seem to confirm the view that a darker view is settling in.
Meanwhile, “Little Tim” Geithner is nowhere to be found. Instead the WH trotted out their PRESS secretary to calm the markets?!? Good lord, there is no leadership here, just whistling in the wind. Even Republicans like James Baker are giving the green light to bank nationalization (although he does not call it that). (See Baker’s FT column on killing the zombies here.)
But still Obama fiddles while the markets burn.