Have the Banks Really Bottomed? (at Seeking Alpha)

by: Barry Ritholtz posted on: July 20, 2008 | about stocks: C / XLF Very strange confluence of media coverage this morning on the banking sector. All three major financial papers (WSJ, NYT, Barron's) have stories on the bottom of the banking sector: (cover story) Can you recall the last time 3 major media players all picked the bottom in a market or sector on the exact same day -- and were all proven correct? Perhaps the caveats are worth noting -- I found it interesting that all publications had some moderating hedges in place (as opposed to some recent embarrassing cover articles). As we noted early this week, we covered most of our shorts in the financials, and are now looking for a bounce play in these names. However I remain unconvinced that Banks are now a good long term investment. Why? The business model of Leverage... [read full story]