Funny comment from the markets analyst at the FT:
"If the Treasury’s plan works, we may have seen the market’s bottom"
So watch out because if you can see the market's bottom it may be just about to dump on you, as I explained yesterday about the banks and the Geithner Public Private Indecent Payola Program.
US markets surged 7.1% after Geithers announcement and this was carried forward into Asia, but the FTSE dropped 2% in the first hour this morning, perhaps a sign that the UK has not got the wherewithall or finances to put together a similar scheme in the Uk where it is needed most (apart from Iceland and Ireland).
With most bank market caps below net book value, perhaps the US market rise was just a recognition than some anticpated write-downs in the banking sector will not happen.