In an interview with Charlie Rose scheduled to air in full tonight on PBS, Treasury Secretary T. Geithner said none of the nation’s 19 largest banks that underwent government stress tests are insolvent and the results will reassure investors and the public that the U.S. financial system is sound.
From Bloomberg: While some banks will need to raise more capital…I think the results will be, on balance, reassuring,” Geithner said. “None of those 19 banks are at risk for insolvency.”
Also today….Geithner, speaking in Washington, said he expects the “vast bulk” of banks will be able to raise needed capital “through private sources” instead of getting government financing.
“There is very significant cushions in these institutions today, and all Americans should be confident that these institutions are going to be viable institutions going forward,” Geithner said. “What we want to do is make sure that people have confidence that our financial system is going to be able to get through this and going to be able to lend.”