Banking Giants Bank of America, Citigroup and Morgan Stanley Face Sharp Credit Downgrades

Despite claims the worst of bad economic times are behind us in the U.S., three of our largest global banks are facing stiff credit downgrades from Moody's, one of the world's major credit rating agencies. http://dealbook.nytimes.com/2012/03/29/three-major-banks-prepare-for-possible-credit-downgrades/?nl=todaysheadlines&emc=edit_th_20120330

If you have your savings with them, please be sure you have those savings in government guaranteed accounts just in case these banks keep deteriorating. Though they are huge, their weakened condition helps to explain why Ben Bernanke and the Federal Reserve are holding interest rates at near zero.

In effect, it means savers like you and me and elderly retirees are subsidizing these banking giants with the Fed's hope they will finally bounce bank strongly, as they are categorized as "too big to fail." This means we as taxpayers are liable again for bailouts in the event they fail again.

I know it is hard to cheer for these behemoths but on behalf of their employees, shareholders, bond holders and savers from all over the world, let us hope they eventually prosper.