by Tyler Durden
At this point there are just two options for BOA: the spin off of CFC as a bad bank, backstopped by the Fed, or Chapter 11, which for a bank is essentially liquidation (and with CDS trading up 50 bps to 260 a bankruptcy seems increasingly inevitable). It also means that another TARP is on the way. And once America realizes that another several trillion have to be put into its insolvent banking sector, it will get quite violent.
http://www.zerohedge.com/news/here-comes-tarp-2-bank-america-implodes-687-bac-cds-20-260-bps-bankruptcy-contemplated
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