While Barack Hussein Obama took office today amid record crowds for a presidential inauguration (and Bush was choppered out), banks were having a rough day at the office.
Shares of Bank of America, Citi and JPMorgan Chase lost more than 20 percent of their values on concerns of their healthiness going forward (late last week, BofA and Citi reported some not-so-nice looking earnings). Investment management giant State Street also took it on the chin, as its share price was cut in half after it reported a significant slide in quarterly profit. And apparently the market didn’t like what it saw regarding PNC’s integration of National City, as PNC’s shares fell more than 30 percent.
But don't ditch your bank stocks just yet. Though it appears that a changing of the guard in itself might not give the banking industry the savior it so badly needs, investing guru Warren Buffett says you should still put your chips on Obama (as long as you don’t double down on a miracle).