What Y’all Think of Stress Test Where Everyone Gets an A
So, I think everyone knows or feels that the stress test will be a managed success. The results will demonstrate financial stability. I think there might be even an appropriately managed outcome in the negative for some of the analyzed banks (after all they cant let everyone get an A on the test and be credible can they?) What the real question is, though, is whether or not a happy stress test is priced right in the market? Will the results be announced and the retail public scramble to jump back into the pool? Or will we all sell the news whatever it is?