Bank of America is reporting that quarterly profits did fall, but less than expected. I guess in Lay-person language that’s a very positive sign. The 40% drop in earnings show that the bank has stated a loss for the past 12 months.
Bank of America goes on to say the compesating business was investment banking that showed a $357 million trading profit. So where’s the credit crisis? It’s on Main Street, not Wall Street.
I have to give Bank of America credit for their positive attitude towards the mortgage business. If my instincts are correct, they will emerge as a Super Player in consumer mortgage banking as well as wholesale business through mortgage brokers, small banks and credit unions.