Meredith Whitney Interview

Today influential analyst Meredith Whitney was on CNBC’s Closing Bell with Maria Bartiromo. She discusses the fundamental backdrop of the economy and specifically for the banking system. She also reveals that she is more bearish than she has been in a year and basically echoes my belief that NOTHING has changed. The economy has been stabilized by massive amounts of liquidity but if that liquidity were removed this economy would not be able to function on its own.

http://www.cnbc.com/id/15840232?video=1332936523&play=1

Given her valuation metric for banks (she says they are worth tangible book value) the bank that I purchased put options on last Friday should decline by 80% which is about in-line with what the chart was/is telling me.