Both Citigroup and Bank of America are down more than 20% in early trade today, and I imagine that Hank Paulson and Tim Geithner are starting work on yet another weekend deal of some description, since at this rate it seems that neither institution is capable of surviving in its present form much longer. They should embrace the inevitable and just nationalize the two banks.
The Economics of contempt has more. But I am not sure he is right that only Bank of America has problems. But recent news stories do make it seem that Bank of America is the most desperate right now.
But all the banks seem to be in big trouble right now. Look at this from Calculated Risk.