With Deutsche Bank posting a surprising fourth quarter loss, it's time to give credit to just how much Bernanke and the Fed did for the US banking system

With Deutsche Bank posting a surprising fourth quarter loss, it's time to give credit to just how much Bernanke and the Fed did for the US banking system. Deutsche Bank saw declining demand for banking services as well as lower debt trading revenue and a spike in legal costs. While certain US institutions are still facing high legal costs, much of the pain was taken early on as banks were forced to raise money and write down bad debt. Bernanke made what could have been a disastrous period for banks much easier to stomach by lowering interest rates to zero and injecting plentiful liquidity into the system. He also was a key player in drafting banking reforms which should help the US avoid the same mistakes. With the six major US banks closing in on record profits, they should have no reason to complain. (VIEW LINK)