Standard And Poors Reviews 37 Global Banks, Downgrades Bulk - Full List Attached

Tyler Durden's picture

Bank of America now precisely at $5.00 following an after hours downgrade from A to A-. We note that BofA's CDS widened 10bps today while MER CDS widened 18bps and notably wider (we haven't seen runs post downgrade) and we wonder how this will impact the firm's huge derivative book which was recently moved to the Bank's higher rated, and deposit backed unit for its better rating support. In fact, following such a drastic action, it is quite likely that derivatives units across the board will see counterparties scrambling to demand a far greater cash cushion for fears of the same downgrade waterfalls that took down AIG and MF Global.

Standard & Poor's Ratings Services today said it reviewed its ratings on 37 of the largest financial institutions in the world by applying its new ratings criteria for banks, which were published on Nov. 9, 2011. See the Ratings List for the ratings on these banks, their core and highly strategic subsidiaries, and other subsidiaries that we took rating actions on as a result of applying our new criteria to their parents. We will review all ratings that we placed on CreditWatch within 90 days. Ratings on CreditWatch are designated as Watch Neg or Watch Pos in the list below.


We will publish individual research updates on the bank groups identified below, including a list of ratings on affiliated entities, as well as the ratings by debt type--senior, subordinated, junior subordinated, and preferred stock. The research updates will be available at  and on RatingsDirect on the Global Credit Portal. Ratings on specific issues will be available on RatingsDirect on the Global Credit Portal and


Standard & Poor's will be hosting two teleconferences to discuss the application of the newly revised criteria and the related ratings actions. See the teleconference information below the Ratings List. 

Full list of every bank and security downgraded:

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speconomist's picture

Wells Fargo downgraded too according to Bloomberg.

The Big Ching-aso's picture



I'm confused.    Who in the fuck does S&P work for?

tmosley's picture

The people who went hard short before close, duh.

GenX Investor's picture

$4.98, $4.98, $4.98 oh yea!


So what is everyone doing for the Bank Holidays this year? 

Steel_Preacher's picture

Loading the ARs and stringing more concertina wire.

Cleanclog's picture

Will CNBC ask Meredith Whitney for her opinion?  Bloomberg just had Sean Egan on and as usual he was very cogent.  On banks stand alone earning abiility, Fed support, sovereign and banks hooked at hips, etc

American34's picture

Can anyone say BANK RUN! :)

Oztralian's picture

* Bank Run *

oh, look. we're all still here.

Comay Mierda's picture

economic martial law will be in full effect to prevent bank runs in the USSA.  bank holidays & withdrawal restrictions will become the new norm

My puts are happy right now, but I will cash them in soon for gold.  I think there be a lot more MF Global situations popping up with brokerages that have lost/stolen client money

if you are trading anything in this market, make sure it is money you can afford to lose.  

The Fonz's picture

Thank goodness! My shorts were really starting to chafe the way S&P rubbed up against 1200 all day. I was worred about that! Good Times!

Al Gorerhythm's picture

Edited comment.

It's how they roll. Up arrow.

Manthong's picture

All is well... consumer confidence is up.

rocker's picture

 Speaking of confidence.  How have to like the reason S&P said they downgraded them.

 S&P is in the opinion that becasue of negative feelings about bailouts.

 There will be no more Bank Bailouts. It is really hard to believe that it was expected again.

 The new rumor is QE3 will be mostly  used to monetize bad mortgages on the banks balance sheets.

 What the hell is going on. Who runs the FED. Didn't the Bernanke say under oath, I will not monetize.  

DeadFred's picture

He didn't pinkie swear though.

MJ's picture

I get the feeling the Demagogue-in-chief will scream bloody murder at his largest benefactors before the start second act in this political tragicomedy.  Getting close to the time where they lob him a meatball.

Steaming_Wookie_Doo's picture

I'm thinking that large benefactors may prefer to hitch their wagons to Newt or whoever the Repubs put out (not that that's any better), rather than keep pitching money at the thankless idiot. Idiot will only stay around if he can keep delivering what the .01% want. If he can't, he'll lose in a Carter-like landslide, or-- if there are some threats/promises made-- refuse to run a la LBJ.

tarsubil's picture

There are plenty of signals that it will be Hillary vs Newt. Makes things easy as the election won't interupt my magazine loading and kukri sharpening.

The Big Ching-aso's picture



"So what is everyone doing for the Bank Holidays this year?"


Watching 'It's a Wonderful Life' about fifty times.

ucsbcanuck's picture

As opposed to watching the market and thinking "It's a Wonderful Lie"?

ucsbcanuck's picture

Naked shorting ban coming right up. You heard it here first...

SilverIsKing's picture

I've heard that one before.  Hey, pull my finger....

equity_momo's picture

The unintended consequences if the regulators decide on that will ensure the market really does tank.  Would be as dumb as preventing the CDS payout on the Greek default.

Gidas19's picture

$707,568,901,000,000 represents the latest total amount of all notional OTC outstanding derivatives... why ban naked shorts?

Carlyle Groupie's picture

Congress people, congressional aids, senators, aids, lobbyists, lobbyists baby mommas, certain white shoe boys.

I'm certain I missed a few, no disrespect intended.

Uchtdorf's picture

None of the unwashed masses like me?

Fazzie's picture

 Let me check......hmmmmmm......nope. Not on the list. Hope and change! Merry Christmas!

Piranhanoia's picture

The guy, who's eye, is coming from a periscope on the back of the pyramid on a green and black currency in easy to hide denominations or guaranteed deposits offshore.

Aductor's picture

For us.

Kind regards,

The other banks


Maybe S&P will now upgrade the US credit rating to AAA again citing improving conditions following the Super Committee's glorious holiday impasse.  Who the phuck cares about these trolls? 

SunBlaster's picture

"Who in the fuck does S&P work for?"

I keep wondering on this myself, COULD anyone verify who is the REAL controlling entity of S&P is? Somehow I think recent letting go the CEO over USA AAA downgrade was just for show.

Real Money Wins's picture

The S&P and Moody's and the like are regulated by the SEC. Who regulates the SEC why the US government of course! So once again S&P regulated by corrupt government agencies like the Treasury and Justice Departments, who only regulate what they want regulated and the hell with everything else even if it is illegal.

camaro68ss's picture

Holy Shit!

We all seen this coming!

We dont need no water let the mother F**** Burn

a growing concern's picture

Burn, mother fuckers, burn!!!!

My puts thank you.

WonderDawg's picture

Now maybe Citi will finally tank. My puts are counting on it.

ucsbcanuck's picture

I have puts on:

BBVA (downgrade)

Santander (unchanged, with appropriate ticker symbol STD)

BAC (downgrade)

JPM (unchanged)

MS (downgrade)

It doesn't matter if a bank didn't get downgraded, because this thing is CONTAGIOUS

Sunset chaser's picture

OK....BAC....Let's see here....

Over two trillion in liabilities according to the latest balance sheet.....Check!


Operating income applicable to common shares 2009 and 2010, negative......Check!


Another annual loss for 2011 so far......Check!


That makes BAC a company with over 2T in debts operating at a shareholder loss for the past three years running, and it's still worth $50B.  That is amazing, as in amazing opportunity for my puts to explode in value.



AldousHuxley's picture

watch out.


obama won't disappoint Buffet....same government rescue play with goldman sachs.


Bernanke just waiting until  spring 2012 to launch QE3 big time to boost Obama's election.


meanwhile, let non-government folks suffer a bit to concentrate even more power in the hands of government folks (aka. the status quo)

johngaltfla's picture

All but 7 of the NY Fed's Primary Dealers got whacked. Coincidence? Nah, US paper is crap too, nobody but S&P is being somewhat (cough, giggle, snort) honest about that too.....


List of Primary Dealers zapped is here:

i-dog's picture

Sooo ... Jefferies, Canada and Japan are "safe", while the rest are more risky? Interesting....

ilion's picture

I guess this means that markets will rally tomorrow.

chunga's picture

Of course it will. What happened to treasuries when the U.S. got it's downgrade? Too funny.

lotsoffun's picture

so this means bank stocks are cheap and a good buy?  i'd hate to miss the bottom?