The U.S. economy is ready to take off, says BlackRock's Larry Fink, and a push by U.S. banks to...


The U.S. economy is ready to take off, says BlackRock's Larry Fink, and a push by U.S. banks to make new loans should help lead the way. "Aggressively” stepping up lending, he said, would spur hiring by businesses which would bolster economic growth. Capitalization is not the issue here. "Our banks are the best capitalized institutions in the world," Fink says. "The problem for banks going forward is making sure they originate enough loans." Which, in turn, is also the solution for sparking economic growth. (Video).

Comments (14)
  • phdinsuntanning
    , contributor
    Comments (1346) | Send Message
     
    The money supply is...
    $3T higher than in 2008.
    - US GDP is up $2T
    = $ 1T capital transfered to capitalize the banks.
    Who said macroeconomics is complicated?
    The problem is banks have no any intention to loan,
    thy want more easy money.
    8 Mar 2013, 08:01 PM Reply Like
  • DavidTTaylor
    , contributor
    Comments (58) | Send Message
     
    Agree with you.
    Mr.Fink is a little bit late discovering that US economy is taking off.
    some analysts signaled on it last December:
    http://alturl.com/phc4f
    9 Mar 2013, 05:17 AM Reply Like
  • DaLatin
    , contributor
    Comments (1522) | Send Message
     
    Along with the Fed other Central Banks are floating almost 8 trillion. The World markets have rallied 10 trillion of 2008 bottoms and 80% is monopoly monies..

     

    So what, nobody can't fight any Central Bank and they all want equities higher. One big happy group..

     

    Mr. Fink sees the forest with the trees in it and he knows the Fed & Central banks will keep fertilizing..

     

    In the US the deep recession is technically over,but, to millions it never ended.. It is finally climbing out and all this talk of a market crash is not even denting the wall worry climbing..

     

    Soon, the billions on the sideline will throw in the towels and buy. They will push markets much higher. When the public finally join the party ..Then I will sell my shares to them and just keep the BDCs an MLPS for the yields.

     

    The right thinks the US labor rate is their go to stat to say things aren't good.The U6 14.6% rate is happening because the 12,000 seniors who reach retirement age daily were hanging on to there jobs,but,as the market powers higher an there wealth returns or is finally growing they can retire. So, the shrinking labor force is in the eye of the spinner.
    8 Mar 2013, 08:28 PM Reply Like
  • DaLatin
    , contributor
    Comments (1522) | Send Message
     
    Sorry. I meant to write nobody CAN fight the Fed. Not can't.. Pardon
    9 Mar 2013, 07:19 AM Reply Like
  • Rinascimento
    , contributor
    Comments (1592) | Send Message
     
    Somebody please tell this guy to shut up!! let's have the banks mark their assets to market by independent auditors instead of the banks themselves and then we'll see if our banks are the best capitalized
    8 Mar 2013, 08:30 PM Reply Like
  • Haighty
    , contributor
    Comments (43) | Send Message
     
    The Fed should stop paying banks 0.25% / year on reserves they park with them. This is a disincentive for banks to increase lending. Why should they take risk when they can get a guaranteed 1/4 point return? Bernanke must know this, but it appears he's just playing the game of appearing to be very accommodating knowing full well QE has not been the economic stimulus it's made out to be.

     

    This idea of the Fed's QE "propping up" the economy is the most misperceived economic notion in a long time.
    8 Mar 2013, 09:28 PM Reply Like
  • Herr Hansa
    , contributor
    Comments (3130) | Send Message
     
    It figures. Only on CNBC, the cheerleaders of the market.
    8 Mar 2013, 09:30 PM Reply Like
  • moreofthesame
    , contributor
    Comments (739) | Send Message
     
    the only actual money that the banks ever got their hands on is what they were able to grab from the working public and what they can earn from market manipulation as they themselves never provided any actual service that benefited society. Considering that the interest rates are very low they need to create the illusion yet once again that the crisis is over and its time to raise the interest rates, then we will enter another "economic cycle" or another turn in the spiral downwards into financial fairyland where the evil witch is buying up everything.
    8 Mar 2013, 09:30 PM Reply Like
  • wes4rocknroll
    , contributor
    Comments (8) | Send Message
     
    "The problem for banks going forward is making sure they originate enough loans."

     

    I bet that's the exact same thing the banks thought when they sold all those mortgages to people that didn't deserve them.
    8 Mar 2013, 09:36 PM Reply Like
  • davidshelton
    , contributor
    Comments (363) | Send Message
     
    If all the excess liquidity makes it to the economy via loans, we'll really say, "hellooooo inflation" this time!
    8 Mar 2013, 09:56 PM Reply Like
  • Ron Myers
    , contributor
    Comments (255) | Send Message
     
    Pricing on most lending is more competitive than ever. Banks are lining up at the door to lend. What is missing are worthy borrowers with actual cash flows to service their debt.
    8 Mar 2013, 10:41 PM Reply Like
  • into dark shadows
    , contributor
    Comments (460) | Send Message
     
    Come on man! (Mr. Fink).
    One word is missing sir,
    DEMAND!
    This is a joke and the working man / woman are the brunt of this garbage!
    If things were so dang good, we could give those people who worked and played by the rules all their lives something more than the lousy .20 % they get on their life savings!
    This fed has and continues to distort and destroy the once mighty Free Market System that has made this country the envy of the world!
    A true recovery would not be forcing those among us who can least accept the added level of risk we are being forced to endure!
    And if I hear how the money on the sidelines is going to come rushing back into this perversion of a stock market one more time, I will puke!
    9 Mar 2013, 12:37 AM Reply Like
  • Mking30
    , contributor
    Comments (142) | Send Message
     
    yaah, so everyone thats conservative has been waiting on the sidelines for the markets to hit alltime highs and now there ready to get in? The world is an advertisement!
    9 Mar 2013, 02:53 AM Reply Like
  • Archman Investor
    , contributor
    Comments (3318) | Send Message
     
    Mr. Fink continues to be a salesperson for Wall Street and every other entity that wants to enslave Americans.

     

    Americans should borrow nothing. Starve the beast. Wreck the system. Reset everything that is wrong with this country. Put people like Mr. Fink back into the middle class (though as everyone knows that class is disappearing as well).

     

    Debt is not wealth.

     

    Put people like Mr. Fink in the middle of a town hall meeting with those who are barely getting by. I am sure he will be a hit and the life of the party.
    11 Mar 2013, 06:53 AM Reply Like
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