These 8 Large US Financial Institutions had their average stock prices drop by a massive 91% from the midpoint of President Bush's second Presidential term on December 31, 2006 and very early in President Obama's first term, or on March 6, 2009, which was these US Financial Institutions' very lowest point resulting from the 2008 Financial Meltdown.
But nearly miraculously since March 6, 2009, the average stock prices of these 8 Large Financial Institutions have increased by an off-the-charts 544% through today January 13, 2014.
Clearly, the stockholders and executives of these 8 Large US Financial Institutions must be extremely pleased with the financial impact of actions taken by both the Obama Administration and the US Fed, which rescued them from almost certain bankruptcy.....when you lose 91% of your market value, there is an awfully good chance you are headed for the financial junk pile.....certainly at least 6 of the 8 were, probably even all 8 of them were.
But these actions weren't enough....not even close to being nearly enough. Economists like Paul Krugman and Christine Romer were spot on here from the very get go. Much more wisely-designed US economic stimulus was needed and is still needed to solve the country's still huge unemployment, underemployment and income inequality problems. And it can't be just a trickle down approach......that just further expands the already huge income inequality problem.
History will say that more than anything, this one's on the US Congress. They have many bright, very dedicated members. It's just that they don't have the requisite financial expertise to effectively tackle such a monumental financial problem.
The first chart below shows the common stock prices of these 8 Huge US Financial Institutions on March 6, 2009, very early in President Obama's first term, and also on December 31, 2006, smack dab in the middle of President Bush's second term.....down 91% in the aggregate.
And the second chart below shows the stock prices of these 8 Huge US Financial Institutions on the most recent date January 13, 2014, and also very early in President Obama's first term on March 6, 2009......up 544% in the aggregate.
| Market | Market | Percentage | ||
| State | Price | Price | Increase | |
| HQs | 3-6-09 | 12-31-06 | (Decrease) | |
| US Big 8 Financial | ||||
| AIG | NY | 7.00 | 1,433.20 | -100% |
| Freddie Mac | VA | 0.36 | 67.90 | -99% |
| Fannie Mae | DC | 0.36 | 59.39 | -99% |
| Citigroup | NY | 10.30 | 557.00 | -98% |
| Bank of America | NC | 3.14 | 53.39 | -94% |
| Sallie Mae | DE | 3.28 | 48.77 | -93% |
| Wells Fargo | CA | 8.61 | 35.56 | -76% |
| JPMorgan Chase | NY | 15.93 | 48.30 | -67% |
| Average % Decline all 8 | -91% |
=====================================================
| Market | Market | Percentage | ||
| Price | Price | Increase | ||
| 1-13-14 | 3-6-09 | (Decrease) | ||
| US Big 8 Financial | ||||
| Fannie Mae | DC | 3.03 | 0.36 | 742% |
| Sallie Mae | DE | 26.95 | 3.28 | 722% |
| Freddie Mac | VA | 2.93 | 0.36 | 714% |
| AIG | NY | 51.46 | 7.00 | 635% |
| Wells Fargo | CA | 45.56 | 8.61 | 429% |
| Bank of America | NC | 16.43 | 3.14 | 423% |
| Citigroup | NY | 53.72 | 10.30 | 422% |
| JPMorgan Chase | NY | 57.70 | 15.93 | 262% |
| Average % Increase all 8 | 544% |
