Financial stocks were mostly stuck in reverse on Monday as a plethora of bad news countered mounting calls for the government to bail out troubled subprime borrowers.
Treasury Secretary Hank Paulson essentially
Still, individual financial stocks were losing ground.
(WFC) -- all of which surged Friday on news their executives are
Also on Monday, Boston Federal Reserve President Eric Rosengren said evidence points to the foreclosure crisis getting "worse before it gets better." But he also said that one-fifth of subprime borrowers could actually be well-qualified enough to upgrade to prime loans and/or participate in loan guarantee programs.He also cited the 1.2 million subprime borrowers -- a full 55% of those with non-jumbo adjustable-rate mortgages (ARMs) occupying mortgaged houses -- who haven't missed a payment in the past year and could also qualify for a loan guarantee program.