When the New York Times begins to raise the possibility of giving bondholders haircuts instead of making the taxpayer bear the entire cost of bailouts, we may think there is a change in public opinion, but will it change government policy?  Well, Timid Tim is “in control”, so…

According to Reuters, the government is going to reveal the bank stress test results soon.

“The Obama administration is drawing up plans to disclose the financial condition of the 19 biggest banks in the country, the New York Times said, citing senior administration officials.

While all of the banks are expected to pass the tests, some are expected to be graded more highly than others, according to the paper.

Officials have deliberately left murky just how much they intend to reveal – or will encourage the banks to reveal – about how well the banks would weather difficult economic conditions over the next two years, according to the paper.”

Even Rob Blackwell, writing in the American Banker, is skeptical about the stress tests. Read his honest answers to frequently asked questions.