Royal Bank of Canada (RY on TSX and NYSE) today announced that as a result of strong investor demand for its domestic public offering of Non-Cumulative, 5 year rate reset Preferred Shares Series AJ, the size of the offering has been increased to 14 million shares.

Greenspan warns Bernanke and the US people not to use the magical piggy bank which is the Federal Reserve's ability to make up money out of thin air. Only Greenspan denies that the magical piggy bank is real. HAHAHA. He accidentally told the truth! The Federal Reserve can and will and does make money out of thin air.

The Wall Street Journal has a front page story on the amount of floating-rate notes that banks will have to rollover within the next few years. According to a JP Morgan analyst, financial institutions will have to pay off $787 billion in notes before the end of 2009.

The Federal Reserves and the Office of the Comptroller of the Currency have issued more memorandums of understanding so far this year than in all of 2007.

Cape Fear Bank Corporation (Nasdaq: CAPE) is pleased to announce it has reached an agreement with a group led by investor Maurice J. Koury. The company strongly believes that the settlement will result in an enhanced board of directors and a stable, focused effort to deliver maximum value to shareholders.

The Financial Times is reporting US banks scramble to refinance maturing debt.

PNC Financial Services Group, Inc. has completed the conversion of all Sterling Financial Corporation's affiliate bank branches and clients to PNC bank, a news release announced.

Mutual of Omaha Bank to Acquire Deposits of Failed First National Bank
FDIC Closes First National Bank of Nevada and First Heritage Bank.

Here is the first one. Paulson appears on Face The Nation and says "Our banking system is a safe and a sound one." If the banking system was safe and sound, everyone would know it (or at least think it). There would be no need to say it.

Mercator Transport Group Corporation (TSX-V : GMT), is pleased to announce the opening of a new secured $ 1 000 000 credit line with HSBC Bank Canada.

We need to give Wachovia a bit of credit for warning investors that its earnings were going to be dismal. When you are a week away from posting a nearly $9 billion loss, and the boneheaded analyst community is still anticipating a profit, it's wise to issue a press release.

Now more than ever investing in a local community bank is a safer investment tool during these volatile economic times. According to recent changes in the stock market and the need to reduce risks on what was once high yield returns, now is a time when diversification is strongly encouraged and placing your investment dollars in a bank that has no bad credit on its balance sheet will cause it to look better in the eyes of many potential investors.