Here's an interesting point from a banking analyst about today's record profit announcement by Wells Fargo:
Andrew Marquardt, an analyst with Fox-Pitt Kelton, said Wells Fargo's release indicates that other banks with major lending operations will fare well during the quarter. He listed PNC Financial Services Group Inc. and First Horizon National Corp. as two banks that will likely post similar results.
"The big banks with mortgage heavy exposure are going to do better because they are gaining market share, and there is a flight to quality and safety," said Marquardt. "This confirms that a number of these big banks are in a fundamentally better position and are gaining market share from deposits, mortgages, lending and capital markets."
I guess this comes at the expense of those fly-by-night lenders you see advertising on late-night cable television, which makes some sense...