Meredith Whitney is, surprise, still negative on the financials. From CNBC:
Influential bank analyst Meredith Whitney remains bearish about the economy, and her outlook for the banks that "lubricate the economy" is grim.
"The big banks are going to be on life support for at least 18 months, if not 36 months,"
Oppenheimer's executive director of equity research told CNBC Wednesday morning. "The big banks will not fail, but the big banks will not grow, in my opinion, for at least another two years."
She echoed other analysts who see the funds from the TARP program being used to fill holes, and do nothing to stimulate the economy.
"You've had massive asset deflation," she said. "There's more of this to come."
Below is a lightly-annotated chart of SKF, the ultra-short financials ETF. I'm using SKF as a proxy for my FAZ holding as SKF's longer trading history allows me to make the point that it looks to be a good time to be on the short side of the financials yet again.