It appears that the government knew what it was doing when it handed over all that money to banks that were failing. The banking industry has seen profits surge as it earned $21.6 billion in the second quarter of this year, compared to the $4.4 billion loss of last year.

Even though this is a good sign that things are starting to turn around, finally, the future forecast for the whole economic situation seems to be a bit on the unknown side. While the losses from loans was seen to shrink for the first time since 2007, when the financial crisis started to become a bit more public, seeing this kind of profit definitely has a boost for consumer moral.

Banking Sees Profits, Future Still in Shadows

The one thing that is a bit annoying is the fact that banks in the West, especially California, seem to be lagging behind in the mad race to the profit finish line. Of course, with most of the largest banks spending millions in lobbying in Washington seeing most of the profit, the banks in the West of the nation are wondering why they never jumped in on the bailout bandwagon, as they could be right up there with the others.