The next president will face soaring foreclosures, insolvency at Freddie and Fannie, street protests against foreclosures, and a growing number of bank failures. It’s not too hard to guess what’s likely to happen next, is it?

The great overreach continues…there’s so much noise in the financial markets, one can barely think straight. Housing slump may exceed the Great Depression…the profit parade in commodities marches on. We pity the next president…the subprime debacle has produced a tsunami of lawsuits…and more!

The US, which most economists now agree is on the brink of recession, could be facing a slew of bank failures as a result of the ongoing credit crisis.

“We’re going to have some more bank failures that will come back more to historical norms and may go above that with time,” said John Dugan, the US comptroller of currency in an interview with the Financial Times. “That is a natural consequence of the economy going from historically exceptionally benign credit conditions to something that is more normal to something you would get in a downturn.”