Bank of America will acquire the nations' largest mortgage originator Countrywide Financial according to the Wall Street Journal.

Bank of America Corp. is near agreement to take over tottering mortgage giant Countrywide Financial Corp., in a move that could build a bulwark against the mortgage-default crisis by protecting one of its biggest casualties from collapse…Countrywide's fall and expected rescue mark a milestone in the unfolding international financial crisis. The turmoil was triggered more than a year ago by the bust of the American housing market and the resulting wave of mortgage defaults, but it is spreading — and authorities are struggling to contain it…

This is clearly a sign of  greatly troubled financial markets, but also a sign that issues are being  addressed. To discuss the implications of this, contact us!