90 at 9: US banks need US$65.5 bln of new capital; Porsche and VW to merge; NZ budget woes worsen

Bernard Hickey details the key news overnight in 90 seconds at 9 am, including fresh leaks showing Bank of America, Citigroup and Wells Fargo need to raise US$65.5 billion to satisfy the US government they can survive the stress of a worsening economy. But the market rallied because JP Morgan and American Express appear not to need new capital. Across the Atlantic, the families behind Porsche and VW have ended a feud and agreed to merge to save the debt-laden Porsche. The New Zealand government faces a tough budget on May 28 after revealing its budget deficit was NZ$11.2 billion worse than forecast. Also, the IMF forecast New Zealand's economy would contract 2% this year.