According to the Wall Street Journal, despite the possible stabilizing of the economy, more banks are endangered.  The banking industry has a gloomy outlook, at least for the short term as federal regulators have added 111 lenders to the list of endangered banks, despite signs that the economy is stabilizing.

FDIC now reports that at the end of June 2009 there are 416 banks on its problem list, which is about 5% of the nation's banks.  This is up from 117 at the end of June 2008.  These problem banks have just under $300 billion of assets.

Being on FDIC's problem bank list means that the bank is at a high risk of insolvency, said the Wall Street Journal.  So far this year, state and federal regulators have closed 81 banks.  Gerard Cassidy, an analysit with RBC Capital Markets said that he believes "there are hundreds of failures to come."

On a more positive note, housing units sold in the past month have stabilized or increased and the prices appear to be stabilizing as well.  So, despite the continuing troubles with the banking industry, the US economy is showing signs that it has or is about to be stabilizing.