Well, count JPMorgan analyst Pavan Wadhwa among those who think the stress tests were a joke and that only bad can come now.

Here are the key bullet points:

The European bank 'stress' tests were anything but;

just 7 banks failed with a paltry €3.5bn total capital

shortfall…

• …due to a lack of rigour in macroeconomic stresses,

leading to low portfolio loss rates…

• …and the fact that sovereign haircuts were applied

only to trading books and not to accrual books

• Our estimates show that the lack of rigour in CEBS

stress scenarios resulted in a 1.7% upward bias to

Tier I capital ratios…

• …and the focus on Tier I (not core Tier I) resulted

in a 1.2% lower capital hurdle…

• …for a total bias of 2.9% in Tier I capital ratio

estimates

• Eliminating this bias suggests that 54 banks would

have failed a more stringent stress test, generating a

capital shortfall of €60-75bn

• We believe that the stress test results will fail to

restore financial confidence, leading to lower yields,

wider spreads, lower EONIA, and a flatter EONIA

curve