The Stock Market Summer July 2008 vs 2011

This is pretty interesting. I feel like we can learn some much or, I should say, remember so much if we go back and look at history and how events progressed. In July 2008 the US had already bailed out Bear Sterns and was beginning to examine the possibily of bailing out Fannie and Freddie.

July 11 2008 The markets had just went through a rough patch:

U.S. Stocks Break Six-Week Slump as Citigroup Beats Estimates (bloomberg)

Citigroup lifted the Dow Jones Industrial Average to the steepest three-day gain since March 2003 as financial shares, the year's worst performers, jumped 21 percent since July 15. Google Inc. tumbled the most since the Internet search engine went public in 2004 and Microsoft Corp. fell today after they posted disappointing profits. More than half of the 22 financial companies that have reported during the second-quarter earnings season have topped analysts' estimates

The reports from Citigroup, JPMorgan and Wells Fargo eased investor concern about how much more capital financial firms need to raise because of the U.S. housing slump.

In July 2011, almost to the date

Dow falls below 12K; stocks drop 6 weeks straight

Fears that the global economic recovery has stalled pushed the Dow Jones industrial average below 12,000 for the first time since March and drove the stock market lower for the sixth straight week.

Citigroup Inc., Bank of America Corp. and other big banks led stocks lower Monday amid expectations that banks would have to set aside more cash to cover potential losses.

I guess where i'm going with this is that the market knows there are a significant amount of credit risks out there but at the moment they are ignoring them. Financials lead the market higher into mid august of 2008, before they crashed and burned. Financials have bounced significantly in just the past 5-6 trading sessions after 6 weeks of loses with the market. Could it continue through mid august before the crash of 2011?
I look at Europe 2011 as the US banks 2008, and I believe that history will repeat itself soon enough...