There's Plenty More Ahead

Under the circumstances, the idea that the worst is somehow over for the financial sector, the stock market, and the economy following one of the biggest credit bubbles of all time is laugable.

...people are generally unwilling to bite the bullet and do what it takes to really solve the problem before a full-fledged crisis develops. For another, the hope that an easy alternative will suddenly be found can be very alluring. Finally, there is a natural reluctance to act before things really hit the fan, in case the issues were not as bad as everyone thought they were.