ok, so they wrote down assets. could those assets at the lower value be sold in the market without another write down? i highly doubt this is the end of the write downs.
6-10 b is just he first step....beleive me this will end badly. gold @800 is a huge tell. ok now stocktrad3r will say its no big deal, dow @ 15k by 11/8?
Citigroup first trades up 5.8 percent in Tokyo Sun Nov 4, 2007 7:31pm EST TOKYO, Nov 5 (Reuters) - Citigroup Inc (8710.T: Quote, Profile, Research) (C.N: Quote, Profile, Research) first traded in Tokyo at 4,580 yen, up 5.8 percent from its tentative starting price of 4,330 yen, on the day of its Tokyo stock market debut. The Monday listing came on the heels of the resignation of Charles Prince as chairman and chief executive of Citigroup and an announcement that the bank may suffer an $11 billion write-down for subprime losses. The tentative starting price for Tokyo trading was set based on Citigroup's closing price on Friday in New York. http://www.reuters.com/article/marketsNews/idUKTKU00289920071105?rpc=44
ok guys this is just the beginning..... nothing stops with just the CEO getting axed... there are many Rolex wearing rats still on the ship.....
the us banks are virtually bankrupt. the investment banks are worse hit. some may survive but only dueto mergers and federal intervention. they do not have any assets. same as monopoly. no assets. game over.
I was once wanted to work on these so called investment banks because I thought that this will be the sector that can profit on both the bull run and the bear run. How wrong am I... Most of this bank now facing the risk of solvency (even bankruptcy). But on Citi case, I believe we will see a technical rebound and the stock will trade higher for today only to see people shorting/selling their position again. Just look at MER, after a big drop, they booked a big rebound after their CEO ousted only to experience another drop.