Countrywide cut at Merrill on liquidity concerns

Discussion in 'Stocks' started by ASusilovic, Aug 15, 2007.

  1. Merrill Lynch downgraded Countrywide Financial Corp. to sell from buy, citing concerns that liquidity in the mortgage sector could further erode the value of the company's franchise. The broker told clients it fears that the acceleration of margin calls and forced asset sales in the capital markets could lead to more problems for Countrywide to finance its mortgage operations. "Should a liquidity event occur, for which the likelihood is increasing, Countrywide shares would probably witness further selling pressure," Merrill concluded.
  2. Merrill trading desk has now gone short CFC ...they had to wait..
  3. Bloomberg crawler says they say bankruptcy a possibility. Did anyone see that in theMLPFS comments?
  4. From BUY recommendation to bankruptcy.
    I guess they have gotten themselves and their big clients out by now.
    Mozillo must be out by now also.
  5. It must be time to begin short-covering.
  6. Agree. :D :D :D
  7. 60 MIN Chart CFC showing two big VOLUME candles > 12 MIO shares => if not today in the coming days we may see a decent rise...IMAO :p
  8. Amazing.
    Someone over there must have thought to read the financial section in the NY Post between sessions of Soduku, or whatever that game is called...
  9. Merrill's reversal on Countrywide is turning point}&dist=hplatest

    Market sages often say that you can't get to the bottom of a market until you see capitulation.
    The decision by a Merrill Lynch stock analyst Wednesday to reverse course on Countrywide Financial Corp. is among the most dramatic signs yet that that capitulation has begun.

    he, he, he...capitulation is always good entry point... :D :D :D
    #10     Aug 15, 2007