ISTANBUL (Reuters) - Prince Alwaleed bin Talal, a big investor in Citigroup, urged the U.S. government to sell its stake in the bank as soon as this year to boost investor confidence, Emerging Markets magazine reported. "The earlier the U.S. government exits its investments in those companies, the better," as long as the withdrawal is not done in a way that hurts the prices of U.S. banking stocks, the Saudi billionaire was quoted as saying in an interview published on Sunday. "We need to give confidence back to the shareholders and investors that these companies are moving along without government support." A series of bailouts during the financial crisis has left the U.S. government with a 34 percent stake in Citigroup, after the bank obtained $45 billion from the government's Troubled Asset Relief Program. Sources told Reuters last month that Citigroup was talking to U.S. officials about how the government should shed its 7.7 billion shares in the bank. Alwaleed, who owns part of Citigroup through his investment firm Kingdom Holding Co, has said little in recent months about the stake. Kingdom owned 3.6 percent of the bank in July 2007 and five months later Alwaleed said he was among investors who agreed to put more money into the bank. OPERATING PROFIT Citigroup is expected to return to the black on an operating basis next year at the earliest, Alwaleed was quoted as saying in the interview. "Citigroup has learned a huge lesson. The worst is behind them right now," Alwaleed said, adding that the bank's $100 billion of tangible common equity, "the highest in the industry," and the large scope of its operations meant its future was "very bright." http://www.reuters.com/article/ousivMolt/idUSTRE5930HF20091004 Is this a strong buy recommendation, or ?
"Citigroup has learned a huge lesson. The worst is behind them right now," Alwaleed said, adding that the bank's $100 billion of tangible common equity, "the highest in the industry," and the large scope of its operations meant its future was "very bright." In plain english: We don't know how much further the govt can pump this mkt. Please take advantage of every available method to get Shitibank back to $10 so we can sell, before the SHTF !!
1) Until US Fundamentals are really changed for the better....the outlook for the banks cannot change.... 2) And even then....the bad debts still are present....and are not going away.... 3) Nominal income has to increase....and debt levels have to go down.... The Obam Poly Cons have guaranteed the fact that nominal incomes will go down....while debts increase further.... What does this mean ? This means that positive incremental change will occur when govt. dramatically downsizes....and changes the tax structure such that it will enable manufacturing and its favorable worldwide pricing to increase US nominal incomes thereby enabling the reduction of massive bad debts.... This ain't happening with the Obama Poly Cons.... Better luck next time.... Of course there are bigger fools at times....
If you haven't noticed by now, Obama does not have a clue about the economy. The guy is a intellectual lawyer steeped in feel-good rhetoric. Obama was voted in as the lesser-of-two-evils, instead it's becoming apparent everyday he is as incompetent as the god damned shrub. Right now, the guys running the economic show are the same group who bankrupted the nation. America is being torn apart by greedy mofos from all sides. The farm subsidized white republicans and the welfare collecting trailer dwelling white trash voter, the welfare collecting black trash democratic voter, the republican elite and their corporate donors along with the hispanic voter want more illegal immigration, the taxpayer subsidized large corporate donors, the republican lobbyists writing law that favor their corporate donors, the foreign lobbyists and their Zionist bitches in congress who clamor for more war and more "foreign aid" to their tiny useless country, the military manufacturers who clamor for more weapons ....... Democracy in DC has become a colossal cluster fk of the middle class. Since 1980, starting with Reagan and the republican SnL bailout and his nonsensical cold war deficit spending, D.C. has been for sale. The middle class better pull their heads out of their ass and begin to buy guns and ammo. Cause it'll take a huge effort to clean up the filth.
1) When foreign investors get excited about foreign banks, be careful! 2) The best way to get "C" above $10/share is to persuade Alwaleed to sell HIS position.