We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Debate House Prices
In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Banking stocks lead markets surge
BlondeHeadOn
Posts: 2,277 Forumite
From here:
http://news.bbc.co.uk/1/hi/business/7935533.stm
"Shares in the US and Europe rose sharply on Tuesday, after banking giant Citigroup said it made a profit in the first two months of the year.
Shares in Citigroup gained 27% following the news, and banking stocks led a surge when the US markets opened.
The Dow Jones index rose 266 points, or 4%, to 6,814 in early trade. Standard & Poor's (S&P) 500 index gained 4.5%.
The rise tracked gains seen in Europe. Markets in London, Frankfurt and Paris were all up about 4% by mid-afternoon.
In a memo to workers, Citigroup's chief executive, Vikram Pandit, said the bank was having its best quarter-to-date performance since the third quarter of 2007.
The memo also said Citigroup was confident about its capital strength.
Resurgent banks
Other financial stocks also jumped, with Bank of America up 24% in early trade and JP Morgan Chase up 15%.
In Europe, Barclays climbed 19% while Deutsche Bank gained 15%.
In recent months financial institutions have been among the main losers, the value of their shares hammered by large losses and writedowns.
Shares in Citigroup fell below $1 a share last week.
Ben Halliburton, chief investment officer of Tradition Capital Management, warned that the rally was likely to be short-lived.
"I would be surprised to see us trade back over 800 in the near term," he said, referring to the S&P 500 index. "The news coming out on the economic front will continue to be rather gloomy." "
Wasn't Citigroup on the brink a few days ago? I seem to remmeber it being bailed out...? ?
Can you really claim to have made a big profit if you've had to be propped up by the US government?
http://news.bbc.co.uk/1/hi/business/7935533.stm
"Shares in the US and Europe rose sharply on Tuesday, after banking giant Citigroup said it made a profit in the first two months of the year.
Shares in Citigroup gained 27% following the news, and banking stocks led a surge when the US markets opened.
The Dow Jones index rose 266 points, or 4%, to 6,814 in early trade. Standard & Poor's (S&P) 500 index gained 4.5%.
The rise tracked gains seen in Europe. Markets in London, Frankfurt and Paris were all up about 4% by mid-afternoon.
In a memo to workers, Citigroup's chief executive, Vikram Pandit, said the bank was having its best quarter-to-date performance since the third quarter of 2007.
The memo also said Citigroup was confident about its capital strength.
Resurgent banks
Other financial stocks also jumped, with Bank of America up 24% in early trade and JP Morgan Chase up 15%.
In Europe, Barclays climbed 19% while Deutsche Bank gained 15%.
In recent months financial institutions have been among the main losers, the value of their shares hammered by large losses and writedowns.
Shares in Citigroup fell below $1 a share last week.
Ben Halliburton, chief investment officer of Tradition Capital Management, warned that the rally was likely to be short-lived.
"I would be surprised to see us trade back over 800 in the near term," he said, referring to the S&P 500 index. "The news coming out on the economic front will continue to be rather gloomy." "
Wasn't Citigroup on the brink a few days ago? I seem to remmeber it being bailed out...? ?
Can you really claim to have made a big profit if you've had to be propped up by the US government?
0
Comments
-
BlondeHeadOn wrote: »Can you really claim to have made a big profit if you've had to be propped up by the US government?
why not? to me it's a good sign. they'll be repaying their bail out money
profit is determined over a year - two months profit may be wiped out of the course of the year anyway.0 -
Nver been a better time to buy assets. Uberbears will always wait too long for clear and present 'buy signs', but by then it's too late.0
-
BlondeHeadOn wrote: »
Wasn't Citigroup on the brink a few days ago? I seem to remmeber it being bailed out...? ?
Can you really claim to have made a big profit if you've had to be propped up by the US government?
It's weird. The US only today are preparing contigency plans for citigroup.
It was last month the US government took 36% of the bank (or rather, took further shares, now worth 36% of it).
They converted preferred shares into common stock, whatever that means. So I guess the profits are true on paper, disregarding help.0 -
I love it when the shorties go running for cover
Let us hope it lasts
Won at Cheltenham as well a good day :beer: Not had many of those :cool:'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher0 -
It's all starting to get a bit like 'smoke and mirrors' for me!
RBS and HBOS will be posting huge profits here tomorrow, in this parallel universe........
And Gordon Brown is a fantastic Prime Minister....
And my house has rocketed up in value.....
.... Oops, no sorry, all a dream......
0 -
BlondeHeadOn wrote: »It's all starting to get a bit like 'smoke and mirrors' for me!
I'm afraid I agree. Its like people who say 'I have no debt (oh, except for my mortgage )'.
Good news is welcome, but veritable good news, not faux tidings of new riches.0 -
I suppose its something to cheer about if your pensions taking a hammering, but nothing has fundamentally changed, so a suckers rally
just replacing some fake bailout cash with eager punters real cash,
ready for the next down leg0 -
Citi are strapped for cash ATM, profit made now will not be realised as cash for some time[strike]Debt @ LBM 04/07 £14,804[/strike]01/08 [strike]£10,472[/strike]now debt free:j
Target: Stay debt free0 -
lol. How come some people think of this as 'bad' news?0
-
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.4K Banking & Borrowing
- 254.4K Reduce Debt & Boost Income
- 455.4K Spending & Discounts
- 247.3K Work, Benefits & Business
- 604K Mortgages, Homes & Bills
- 178.4K Life & Family
- 261.5K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards