Banking, finance, and taxes
Citigroup (C) Warning: Banks In Trouble Into 2009
Published:
Citigroup (C) came clean about what everyone with any sense already expected. Write-offs at the money center bank are not over.
According to The Wall Street Journal, the "bank will see a fresh round of write-downs from failing mortgage investments in the bank’s second-quarter results, and said credit costs from souring consumer loans "may continue to rise throughout the year."
After bottoming in March, a number of bank and brokerage stocks recovered as much as 20% into April and May. Several large financial company CEOs said that the worst of the crisis had passed.
The grim reality of the long-term situation has set in with raising mortgage defaults and a troubled consumer credit market. As bad news came out of UBS (UBS), Bank of America (BAC), Lehman (LEH), and AIG (AIG), stocks in the sector started to sell off and a number have hit new 52-week lows.
None of these stock will recover during 2008, and some may not move up for over a year. Wall St. doesn’t like all of the new surprises.
Douglas A. McIntyre
The #1 Thing to Do Before You Claim Social Security (Sponsor)
Choosing the right (or wrong) time to claim Social Security can dramatically change your retirement. So, before making one of the biggest decisions of your financial life, it’s a smart idea to get an extra set of eyes on your complete financial situation.
A financial advisor can help you decide the right Social Security option for you and your family. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.
Click here to match with up to 3 financial pros who would be excited to help you optimize your Social Security outcomes.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
