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R K

Us Financials At New Lows - Banks Getting Hammered

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http://www.bloomberg.com/apps/news?pid=206...&refer=home

Jan. 20 (Bloomberg) -- U.S. stocks fell, adding to losses from the market’s worst week since November, as concern the deepening global recession will hurt profits erased 10 percent from the value of financial shares.

State Street Corp., the largest money manager for institutions, tumbled 49 percent after unrealized bond losses almost doubled. Wells Fargo & Co. and Bank of America Corp. slumped more than 17 percent on an analyst’s prediction that they’ll need to take steps to shore up capital. As Barack Obama’s presidency begins, the Standard & Poor’s 500 Index extended its retreat since Election Day to 18 percent.

The S&P 500 sank 3 percent to 825.05 at 1:32 p.m. in New York. The S&P 500 Financials Index fell 10 percent to below its lowest closing level since 1995 as concern European banks need more capital also weighed on the group. The Dow Jones Industrial Average slid 171.24 points, or 2.1 percent, to 8,109.98.

“All the banks are going to have to recapitalize,” said Greg Woodard, portfolio strategist at Manning & Napier Advisors Inc. in Fairport, New York. “That’s not done. That’s in front of them, and we don’t want to try to get in front of that trade.” Manning & Napier manages $16 billion.

The S&P 500 is off to its second-worst start to a year, shattering the biggest rally since World War II, as analysts cut earnings estimates by a record 83 percentage points and companies signal worse to come.

The S&P 500 fell 5.9 percent in the first 11 trading days of 2009, second only to last year’s 6.5 percent drop, according to data compiled by Bloomberg going back to 1928. The decline helped erase about half of a 24 percent rally since Nov. 20 as optimism that government spending would revive the economy evaporated.

It looks like we may be heading towards the Nov lows. Financials are going to need another bung. :unsure:

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I thought the markets would get a boost in the US today with Obama being sworn in. feelgood factor and all that.

aye nothing like a pointless figurehead to raise the spirits.... unfortunetly he has arived a decade or 2 too late

Russel 2K down 5.5% now...

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http://www.bloomberg.com/apps/news?pid=206...&refer=home

It looks like we may be heading towards the Nov lows. Financials are going to need another bung. :unsure:

oh, much lower than that....

muwhahahahahahahahahahahahahah

;)B)

cgnao was spot-on RK.

Edited by grumpy-old-man-returns

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I was going to start similar thread as it seems Obama mania is over!

Dow under 8000, Nasdaq below 1500 & S&P well its 808, all tanking!

So tomorrow could be a Black Wednesday?

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I thought the markets would get a boost in the US today with Obama being sworn in. feelgood factor and all that.

this is the feel good factor !!! :lol: could it get worse oh yes it can and it will..

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oh, much lower than that....

muwhahahahahahahahahahahahahah

;)B)

cgnao was spot-on RK.

About? Let me know when gold hits $1033 would you? ta :rolleyes:

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Does this mean It started in the in the UK this time when Gold Fish Brown opened his mouth?

Wouldn't you just love it if Obama came out with "We are battling problems that were started in Downing Street by Gordon Brown".

I await the day...

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It seems that whenever the gov.t announces a new kind of "bail-out", the bank shares go further down the u-bend.

Why is this?

Because the thick muppets that invest your pension and fund money are a bit slow to realise how bust the banking system is.

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Unexpected action today. The dollar rises (against a basket of basket case currencies) yet gold does a moonshot.

As Dan Norcini states today, he sees big money fleeing out of the UK and Europe and going straight into gold, bypassing US Bonds.

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mines in sterling thanks. ;)

when you going to learn RK ?

you have had access to the same info as me.........

What is the point you are trying to make? You pop up all of a sudden and seemingly aim all your posts at me. Have I done something to annoy you? What exactly is it that I haven't learned?

Pray tell

Edit: Denninger is recommending a "cramdown" of existing bank equity by senior and sub-ordinated debt replacing and extinguishing existing common share holders, as far as I can tell, rather than keep shovelling fresh taxpayers cash into the banks. Not sure what the effect of this would be on the UK banks. Any thoughts would be helpful - aside from the obvious one that existing shareholders are diluted out of existence.

Edited by Red Kharma

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Because the thick muppets that invest your pension and fund money are a bit slow to realise how bust the banking system is.

Yes. It's only because the company pays towards my pension that I bother to continue with it. It is a stakeholder one, but the company pays into it for some reason, along with myself. Bit confused about this - they are definitely paying into it, but the paperwork says it is a stakeholder one.

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What is the point you are trying to make? You pop up all of a sudden and seemingly aim all your posts at me. Have I done something to annoy you? What exactly is it that I haven't learned?

Pray tell

Edit: Denninger is recommending a "cramdown" of existing bank equity by senior and sub-ordinated debt replacing and extinguishing existing common share holders, as far as I can tell, rather than keep shovelling fresh taxpayers cash into the banks. Not sure what the effect of this would be on the UK banks. Any thoughts would be helpful - aside from the obvious one that existing shareholders are diluted out of existence.

I think "GOMR" is the original "GOM" who had thousands of posts on here about a year ago? If he is, then he is a seasoned veteran!

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because the trading floors all around the world know the game is up my friend.

Yeah, you and I know this, so why the hell don't the government seem to "get it"? They must realise that the game is likely to be up for them at the next election anyway, so what is the point in all this p!ssing against the wind?

Then again, maybe it is a reverse ploy to botch things up as much as possible for the next government so that they somehow get re-elected after the next lot get booted out?

I'm not that tin-foilhat though, so I prefer to put the answer down to sheer stupidity.

And none of this NWO crap anyone, either!

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I think "GOMR" is the original "GOM" who had thousands of posts on here about a year ago? If he is, then he is a seasoned veteran!

Yes, I meant all of a sudden in terms of making a point of addressing me about something. If he spits it out then I'll know what it is. :) He clearly knows what it is, but I'm at a loss.

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Yes, I meant all of a sudden in terms of making a point of addressing me about something. If he spits it out then I'll know what it is. :) He clearly knows what it is, but I'm at a loss.

I think we're all at a loss at present! I know I am...wtf is going on?

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I think we're all at a loss at present! I know I am...wtf is going on?

Ben and Hank kept the plates spinning (of a fashion). They just left the room as Obama sat down for lunch.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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