Global Macro Perspectives
The TARP repayment has cost Citigroup and its shareholders $6.2 billion. It seems that shareholders can’t get enough of value decreasing and diluting efforts by the Citi management. Shares are trading +1.2%. The loan loss provisions were again reduced while credit delinquencies rose. Citigroup today reported a full year 2009 net loss of $1.6 billion, […]
Asia closed negative today, Europe is trading also negative -0.5% on average. After I started began to doubt my calls on TARP repayments as a potential correction catalyst the Citigroup equity offering has turn out to be full blown fiasco. The offering was priced yesterday at $3.15 per share, a 20+ percent lower the share […]
I feels like the markets are searching for a new theme. The signs of a U.S. dollar strength have scared off recent themes (falling dollar = rising risk assets). Combined with a Bank of America capital issuance and a desperate attempts of Citigroup and Wells Fargo to do the same have completely altered the investing […]
Well, new week, same stories. Asia ended higher, Europe is trading higher on no news (media in claiming on G-20 stimulus). Looks we have relief rally, we survived last week filled with economic data and events and now on no major economic announcement or earnings (except WMT) this week we move up. Skeptical, as I […]
As I wrote before Wells Fargo earnings came better than expected. I gave gone through the material and I have to say the the way management presents the data gave me a sort of the confidence that they know their job, but when I reviewed the details the seen has only scared me.
A wave of reckless optimism has taken over the financial world. We saw new highs in U.S. equities yesterday and European today. As I wrote before “better taken expected” has taken over the investor hart and souls. It doesn’t feel rational for me so I will pass on being long for the time being.