Shitty to be Citi

[marmar]

Citigroup CDS spreads widen, shares fall
Bank takes on $17 billion of SIV assets, shuts another hedge fund
By Alistair Barr, MarketWatch


SAN FRANCISCO (MarketWatch) -- Citigroup Inc. credit-default swap spreads widened and its shares fell Wednesday after the bank took on more than $17 billion in assets from structured investment vehicles and shut another hedge fund.

CDS spreads on Citi were at 325 basis points over Treasury bonds during midday action, up from a 240 basis points yesterday, according to Phoenix Partners Group.

CDS are a common type of derivative contract that pay out in the event of default. When the difference, or spread, between rates on these contracts and interest rates on Treasuries increases, that suggests investors are more worried about defaults.

Citi shares slumped 14% to $7.20 during afternoon trading.

Citi said it will purchase the final $17.4 billion of assets still in structured investment vehicles, or SIVs, that the bank advised. .......(more)

The complete piece is at: http://www.marketwatch.com/news/story/Citi-default-spread-grows-shares/story.aspx?guid=%7BCBD75AB7%2DDE8D%2D4B01%2DBA17%2DC34DA4901487%7D

[GodlessBiker]

1. The lunatics are running that asylum.

[BOSSHOG]

2. I don't understand their operation

About three months ago I got a letter from them telling me they were going to cancel our Citicard credit card in October because we had not used it in years. Fine with me. But I'm still getting emails from them, long after the cancel date telling me about all the great deals I can have if I use that exact same card.

[marmar]

3. I got rid of Shitibank's mastercard last year......

.... and I'm a happier man as a result.

[BOSSHOG]

4. My favorite card - USAA - 6.35% interest

and they love their customers cause we keep coming back.

[MrCoffee]

5. USAA is fantastic

Love 'em :thumbsup: