How high did Libor rigging go?
Regulators investigating Libor manipulation at numerous banks are attempting to ascertain whether senior executives were involved in the rigging of rates.Former Tokyo-based Citigroup (C) trader Tom Hayes, who was fired for his alleged manipulation, says higher-level management was involved."My actions were entirely consistent with those of others at senior levels" in Citigroup Japan, Hayes wrote on September 9, 2010, three days after his sacking. "The senior management at (Citigroup Japan) were aware of my actions."Two executives mentioned as being involved are the head of Citigroup's interest-rates trading operation and the manager of its Japanese investment bank.
burning down? bankruptcy? mass suicide? what??? what kind of mindless idiot would buy stock in this awful crater of a remain of a bank? Sandy Weill knew what he was doing. The guys in management NOW are clueless.
Sentiment: Strong Sell
Hedge funds' favorite bank is Citigroup ;
121 funds reported owning the stock in their filings. Among them was billionaire David Tepper's Appaloosa Management, which increased its stake to a total of 9.6 million shares.
Citi is another financial trading at a discount to book (the P/B ratio here is 0.8) and analyst expectations for next year imply a forward P/E of 9.
BATS Global Markets (BATS) is reportedly in advanced negotiations to merge with Direct Edge Holdings in an all-stock deal that would create the second-largest exchange operator in the U.S. in terms of shares traded, putting it behind the NYSE but ahead of Nasdaq,
Direct Edge's owners include KCG Holdings (KCG), Goldman Sachs (GS), Citadel and the International Securities Exchange. Those of BATS include KCG also, as well as Bank of America (BAC), Citigroup (C), Credit Suisse (CS), Deutsche Bank (DB), JPMorgan (JPM) and Morgan Stanley (MS).
Citigroup's expansion globally will continue to build the world's most comprehensive bank as the leader in financial products. Citi has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citigroup provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
From the article :
"European banks still have not written down many of their troubled assets and risk becoming zombie banks, or banks with zero net worth that stay afloat solely because of their implicit government guarantees. When European banks inevitably restructure and sell off assets, large American banks will be perfectly positioned to take advantage and seize market power. Citigroup , which has spent the last few years straightening out its finances while maintaining its large international presence, is extremely well poised to profit from this vacuum."
A federal judge approves a negotiated $590M settlement between Citigroup and shareholders who accused the bank of understating the risks and overstating the value of MBS backed by subprime paper.
Citigroup Inc. ( C ) will begin trading ex-dividend on August 01, 2013.
A cash dividend payment of $0.01 per share is scheduled to be paid on August 23, 2013.
Shareholders who purchased C stock prior to the ex-dividend date are eligible for the cash dividend payment. This marks the 11th quarter that C has paid the same dividend. At the current stock price of $51.78, the dividend yield is .08%.
Though both American and European banking stocks have been rallying for the past year, American banks are generally in much better shape than their European counterparts because they have been taking advantage of the Fed's loose monetary policy to recapitalize their balance sheets and have been selling off their auxiliary assets to comply with the new Basel banking standards.