Saudi Prince Fails to Halt Citi Slide: More Pain Ahead for Banks, Roque Says

The Dow first hit 10,000 in April 1999. Where do you get 20 years? You need some credibility. If you want to look at technicals look at the Dow from 1929 to the present. Only 4 true bull markets, the last of which was over the past 3 years, and by the way, the shortest. The last great bull market was from 1982 to 1999, when the market went from 2,000 to over 10,000. That happens to be the same time when we began to leverage ourselves through credit card debt and increasing debt to income. It could be said that this bull market is disguised due to the fact that we borrowed to consume, thereby pushing up earnings and stock prices (P/E and constant growth model to value stocks). The question is, what is an appropriate debt to income level, and where will that leave us in the end? If you look for historical home prices you will find that in 1997 they were at around $150,000. This was the last we had a sustainable debt to income level. So, take that price and adjust it for inflation (you should get around $188,000). Last month's average home sales price was $200,500, so we are close. --------------------------------------------------------------------------------------------------- Have a look at the Dow folks. It was about one thousand in the 1980's then went and hovered around 10,000 for 20 plus years. A 90% decline means back to one thousand. And why not, American industry has gone overseas and all America produces is over priced software - you listening Bill Gates. So when the Dow hits one thousand, things will settle down.

Just think, you guys could be analysts, with a buy rating on equities while changing the PO down every week. Are you could look back and tell us what to expect from history; then put out a disclaimer that past performance is no guarantee of future performance. I love the smell of BS in the morning.

Where's the bottom.....its where the voices are coming from.

I have no idea what the hell everyone is talking about!!!!!!

dont invest in individual bank stocks invest in financial spds for the long term you should the well when banks as a whole start doing better.

You people are missing the silver lining.... a few month's ago if Citi lost 20% it would be down 7 bucks. Today's 20% drop is only a buck and change.

billyboy: Yes, the market must have some basis in intrinsics. But whereas real estate clearly has intrinsic value, do the banks? Banks today are little more than toxic financial waste canisters. How much is toxic waste worth? Figure that one out and you have figured out what the "intrinsic value" of a large US bank is.

We are living in the end times. It's funny to think that some people believe we will recover from this. I don't think so!

Why aren't the "talented" ex-ceos of Countrywide, Citi, AIG, and hosts of other "talented" executives and braintrusts from the world of finance, in prison or being prosecuted at this very moment? Fuld got off with just a punch in the nose - how about some real payback.

Every “expert” seems to know what is going on or going to happen, but does anyone REALLY know? Or are we dealing with people who have been “know it alls” (some with good reason) their whole life and continue to talk to us like they DO know it all, but really don’t know but were making money anyways during bullish times? Hell I made money during the bullish years and I don’t know much…..Smells like a case of the blind leading the blind.

These are not tulips. Every crash is different. This is bad and we will see new lows, but he's a fool to call the exact bottom.

These are not tulips. Every crash is different. This is bad and we will see new lows, but he's a fool to call the exact bottom.

Prince Charles is a major shareholder, why don't he pump some more money into them.....More money is always the answer right.

I read in newspaper in jan 2008 that generous motors was investing 6 billion dollars in china, where did they get all that money

We need the help from the Saudis, that would solve things.

People on this blog are morons. If you have nothing intelligent to say or can't spell, please don't write anything.

the wall street fat cats should be eating milk and cookies. The government should take their houses and money and divide their wealth to the unemployed workers they had laid off.

Saudi Prince largely does not understand the equity market and the junk that has yet come out of Citi coffers. Monday, November 24, 2008 Citi file for bankruptcy protection...!!!

Saudi Prince largely does not understand the equity market and the junk that has yet come out of Citi coffers. Monday, November 24, 2008 Citi file for bankruptcy protection...!!!

Roque your a putz