Government Selling Citigroup Inc C Stock Stake Shortly

After Citigroup Inc (NYSE:C) stock spiked above $4.40 in pre market trading today, shares reversed lower as the Treasury has come out with a plan to dump It's common equity stake. Shares of Citigroup Inc (C) are currently trading at $4.18 on this news.

Here is what we know!

The Government holds about 7.7 billion shares worth of Citigroup Inc stock which it plans to start selling sometime after Citigroup's earnings release on April 17, 2010. Based on Citigroup's current stock price, the Treasury would come out with a $7-8 billion profit for U.S Taxpayers.

Treasury will sell in small portions throughout the remainder of 2010 near the market price per particular day. This stock sale does not include the preferred stock or the stock warrants the Government holds.


Today's Biggest Stock Market Gainers - Top 2010 Stock Gainers - Top 2010 Penny Stocks - Top 2009 Stock Gainers - Top 2009 Penny Stocks - Stocks for 2010

For the latest updates on the stock market, visit, http://daytradingstockblog.blogspot.com/ or Subscribe for Free

Citigroup ( C ) Bailout - Rescue 11/24/08

Citigroup ( C ) stock is set to open at $5.15 per share, or up around 35%, 11/24/08 as the Government has stepped in and bailed out this company.

• Federal officials will back the bank in the case of losses on about $306 billion of loans and mortgage-backed securities, while the Treasury Department has agreed to inject an additional $20 billion into the firm.
  
• Treasury and the FDIC will provide protection against the possibility of unusually large losses on an asset pool of approximately $306 billion of loans and securities backed by residential and commercial real estate and other such assets, which will remain on Citigroup's balance sheet
  
• As a fee for this arrangement, Citigroup will issue preferred shares to the Treasury and FDIC. In addition and if necessary, the Federal Reserve stands ready to backstop residual risk in the asset pool through a non-recourse loan

For More Updates on the Stock Market, visit, http://daytradingstockblog.blogspot.com/

Charlie Gasparino CNBC ABK, MBI 10/29/08

Charlie Gasparino has just come on CNBC today, 10/29/08, and told viewers that the Eric Dinallo and the Treasury are meeting to discuss Ambac ( ABK ) and MBIA ( MBI ) for a possible coverage in the Tarp program.

If the treasury provides capital into these bond insurers, their rating could get lifted higher. This would be huge for both ABK and MBI.
Both stocks are surging on this news, ABK is 2.83 and MBI is 8.36.

http://daytradingstockblog.blogspot.com/