Wachovia in early talks with Citigroup

Last update: 4:11 p.m. EDT Sept. 26, 2008 SAN FRANCISCO (MarketWatch) – In the latest twist shaking the banking sector, Wachovia Corp. may be looking at merging with Citigroup Inc. , according to the New York Times. The report said Wachovia has begun early talks with Citigroup but that no deal may emerge. After WM and with $120B of subprime this may be WB’s last gasp…

Yes i heard. WB will never merge eith C because it will be against citi own good. WB has a lot of ARM mortgages on its balance sheet, that’s why is going down. It means more loans, more write downs and i dont think that’s what citi wants. They are trying to move away from that business. They are already cut in half by write-downs.

oh boy, thats one sure way to crater the global economy. it’ll make a nice monster bank failure though - imagine citi+wb going under together. tsunami!

rohu, funny how you dont have a problem with this guy posting headlines on this forum. punk - do you feel lucky?

So here’s a play on this (which I am not completely sure is accurate). Wachovia CD’s for 15 yrs that are completely FDIC insured are yielding 6% or so. My understanding is that if the bank changes ownership, you get 30 days or something to withdraw time-deposit money with no penalty. That means you could get an annual 6% yield on 2 month money by buying these CD’s if you believed that someone had to take over Wachovia in the next month or so.

daj, i don’t have a problem w you posting anything you want. i think you’re mixing me up with others who jumped on you for that.

rohufish Wrote: ------------------------------------------------------- > daj, i don’t have a problem w you posting anything > you want. i think you’re mixing me up with others > who jumped on you for that. hmmm, maybe you are right, my bad. i forgive you. remember my special word of day guys: empathy