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Blood In The Streets

Published: Thursday, 29 Nov 2007 | 6:46 PM ET
Text Size
By: Lee Brodie
Web Editor

This week $13.5 billion flowed into the financials. Do these purchases of subprime distressed assets mark a bottom for bank stocks?

Whitney Tilson, The Value Investing Congress Chairman and manager of hedge fund T2 Partners joined the panel for this conversation. Following are excerpts from what was said.

Short Lehman Brothers (LEH), advised Tilson. I think they likely have a lot of exposure that Citigroup (C) and Merrill (MER) have, but they haven’t confessed it, yet.

Also, he suggested that MBIA (MBI) and Ambac Financial (ABK) might not survive the credit crunch.

In addition, Tilson also suggested Freddie Mac (FRE) could be a buy.

I prefer Fannie Mae (FNM) , Pete Najarian countered.

Ameriprise Financial (AMP) is a buy in my book, Guy Adami chimed in.

* * * * *

Here's more on the billions flowing into financials...

Monday
Nov. 26

- Abu Dhabi bought 4.9% of Citigroup ( C) for $7.5B


Thursday
Nov. 29


- Citadel bought 18% of E*Trade (ETFC) for $2.55B

- PingAn Insurance Group bought 4.2% of Fortis (FORB) For $2.7B 

- Natl. Australia Bank (NABZY) bought Great Western Bank for $789M         

Total Spent: $13.5 billion

Blood In The Streets
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Trader disclosure: On Nov. 29, 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Najarian Owns (ETFC); Najarian Owns (BSC) Options; (COP) Options; (EMC) Options; (GOOG) Options; (YHOO) Options; Finerman's Firm Owns (UFS), (JWN), (NMX), (NYX), (VCLK), (WMT), (YHOO), Fortis; Finerman's Firm Is Short (SPY), (IWM), (IYR), (IJR), (MBI); Finerman's Firm Owns Russell 2000 Puts; Finerman's Firm Owns (BIIB) Options; Finerman's Firm And Finerman Own (GS); Finerman's Firm Is Short (LEH) And Owns (LEH) Puts; Finerman's Firm Owns (MSFT) Options; Seymour Owns (FRE), (MER), (MS), (YHOO); Seygem Asset Management Owns (AAPL), (INFY), (INTC), (MSFT), (TSL),; Seygem Asset Management Is Short (EEM), Charles Schwab Is A Sponsor Of Fast Money



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