Market Tips: Citi Memo May Be Misunderstood
Global stocks were mixed Wednesday after the previous day's big Citigroup-led rally, but worries over the banking sector reared their head when UBS said its loss for 2008 would be bigger than initially expected and warned that its earnings would be at risk for some time.
Experts tell CNBC the Citigroup memo may have been misunderstood and banking stocks are still risky.
Citigroup's Profitability in Question
A memo by Citigroup's CEO that the company is doing well this quarter may be misunderstood by the market, says Jeff Fisher, senior analyst at The Motley Fool. He tells CNBC that it is a "shade of grey" as to whether the company will really be profitable.
Wall St. Rally a Technical Rebound
Wall Street's rally overnight is just a technical rebound after several days of decline, says Arjuna Mahendran, MD & head of investment strategy, Asia at HSBC Private Bank. He also speaks to CNBC about why Citi's announcement it is profitable is sending a mixed message.
Can HSBC Hold On to Its Recent Gains?
Alex Wong, director of asset management at Ample Capital does not think so, as he doesn't see much upside momentum for HSBC given the concerns on its balance sheet.
Government Bailout for HSBC Unlikely
Considering a government bailout for HSBC is unlikely, says Sandy Flockhart, CEO of HSBC Asia Pacific.
Outlook for Asian Financials
The pain of the global financial turmoil has spread to Asian financials, with HSBC and Woori Bank going to the market for cash. Peter Hoflich, associate editor at The Asian Banker offers his outlook for these two banks.
Should Short Selling Ban be Extended?
There is support for the extension of the short selling ban on financials in order to reduce market volatility, says Colin Whitehead, analyst at Fat Prophets.
Seeking Safe Harbors
Guarantees are very important in the current environment, says Ron Napier, head of Napier Investment Advisors. He reveals where the safe harbors can be found in today's volatile markets, in this installment of "Protect Your Wealth".
How to Make Money During This Downturn
Global stock markets will test new lows and economies will be in terrible shape all through 2009, warns Ron Napier, head of Napier Investment Advisors.
Technology stocks like Autodesk are a good buy, says Jeff Fisher, senior analyst at The Motley Fool. He also advises CNBC to slowly average into long positions.
Dollar-Yen Open to More Downside
The dollar-yen is open to some more downside in this uncertain environment, believes Jim Vrondas, manager of corporate business at OzForex. He tells CNBC the yen may test as low as 102 against the dollar.
Expect More Downside for Aussie Dollar
There is probably still some downside to come for the Aussie dollar, says Ray Attrill, global head of research at Forecast, despite its rise against the dollar overnight. He explains his bearish outlook.
OPEC Expected to Cut Further
Expect a 1-1.5 million barrel cut from OPEC, says Akhi Kamkolkar, head of futures at Halifax Investments. He tells CNBC that this is because OPEC wants to start get rid of excess supply.