Abu Dhabi: 7.5 bio for Citigroup: madness!

Abu Dhabi buys Citigroup shares for 7.5 bio US Dollars. As a consequence bank titles and with it the rest of Wall Street close substantially higher today, on november 28, 2007. A sigh of relief can be heard in the market.

But, it's the sigh of the strategically challenged. What a nonsense to buy bank shares now! The bear only started to lift the prank over his shoulder, ready for a long sweep. The salmon swims in the river, not in the air. Too many market participants are involved in the subprime crisis, of which we haven't really seen a fraction of its consequences.The future development is obvious: We will enter a recession. The large indexes will drop gradually but continuously until at least the US elections by the end of 2008. If a republican is going to win, there is a chance for a soft landing.

You don't believe? - Read your lips! Abu Dabi could get those shares for a much better price next may or june 2008!

By the way, does Dick Cheney have friends in Abu Dhabi?