Friday, 18 July 2008
HBOS car-crash; denoument
Who would have thought that Andy Hornsby's HBOS would miss it rights issue? By 10am This morning it was still at 269p when the issue was at 275p.
Later today a banking rally has saved the underwriters - convenient, huh?- from having to hold huge amounts of stock underwater. Still, as they dump the stock on sub-underwriters and the market it may yet drop the price below water. So much for the fees too!
Still, the wreckage is just beginning to be found and the job losses have started now.
However, could this be the bottom of the UK bank market - quite possible this time. Although bear market rallies have been known before......
Posted by CityUnslicker