RBS shares have been on a huge bull run recently, going from 33p to 53p. That is quite some move. Today the shares are back down to 44p as I write. Why?Well, as RBS have new management unlike Lloyds, they are being more honest about their situation. They see 2 years of losses until recovery. RBS sees its bad debts and is struggling to trade through them.
The Government Asset Protection Scheme is expensive, even if it does save the bank. There is not much good news here at all. The bank is not about to go under, but it is not about to become profitable either.
The FTSE has been on a huge run recently, I wonder if this set of key results will mark a turning point.
4 comments:
The FTSE has been on a huge run recently, I wonder if this set of key results will mark a turning point.
I wonder if some of the monetized cash that ends up in the banks has been used to contribute to the FTSE bull-run. They certainly aren't lending it.
And if so, when do they take profits?
I have seen elsewhere that the wonders of the £15 million profit, are actually a loss of £1 billion if you know how to read the small print. I wonder if someone from RBS can help me with my credit cards and overdraft.......
Or,
As the US futures have just had a wild swing to the positive, are the banks taking instructions from their fellow charlatans?
"And if so, when do they take profits?" (Anon)
Isn't it about February when they buy their yachts?
Post a Comment