It’s just a matter of time for another major Financial Earthquake in USA and the aftershocks will be felt all over the world…preshocks are already visible…Citibank,India is selling of prime residential property all over Mumbai and is rumored to be looking for buyers for it’s Eight storeyed Bandra Kurla Complex Head Quarters
In USA it’s a situation of the Pot calling the Kettle Black…those in Glass Houses themselves are throwing stones at others !
Lehman says watch out for Fannie Mae and Freddie Mac,the two biggest refinanciers in the mortgage business…they will need US $ 75 Billion just to meet their committments
Watch out for Lehman itself,say sources in the Capital Markets
Merill Lynch warns that it is not an impossibility that General Motors could announce bankruptcy!
Fitch has just downgraded Merill Lynch
Bear Stearns dropped a Zero on the weekend some time ago when it closed on Friday at US $ 30 and then announced that J P Morgan was bailing it out and opened at US $ 3 on Monday!
Citicorp has already provided US $ 40 billion and is planning to raise billions in fresh equity,sell off assets,close branches and lay off people all around the world to shore up it’s rapidly weakening balance sheet
Every Week as Friday comes,there is a real strong fear that another Bear Stearns like scenario may be announced by a major Financial Powerhouse