Skip to comments.Bank of America stock nearing $5 danger zone
Posted on 11/29/2011 4:49:30 PM PST by rabscuttle385
NEW YORK (CNNMoney) -- Another trading day and another low for Bank of America's stock.
Shares of Bank of America dropped more than 3% Tuesday, hitting a new 52-week low of $5.03 -- its lowest level since March 12, 2009.
After the close of trading Tuesday, Bank of America was one of 37 financial institutions downgraded by S&P.
Beyond the S&P downgrade, trading could become even more complicated in Bank of America's stock, if it falls below $5. Under that threshold, many broker-dealers will not allow investors to buy or short a stock on margin, according to a spokesperson for the New York Stock Exchange.
(Excerpt) Read more at money.cnn.com ...
Couldn’t happen to a more deserving bunch.
This is not good. Well, except for everyone who was wise enough to put aside some silver and gold for a rainy day...because, you know what? It’s starting to drizzle.
The fraudsters at Citibank are IMHO more deserving.
Highway to the Danger Zone
Ride into the Danger Zone
That is a huge buying opportunity. With almost a Trillion dollars in deposits insured by the American taxpayer this bank actually is too big to fail.
I disagree. It will be several more years before Gold and Silver are the "currency of choice".
In a Debt Deflation, which we are certainly in today...slow and grinding...the surviving fiat currencies (backed by an intact sovereign able to pay it's bills by any means) become far more valuable as the total volume of "money" shrinks. In our system that shrinkage equates to a substantial reduction in borrowing.
Buy and hold cash. US Dollars, Australian, Canadian etc.
Gold and Silver will get hurt.
Most of their problems are due to their ill fated Countrywide aquistion from what I have understood. Which if I remember, the Feds strongly encouraged/cajoled them to do.
BofA did no subprime lending of their own; they were not very aggressive in the mortgage area. Not really very good at it; but they didn't take any risks either.
Good. Too big to fail equals too big to exist.
The FDIC is broke or nearly so.
Where will the "insurance" for almost a trillion dollars come from?
They can always do a reverse split.
I have been buying out the plant equipment from bankrupt competitors for five cents on the dollar.
Only problem is my parking lot is filling up so much we can barely get a forklift through.
I like to buy things that I directly control, not paper assets. Everything I bought can be used to make a profit.
We have been expanding and adding processes since I bought my current company six years ago.
Hope this helps one of my fellow Freepers.
I agree that it’s TBTF, but “bank fail” these days means it quietly gets taken over by another slightly less insolvent bank that will see its own stock slowly dribble away over time as well.
I think they might find several million of that trillion a few years after the collapse in some account somewhere in the East Antilles.
Meanwhile, Buy away, it’s probably not your money anyway.
As do I.
In a Debt Deflation, debt is the WORST thing to hold...just as it is the best thing to hold in an inflation.
Right now cash is king and if you have to spend any of it, spend it on something CHEAP. Right now the means of production are very, very cheap due to the debt their former owners held.
It's also time to buy SOME real estate...cheap. If it's not cheap, don't touch it.
Still, I believe cash is the place to be. In the savings account AND under the mattress.
“Where will the “insurance” for almost a trillion dollars come from? “
If I understand the question, the answer is taxes on Lear jets.
Agree with me or disagree. I don’t care, but your smart assed remark was uncalled for and is probably a good indicator of your character.
Just a little news for all of you folks, just when you think it’s finished, it will bounce up to about $8-9 per share and stay there long enough to ruin any retail investor who shorts it. Bookmark this post.
Well, it’s not because I haven’t been paying my mortgage.
Ditto that. As a subcontractor for them through another group of uber-cheap contractor crowd (long weird story), yay.
I would say that I am tending towards the disagree side of BUY, BUY, BUY, the government is the ultimate bagholder anyway investment philosophy.
But if I offended thee I am truly contrite.
My character is my skin.