Bulls Spring Into Action

During a much-anticipated investor conference, Citigroup (C Quote) CEO Chuck Prince said he, just like many investors, is "frustrated'' with the performance of the bank's stock. However, he made it clear there will be no deviation from the strategy's he's been following for the past three years at the nation's largest bank.

Prince says Citigroup will continue to focus on international acquisitions, and he doesn't foresee making a major U.S. bank acquisition next year. Some critics have said Citigroup needs to expand its retail banking presence domestically. Shares of Citigroup gained 79 cents, or 1.5%, to close at $53.11.

On the economic front, the Labor Department said its import price index rose 0.2% in November, compared with expectations for no change. Imported petroleum prices fell 1.6% last month, but natural gas prices surged by more than 30%. Excluding petroleum, import prices were up 0.7% for the month.

Separately, the government said initial jobless claims fell by 20,000 to 304,000 last week. The less volatile four-week moving average fell by 1,500 to 327,250 claims.

Treasuries eased, with the 10-year note down 3/32 in price to yield 4.59%. The 30-year bond was sinking 9/32 and yielding 4.72%. The dollar was higher against the euro and the yen.

Overseas, European markets were moderately stronger. London's FTSE 100 was up 0.6% to 6228, and Frankfurt's Xetra DAX added 0.5% to 6552. Asia's shares rose overnight. The Nikkei gained 0.8% to 16,829 and the Hang Seng was ahead by 1.1% to 18,919.