This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Five Dumbest Things on Wall Street: Nov. 28

Citi's Field of Screams

The Citigroup (C - Get Report) bailout puts U.S. taxpayers at risk. But Citi Field is safe at home.

The government pitched in to save the embattled bank this weekend, investing $20 billion of the $700 billion Troubled Asset Relief Program in Citi shares. The cash infusion, which follows an earlier $25 billion TARP investment, was a home run for Citi shareholders, sending the stock up 54% on Monday to almost $6.

Not lost in the hoopla was Citigroup's sponsorship of the New York Mets' new stadium, set to open in 2009. Citigroup signed the 20-year, $400 million naming rights two years ago when the bank was still minting money by selling subprime securities.

The banking crisis has ushered in a whole new ballgame, however. And even the most ardent Met fan would expect Citi's first move after taking the government's money to be escaping the exorbitant stadium deal.

Alas, that does not seem to be the case. Citi CFO Gary Crittenden told CNBC's Erin Burnett on Monday that those naming-rights decisions "were made in a different time and a different place and we have a legal and binding agreement around that and so I never heard it discussed."

Crittenden continued, saying "I don't think it's an issue."

Well, we do. And we feel safe in saying that the 53,000 Citigroup employees set to be laid off also have a pressing interest as to why the bank is spending money on stadium signage when it could be making loans to stimulate the economy.

Or saving jobs.

Dumb-o-meter score: 70 -- Like "Casey at the Bat," the mighty Citi has struck out.

2 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
NYT $14.05 -0.85%
MSFT $46.90 -1.10%
PFE $34.28 -0.23%
TTWO $27.26 -1.34%
YHOO $43.48 -0.44%

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs