A new level..Perhaps for the time being $40.00 is the resting point. Dips will recover to 40, spikes settle back down to 40?? Maybe support is around 39.50 or 39.75 or so. Seems that way at the moment. $36.00 feels like it would be the next step down, if it breaks through. Idle speculation on my part, not sure. Canadian banks don't report for a long while, which is probably helpful. No news is good news these days. Hopefully no negative guidance surfaces in the short term.
There is still a big gap between their annual dividend and annual earnings/share, biggest spread of the Canadian 6. That should be worth some support you would think. Fear craps on any fact though.
Lots going on. The huge losses reported by the European banks, the weak results from US Bancorp (lame and unsurprising) and BKNY Mellon (I was surprised), and a possible announcement on a 'bad bank' scheme by the Obama team. An announcement there could cause a nice big bounce. Everyone seems to be waiting for a reason to jump for joy at some proclamation or plan of his, worthwhile or not. I guess theres just such relief that Bush is gone.
Underneath it all though, a continued stench from Citi and BofA. The crap swirling around those two just won't settle down. BofA especially now. It has gotten really tiring. Every assurance that has come forth over the past year regarding either one has just been dishonest garbage, a steady stream of denial and lies. They are overshadowing everything, sucking down financials all over the earth.
It seems it could go either way. A big bounce from an Obama plan, or a nuclear bomb from Citi or BofA or both. Pretty volatile situation.
Something tells me another big blow up in the financial sector is on the menu. Too many red flags, unease, whatever. Things seem to be coming to a head again. Thene theres the auto sector. They will burn through their bailout funds in short order. Then what? Ah lets not go there.
There are some big shocks still to come. Opportunities for sure at times, if you guess right, but lots of thin ice.
That is how it seems to me, at the moment. I just dont see any bottom at the moment. Not being pessimistic, I just can't see one for looking.