Citigroup Inc (C)

[QaB2i]

Well better late than never I guess. Citibank has been on my stocks to short list for a while but I kept hoping for a better point to add it to my track record. What can I say but I think I missed selling it at a fancy price but I think it will soon be in single digits. Yes that is right I am saying I think C will trade below $10. Although they have taken most of the pain they are likely to take in sub prime I don't think they have done much if anything to limit their exposure to credit default swaps or CDS. I think CDS is the looming disaster next to hit the media spot light. The exposures here a massive and although I don't know what Citi's exposures to this productare they are very likely extremely high. Some researchers put CDS exposure to be in the trillions and like sub prime exposures are likely to be extremely large at all the large firms who were so great at engineering financial instruments. Citi is likely to be one of them but it won't likely matter much. Once the CDS chickens start to come home to roost they will sell all the financials good or bad so pick your favorite and get short.

http://www.socialpicks.com/ideas/show/201480/Citigroup-on-its-way-to-single-digits