Freitag, 21. November 2008

Financial Stocks: Time for Bottom Fishing?

The Bank shares are still not able to escape from the downward trend. The descent continues. The stock market value of the majority of financial assets is melted by two-thirds since the outbreak of the financial crisis.

There are currently no signs of even a technical counter-movement. The papers from the financial sector have rightly lost its appeal. Yields are imaginary, profitability is cosmetically, risks are covered by the new structured products disguises. It is now difficult to find a floor in the course development of the financial stocks.

Apart from the low price, there is currently no reason to buy bank shares. As long as the sector’s lack of transparency remains in force, it is advisable to keep away off this stocks.

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