And the hits just keep on coming.
International Herald Tribune
U.S. to inject $20 billion into Citigroup
The Associated Press
Sunday, November 23, 2008
WASHINGTON: The U.S. government unveiled a plan Sunday to rescue Citigroup, including taking a $20 billion stake in the firm, whose stock has been hammered on worries about its financial health.
In addition, the government will guarantee as much as $306 billion of risky loans and securities backed by commercial and residential mortgages.
The announcement was made by the Treasury Department, the Federal Reserve and the Federal Deposit Insurance Corp.
“Some economists, when thinking about long memory, are concerned that it undercuts the Efficient Market Hypothesis that prices fully reflect all relevant information; that the random walk is the best metaphor to describe such markets; and that you cannot beat such an unpredictable market. Well, the Efficient Market Hypothesis is no more than that, a hypothesis. Many a grand theory has died under the onslaught of real data.” Benoît B. Mandelbrot