Ticker Shock: Citigroup Paychecks Shrink, GM Gets Mad Money
Friday's top stories and stocks with potential to move.
My quiet New Year's Eve at home with the wife and kids was great. We played games, talked, ate those little hot dogs in a bun, and had a great time. I was in bed by 12:15 a.m., and the fact that I imbibed only a couple of glasses of champagne meant I didn't wake up with a hangover. Awesome night all around.
Now, let's get down to business.
The Hang Seng rose more than 4%. Europe was showing me some single-digit percentage gains earlier this morning. And here in the US, we're currently trading higher.
It seems that a 50% federal tax hike on fuel may be in the works, given the fact that people are driving less, buying less gas, and tendering less money in taxes.
Though government officials supposedly want us to buy fuel-efficient cars and drive less, they also kind of want us to buy plenty of gas, so they can tax it. This is clearly one of those "things that make you go hmm."
And did they consider companies that transport their goods by trucks - and how this move might impact their profits and thus their ability to pay taxes?
General Motors (GM)
On Wednesday, the Treasury finalized the first $4 billion tranche for GM's federal loan.
When my friend was in the Marine Corps he used to tell me how he sometimes wished he didn't have any money in his pocket when he visited certain bases, because he knew he'd run through his billfold in no time flat thanks to the local nightlife.
Long story short -- and I'm sorry about this, GM bulls -- but I couldn't help but think of my friend when I heard this news. I wonder if the company would end up burning through this money in short order. I also simultaneously heard this swirling, flushing sound.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Daily Recap Newsletter