Cheap and worthless are completely different things. Shares of banking giants Citigroup and Bank of America hit record lows again on Friday as fears of them being nationalized grew.
Meanwhile the Obama administration continues to say they have no intention of nationalizing the banking system and believe the best place for the banking system is in the private sector. As true as that is, the largest banks in the nation are much too big to fail and if their stock values drop any lower the government may be force to take complete control of them.
I’m glad I didn’t listen to any of the economic ‘experts’ on many of the popular financial media programs. Those who did could get completely wiped out.
If part of your 401k is allocated to the financial sector, it will likely get wiped out. This is a complete disaster of the financial system as most of the large banks are insolvent and unlikely to return to profitability for several years if not decades.