Citi's Coup.

Citigroup Inc. has launch a 'financial coup' to the rescue of SIVs.(Structured Investment Vehicles) in order to avert the fire sales of assets thus taking responsibility for their $49 billion of assets.

This is the last major outstanding piece of the SIV problem and the problem is closed to resolution.

SIVs emerged in August as one of the biggest threats to capital markets that were rocked by record high defaults on subprime mortgages. Financial institutions have since reported more than $70 billion of losses and writedowns. Citigroup invented SIVs in 1998 and was the biggest manager of the funds.

Citigroup Inc. follows HSBC Holdings Plc, Societe Generale SA and WestLB AG in bailing out SIVs to avert fire sales of assets.

Florida schools and towns pulled almost half their money last month from a $27 billion state-run fund used to pay teachers and other day-to-day expenses after discovering it invested in defaulted and downgraded SIVs. Charlotte, North Carolina-based Bank of America, the second-largest U.S. bank, said last week that it will liquidate a $12 billion enhanced cash fund after losses on holdings that included debt sold by SIVs.

Citigroup Inc. is now headed by a new management team hoping to wipe off the sins of previous management.

Tracking the Dow on Thursday,13/12/07.
Credit worries being the theme of the day as investors and traders are yet to fully digest the aftermath effect of the rate cut.The bulls seem to be collecting and accumulating in such a comfortable discounted environment.The world financial markets (global trade),are being fooled by these ratings juggernaut.Towards the closing bell,looks like an ascending flag pattern.There were 3 side-by-side candle---(Mr.President,Mr Bernanke,Mr Allan Greenspan)

Looks like the New York fire-fighters are scrambling up their ladders to douse-off the fires on wall-street.They seems to be successful in piercing through each height.Hope they can reach the penthouse!