User 227036

Attention Locusts: The Party Is Moving to Merrill and AIG

Banks are all about trust - it is the one sector where it is so easy to start rumors and cause a run on the bank.

You're misunderstanding what people are supposed to trust here. It's not that a reputation or share price should remain at a certain level. People trust a bank not to do something so stupid that, were they to come asking, said bank would have their money.

These shorted banks, victims of baseless rumors, are in a prime position to make a fortune. All they have to do is buy back some shares. If they just want to be punitive to the shorts, they can just pay a huge dividend. They have a lot of options available to them to fight these shorts.

I wonder why these banks are letting these shorts let their shares become worthless? Oh, right, because these banks don't have any money. Makes them pretty worthless as banks, doesn't it?