Hello Crazy Team.
Were told that the Goldman bank which loaned a lot of government money a while back is now doing so well that its paid it all back and is going to pay out bonuses to its staff.
Well, thats interesting aint it? Theyve obviously done very well to wriggle out of the credit crunch crisis and maybe other banks particularly the UK ones havent done as well. Well, we know they havent, I suppose, but it still makes you think. If GS can do it, then why cant other banks be just as skilful at coming up smelling of
roses?
And yet the Goldman news did not swell the shares of RBS (LSE: RBS.L - news) , Barclay and Lloyds much. They did toddle up a little, but not very much.
There could be an opportunity here gang, I suppose. I mean it seems quite possible that other banks will now announce to the world that they are making big profits again. And then wont RBS, Barclay and Lloyds shares rise quite fast. Not to mention Sandtander and the Honkers Bonkers.
Im a bit wary myself, because I was burnt more than most Crazies in the bank crisis. But I still hold a lot of UK bank shares, hoping that they will claw back some of their old values. And this Goldman S news fills me with hope.
Well, maybe fills me with hope is the wrong phrase. But it still makes me feel a bit easier about my continued holding of banking stock. Suppose RBS returns to its old profit achievements? Not likely I know, but just suppose.
The other snag to that, of course, is that the government now holds a load of RBS shares, and we share shifters, both pro and amateur, are never really happy about government interference. Theyve not proved too good at managing businesses in the past, have they?
Still, you never know. British banks could be the shares to hold for the rest of the year. But dont blame me if they disappoint us – theyve become rather good at that. Rock on.
Go to www.sharecrazy.com for share info and market analysis