Last week there some more acquisition happened in the US banking sector. This shows that the world is going to face a major crisis as USD is the currency used across the world to measure their financial status.
JP Morgan Chase last week purchased Washington Mutual's failed assets and this makes additional pressure on the other major banks that are struggling under the weigh of bad loans.
JPMorgan CEO Jamie Dimon announced writedowns of loans similar to those hold by Wachovia. Now Wachovia Corp. the fourth biggest bank of US whose stock has tumbled 80% in the last One year is forced to sell itself because of Dimon's announcement. Its share down by 47% in the last week itself. Citigroup and Wells Fergo may bid for Wachovia Corp. (Already Morgan Stanley's aquisition plan on Wachovia failed in Mid Sept. 2008).
JP Morgan Chase last week purchased Washington Mutual's failed assets and this makes additional pressure on the other major banks that are struggling under the weigh of bad loans.
JPMorgan CEO Jamie Dimon announced writedowns of loans similar to those hold by Wachovia. Now Wachovia Corp. the fourth biggest bank of US whose stock has tumbled 80% in the last One year is forced to sell itself because of Dimon's announcement. Its share down by 47% in the last week itself. Citigroup and Wells Fergo may bid for Wachovia Corp. (Already Morgan Stanley's aquisition plan on Wachovia failed in Mid Sept. 2008).
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In a stunning reversal, the Wachovia Corporation said early Friday that it planned to be acquired by a rival bank, Wells Fargo & Company, for about $15.1 billion in stock.
The announcement came four days after Citigroup believed that it had cemented a deal with Wachovia to buy most of its banking operations for $1 a share or $2.2 billion in a deal brokered by federal regulators.
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