Northern Rock Shares Collapse
19 September 2007, 12:24 PM
#151
Scooby Regular
Join Date: Jan 1999
Posts: 709
Likes: 0
Received 0 Likes
on
0 Posts
Still looking very dodgy.
BBC NEWS | MARKET DATA
BoE have had to inject £10 billion into the market today!
BBC NEWS | MARKET DATA
BoE have had to inject £10 billion into the market today!
19 September 2007, 12:43 PM
#153
Scooby Regular
Join Date: Feb 2005
Location: Derbyshire
Posts: 12,304
Likes: 0
Received 0 Likes
on
0 Posts
Still looking very dodgy.
BBC NEWS | MARKET DATA
BoE have had to inject £10 billion into the market today!
BBC NEWS | MARKET DATA
BoE have had to inject £10 billion into the market today!
19 September 2007, 12:48 PM
#156
Scooby Regular
Join Date: Sep 2006
Location: Worthing..
Posts: 7,575
Likes: 0
Received 0 Likes
on
0 Posts
19 September 2007, 12:50 PM
#157
Scooby Regular
Join Date: Jun 2005
Location: Home
Posts: 14,758
Likes: 0
Received 0 Likes
on
0 Posts
19 September 2007, 01:14 PM
#158
Scooby Regular
Join Date: Sep 2001
Posts: 1,764
Likes: 0
Received 0 Likes
on
0 Posts
19 September 2007, 03:51 PM
#161
Scooby Regular
iTrader: (1)
Join Date: Jan 1999
Location: UK
Posts: 15,271
Likes: 0
Received 0 Likes
on
0 Posts
It's a dead cat bounce...
...could have been worse though - he could have bought 100,000 at the 316 and lost a few shirts.
Based on current price he is up £4,000 minus account costs - so breaking even ;-)
...could have been worse though - he could have bought 100,000 at the 316 and lost a few shirts.
Based on current price he is up £4,000 minus account costs - so breaking even ;-)
19 September 2007, 04:19 PM
#164
Scooby Regular
Join Date: Nov 1998
Posts: 11,905
Likes: 0
Received 0 Likes
on
0 Posts
Eek .. down even further.
NORTHERN ROCK Share Price Chart | NRK.L | GB0001452795 | Yahoo! Finance UK
Steve
NORTHERN ROCK Share Price Chart | NRK.L | GB0001452795 | Yahoo! Finance UK
Steve
19 September 2007, 04:27 PM
#166
19 September 2007, 07:29 PM
#169
19 September 2007, 08:12 PM
#170
What a load of poppycock. It was patently obvious to anyone who is familiar with you on here that you had neither the intention, the funds nor the gumption to buy any of these shares.
Then you have the audacity to come on here with this primary school excuse as to why you never bought the shares... after they have dropped again! Had they continued to rise we wouldn't have heard a peep out of you, would we?...
Or would you have treated us to a barely credible fish story about how you are lavishly spending your winnings?
Then you have the audacity to come on here with this primary school excuse as to why you never bought the shares... after they have dropped again! Had they continued to rise we wouldn't have heard a peep out of you, would we?...
Or would you have treated us to a barely credible fish story about how you are lavishly spending your winnings?
You sound like someone's demented mum
19 September 2007, 10:19 PM
#171
Scooby Regular
Join Date: Jan 2001
Posts: 5,582
Likes: 0
Received 0 Likes
on
0 Posts
What a load of poppycock. It was patently obvious to anyone who is familiar with you on here that you had neither the intention, the funds nor the gumption to buy any of these shares.
Then you have the audacity to come on here with this primary school excuse as to why you never bought the shares... after they have dropped again! Had they continued to rise we wouldn't have heard a peep out of you, would we?...
Or would you have treated us to a barely credible fish story about how you are lavishly spending your winnings?
Then you have the audacity to come on here with this primary school excuse as to why you never bought the shares... after they have dropped again! Had they continued to rise we wouldn't have heard a peep out of you, would we?...
Or would you have treated us to a barely credible fish story about how you are lavishly spending your winnings?
Suresh, this guy is a seriously inadequate loser. He is the one with no 'funds nor gumption' and is projecting his own failures onto you. Don't laugh though...pity the fool
20 September 2007, 09:22 AM
#177
Scooby Regular
Join Date: Nov 1998
Posts: 11,905
Likes: 0
Received 0 Likes
on
0 Posts
187p now. I don't understand really as it is a viable business, with a very short-term cash flow problem. That problem was underwritten by the Bank Of England, and in the end they didn't need it.
Amazing how it can all go horribly wrong based on rumour and misinformation.
Steve
Amazing how it can all go horribly wrong based on rumour and misinformation.
Steve
20 September 2007, 11:34 AM
#178
Scooby Regular
Join Date: May 2000
Location: MY00,MY01,RX-8, Alfa 147 & Focus ST :-)
Posts: 10,371
Likes: 0
Received 0 Likes
on
0 Posts
The reason it is dropping so quick is that any potential buyer for NR will only do so at a heavy discount - one of my early posts mentioned 180 to 200p a share - that is less than the asset value of the company - but whoever buys them will need to cover the £17bn shortfall too. Someone will get a bargain, but that is business! Screw up and the vultures will circle and rip you to shreds.
20 September 2007, 12:39 PM
#179
Scooby Regular
Join Date: Feb 2002
Location: Earth
Posts: 879
Likes: 0
Received 0 Likes
on
0 Posts
The problems with Northern Rock are a lot deeper than the short term credit crunch.
1. The brand is now tarnished, and is probably worthless. Banking relies on trust and that confidence would take years to regain. The only way they can continue in the near term is to be much cheaper than everyone else but...
2. Their business model relies on LIBOR and the base rate being close to be competitive. The credit crunch has opened a gap between these, which means that in the near to medium term product offerings are likely to be uncompetitive. It is highly likely that mortgage holders will switch to other banks when their fixed terms expire.
3. Final nail in the coffin - whilst the BoE has offered to prop up Northern Rock, that guarantee has explicitly not been extended to any suitor. That means that any bank buying has to cover the shortfall themselves. This does not make Northern Rock an attractive takeover target.
All in all? These shares are in for a rocky ride, they are stuck between a rock and a hard place and other appalling puns. Unless something above changes materially these shares are going to be seriously unpopular.
HM Gov doesn't care about the shareholders - they are there to take it in the shorts when the business model goes wrong - they only intend to look after the customers (and, to some extent, the employees if need be).
1. The brand is now tarnished, and is probably worthless. Banking relies on trust and that confidence would take years to regain. The only way they can continue in the near term is to be much cheaper than everyone else but...
2. Their business model relies on LIBOR and the base rate being close to be competitive. The credit crunch has opened a gap between these, which means that in the near to medium term product offerings are likely to be uncompetitive. It is highly likely that mortgage holders will switch to other banks when their fixed terms expire.
3. Final nail in the coffin - whilst the BoE has offered to prop up Northern Rock, that guarantee has explicitly not been extended to any suitor. That means that any bank buying has to cover the shortfall themselves. This does not make Northern Rock an attractive takeover target.
All in all? These shares are in for a rocky ride, they are stuck between a rock and a hard place and other appalling puns. Unless something above changes materially these shares are going to be seriously unpopular.
HM Gov doesn't care about the shareholders - they are there to take it in the shorts when the business model goes wrong - they only intend to look after the customers (and, to some extent, the employees if need be).
20 September 2007, 12:59 PM
#180
Scooby Regular
Join Date: Dec 2004
Posts: 2,490
Likes: 0
Received 0 Likes
on
0 Posts
Thought this was interesting though...
http://investing.reuters.co.uk/news/...RTHERNROCK.xml