Ciitigroup is in deep trouble and here is the proof: Citigroup Said to Urge SEC to Reinstitute Ban on Short-Selling.

Citigroup Inc., which fell as much as 25 percent in New York trading today, is urging the Securities and Exchange Commission to revive a prohibition on short-selling financial stocks, according to a person familiar with the matter.



The bank has also discussed with lawmakers its proposal to reinstitute the ban on bets that share prices will fall, said the person, who declined to be identified because the discussions weren't public. Citigroup, down for eight of the past nine trading days, declined $1.22 to $5.18 on the New York Stock Exchange at 2:37 p.m.



Buffeted by four straight quarterly losses, New York-based Citigroup has raised about $75 billion since December by selling assets and equity stakes, including a $25 billion injection from the U.S. Treasury.



SEC spokesman John Nester declined to comment. Citigroup spokesman Michael Hanretta didn't return a phone call seeking comment.

No One Wants To Comment

Citigroup Weekly Waterfall

Citigroup 60 Minute Chart

Citigroup's Ridiculous Short Selling Claim

Top Call

Chuck Prince Citigroup CEO: “ When the music stops, in terms of liquidity, things will be complicated. But as long as the music is playing, you’ve got to get up and dance. We’re still dancing ".



I leave it to you to decide whether or not this is the "last dance".



It's tough calling a top but I am going to try. I suggest the current trend is exhausted. My last " top call " was specially in regards to housing in the summer of 2005. Can lightning strike twice?

Citigroup's $1.1 Trillion in Mysterious Shadow Assets

Off Balance Sheet Holdings







Citigroup notes that the majority of $667 billion is unlikely to come on balance sheet yet presumes none of it will. I question the idea that Citi has no credit risk. Just how good are the counterparty guarantees for Citigroup to assume it has no risk on $667 billion? Also note that per an accounting rule change, Citigroup will be allowed to hide whatever risk there is, off the balance sheet and pretend that it does not exist at all. These risks need to be brought on the balance sheet and fully disclosed.

