Citibank Bailout

President Elect Obama revealed part of his game plan as he described the bailout for Citibank. They will receive $306 billion by using U.S. stock markets that are guaranteed. Barrack Obama also let the public know that our economy will most likely get worse before it starts to get better. The financial and home building areas were two of the biggest gainers today in the stock market and even though crude oil jumped from $4.52 to $54.45 a barrel it helped the the energy stocks rise.

The rally for our market was the biggest since 1987 and the bailout for Citibank had the stock market rise by 500 points along with other economic plans included in the information. Mr. Obama said that he sat down with current President, George W. Bush, and that we have to do what is necessary, no matter what that is, to keep our capital running. He and President Bush have the same take on the situation and are working together to make that happen.

James Dunigan, management executive at PNC Wealth Management based in Philadelphia, says that bailing out Citigroup is an important aspect of mending the psychology of our market.

President Bush also met with Secretary Henry Paulson and says that the government will help other instituions the same way it has with Citibank later. The President says This is a tough situation for America, but we will recover. The first step is to secure our financial system. If need be, were going to make these kind of decisions to safeguard our financial system in the future.