WaMu’s stock is up this morning after the new CEO said the S&P rating downgrade to junk was based on “market conditions” and not their financial condition, and an unsourced Daily Mail article said Chase was going to bid for the beleaguered thrift.
JPMorgan Chase in new bid for Washington Mutual [Daily Mail]
WaMu Responds to Standard & Poor’s Actions [Press Release]
Washington Mutual stock rises; merger talk disputed [Reuters] (Photo: James Callan)
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Whoo hoo!
WaMu the bank run by Homer Simpson
Well, darn it, I was going to buy some stock at that bargain price of two bucks a share!
When did this site turn into WaMuist?
@PeteyNice: I tried to shoehorn in the pun “WaMaoist” into a witty comment but FAIL on my part
Looks like Ben’s appeal to consumerist readers has worked.
Baghdad Bob, WaMu PR Rep: “It is entirely market conditions. Our fundamentals are fine. The mortgage meltdown is not here, in fact we are defeating it. Allah be praised!”
Credit Default Swaps On WaMu are saying they are toast.
Question: So I don’t have a bank account there to make a run on. But WaMu is the holder of the only credit card I carry a balance on since it’s 0%. I wonder if I should transfer that balance sooner rather than later?
@LoriLynn: Even if they go under, someone will buy their cards. Someone will take your debt. I’ve never had a card go under where a major bank didn’t take over and keep my terms.
@chiieddy: Thanks, I figured it would get bought. Was worried about the 0% though.
Basing anything on the movement of the stock price on a day to day basis in market this jittery that jumps when anyone says jump *cough*United*cough* does not make any sense.
@sir_eccles:
Be that as it may, I believe this post is referring to the fact that there is buyout speculation and a re-assurance by management (do with that what you will) that has, in turn, effected the stock price.
Your comment would have been appropriate if the post had said “Wamu stock is up, therefore everything is better.”
@Secret Agent Man:
That would be affected, idiot.
this looks like a dead-cat bounce.
So, having read all of this WaMu stuff it is with a heavy heart (because my local WaMu branch is awesome) that I have begun transferring my money. It will be in increments because for some reason I can only transfer $10k at a time. Hopefully it will be done before they go under. I will miss having a brick & mortar bank to visit to deposit cash, but Schwab upped their rate to 3.00% today which is good enough for me.
@PeteyNice:
You are removing your cash from an FDIC-insured institution, that may or may not fail, to put it into a brokerage?!? For a rate that’s 2% lower than what that institution (and whoever buys them) will pay?!? I seriously have to question who is providing your financial advice.
@PeteyNice: You can’t move more than $10,000, because an amount higher than that requires SEC paperwork, to check for money laundering.
@fhic: PeteyNice is most likely referring to their bank (which offers a good checking yield), and not the brokerage arm. Most large brokerage houses have a bank [www.schwabbank.com]
WaMu has been the first bank in a while to not suck, at least for me. All I can say is, Chase had better keep their hands off. I really don’t need them galloping to the rescue so that can increase my credit card and bank account fees.
@NefariousNewt: “The no-fee checking accounts are the reason WaMu went insolvent. In order to increase your banking experience, JPMorgan Chase WaMu has instituted these fees for your convenience.”
I’m considering opening an account in a local bank, just to keep some extra funds available *if* WaMu goes under. I’d rather not bother moving everything over unless forced to.
These days, it feels like investors are focused like a lazer beam on underperforming financial companies, and the companies themselves are rapidly melting ice cubes. So please stop staring at my bank.
I just opened a secondary checking account today, just to keep some continuity in case WaMu ceases to be. Union Bank of California has terrible fees and rates, but their stock is up 49% this year. It might cost me more to access my money, but I won’t be waiting for an FDIC check.
Oops, I should have Googled before looking clueless. Schwab appears to have some kind of a virtual bank division that claims to be FDIC insured. More details at their site here.
@fhic: Yes, I am talking about Schwab’s actual bank. It is also FDIC insured and lacks the solvency questions that surround WaMu. My experience with them has been tremendous, but there is something nice about having a branch down the street. Maybe I need to plan a trip to Reno (where Schwab bank has a branch)!
You know it’s bad at WaMu when the downtown Portland branch ripped out the video screens – don’t want the customers to see how f&*47cked up the stock value and market is…