lloydstsb

[sandmaster]

I thought LloydsTSB was fundamentally sound, which is why it was favourite to take over HBOS. Is it just the takeover that is driving the share price down or is there a deeper problem with Lloyds? It seems odd with other bank shares leading the recovery.

[eastern]

Bank shares are not the flavour of the month anywhere, one of the reasons is the government might put restrictions on the banks paying dividends to their share holders. This has put a lot of people off buying bank shares hence the dip, saying that some of them are so cheap its laughable, I mean RBS .70p!!! Trouble is virtually all the Western world banks are short of liquidity. Tread carefully!!!!

[jno]

I think it's the takeover; people suspect HBOS, rather than Lloyds, is overvalued and think Lloyds would be better off without it. But eastern's advice sounds pretty good to me.

[sandmaster]

Thanks guys -t hat reflects my thinking. LloydsTSB should walk away from this deal or renogotiate it.