Disappointing Secondary Offering Causes Sell Off In C

Shares of leading US bank Citigroup Inc (NYSE: C) declined by 8.41% to $3.16 in early trade. The volume of C’s shares traded so far in the morning has crossed 1.5 billion, which is far higher than its average volume of about 450 million for the past 30 days.

The sell off in Citigroup’s shares was the result of the disappointing secondary offering and news of the federal government delaying the sale of its stake. The government seems to have taken the decision based on weak pricing of C’s shares.