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    LLOYLDS SHARES

    just a quick question everyone should know the govenment will be taking a 70% stake in the lloylds group this has not been annouced yet however if it does will it mean that share prices will drop considerably or rise????

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    Banned

    trying to take a gamble on insider trading?

    Got a cheque back today saying "Insufficient Funds" - Phones them up to ask was it them or me!

    Depends on the market sentiment and expectations. As the deal "solves" the toxic debt problem through the guarentee scheme, prices could rise as the bank puts all the horrible losses behind it. On the other hand, if that was already a factor in the trading price, then shares will fall as the bank is further devalued.

    It's all about confidence, I would expect a rise.
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