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Citi see stocks falling by 20% in worst-case fiscal cliff scenario

 
neodimiun
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09/21/2012 10:50 AM
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Citi see stocks falling by 20% in worst-case fiscal cliff scenario
How bad could going over the “fiscal cliff” be for investors? Try a 20% decline in equity prices, Citi Research analysts said in a note on Friday.

That’s under a worst-case scenario mapped out by analysts about what happens if big tax hikes and spending cuts are allowed to take effect at the beginning of next year. It’s one of three scenarios contemplated. The other two envision sidestepping some of the fiscal cliff measures like tax hikes, and hatching a “grand bargain” of fiscal consolidation

[link to blogs.marketwatch.com]

[link to ir.citi.com (secure)]
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