Lloyds Banking Group PLC (ADR) (NYSE:LYG) Sluggish Due To Uncertainty In Policy


Dallas, Texas 01/28/2014 (FINANCIALSTRENDS) – Lloyds Banking Group PLC (ADR) (NYSE:LYG), the stock of the London based holding company ,which manages financial institutions which aggregate to close to $95.5 billion in market cap from their operations worldwide has seen the value of its American Depository Receipts go down by a substantive 3.78% during trading on 27th January. To put yesterday’s sell off in perspective, investors need to note that the stock had shed close to 3.6 percent during trading, whole of last week and had posted a 2.88 percent gains in the past one month of trading.

The sell-off in the stock of this financial institution occurred on a day when the larger financials index in U.S registered a 0.88 percent decrease in market valuation as against a 0.26 percent dip in Dow Jones Index returns of the day. The slowdown in the financial sector in U.S was accompanied by a huge sell off across the major markets of Asia and Europe on fears of Fed Tapering gathering more momentum going forward. Few other uncertainties which seem to be troubling the stock are centred on the rumours that Fed would be changing the ground rules that govern the operations of foreign banks with respect to the minimum capital requirements which they need to bring in to their business.

It is appropriate to note here that in a survey conducted by PricewaterhouseCoopers and the Confederation of British Industry recently, Sixty-nine percent of financial services company executives felt very confident about the macroeconomic environment in U.K. The survey results were published by New York Times on 23rd January. These positive sentiments which are currently prevailing in the wider U.K financial players are expected to show up in increased profitability in the operations of these firms in the near term. Investors in the stock of Lloyds Banking Group PLC (ADR) (NYSE:LYG), would be hoping that the short term losses they have suffered can be overcome in the next few quarters.

This report is for information purposes only, and is neither a solicitation or recommendation to buy nor an offer to sell securities. Financials Trend is not-a-registered-investment-advisor. Financials Trend is not a broker-dealer. Information, opinions and analysis contained herein are based on sources believed to be reliable, but no representation, expressed or implied, is made as to its accuracy, completeness or correctness. The opinions contained herein reflect our current judgment and are subject to change without notice. Financials Trend accepts no liability for any losses arising from an investor's reliance on the use of this material. Financials Trend sometimes gets compensated up to one hundred and fifty thousand dollars per month for featuring particular stocks. See site disclaimer for complete compensation. Financials Trend and its affiliates or officers currently hold no shares of these stocks. Financials Trend and its affiliates or officers will purchase and sell shares of common stock of these stocks, in the open market at any time without notice. Financials Trend will not update its purchases and sales of these stocks in any future postings on Financials Trend's websites. Certain information included herein is forward-looking within the context of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements concerning manufacturing, marketing, growth, and expansion. The words "may", "would," "will," "expect," "estimate," "anticipate," "believe," "intend," " project," and similar expressions and variations thereof are intended to identify for ward-looking statements. Such forward- looking information involves important risks and uncertainties that could affect actual results and cause them to differ materially from expectations expressed herein. *Financials Trend does not set price targets on securities. Never invest into a stock discussed on this web site or in this email alert unless you can afford to lose your entire investment.