It was an extremely rough week on Wall Street, despite the signing of the economic rescue package and the announcement of the Obama Administration’s housing plan. The Dow industrials fell 100.28 points, or 1.3 %, to 7,365.67 after earlier falling more than 215 points. On Thursday, the Dow broke through its Nov. 20 low of 7,552.29, and closed at its lowest level since Oct. 9, 2002. The Dow’s 6.2 % slide for the week was its worst performance since the week ended Oct. 10, when it lost 18.2 %.
The Standard & Poor’s 500 index on Friday fell 8.89, or 1.14 %, to 770.05. The Nasdaq composite index fell 1.59, or 0.11 %, to 1,441.23. For the week, the S&P fell 6.9 %, while the Nasdaq lost 6.1 %.

Morning Outlook

Stocks around the globe rose as the U.S. government is contemplating raising its stake in Citigroup rather than nationalizing the financial company. Over the weekend we touched upon the prospect of Citigroup and Bank of America. In Asia, Japan’s Nikkei 225 stock average recovered some of its losses to end down just 40.22 points, 0.5 %, at 7,376.16, while Hong Kong’s Hang Seng closed up 475.93 points, or 3.8 %, at 13,175.10,

In Europe, the FTSE 100 index of leading British shares was up 10.81 points, or 0.3 %, at 3,899.87, while Germany’s DAX rose 42.68 points, or 1.1 %, to 4,057.34. The CAC-40 in France was up 34.07 points, or 1.2 %, at 2,784.62.

Markets look to start the week higher in the U.S. Dow Jones industrial average futures rose 51, or 0.69 %, to 7,403. Standard & Poor’s 500 index futures rose 4.80, or 0.62 %, to 774.30, while Nasdaq 100 index futures rose 5.25, or 0.45 %, to 1,177.00.

On the Corporate Front

Citigroup Inc. (C) is reportedly negotiating with government officials to have the U.S. boost its stake in the troubled bank to as much as 40 % as options are few and far between. This action would dilute shareholder equity, but no entirely wipe them out.