Citigroup's shares suffered during the week, as investors showed increased nervousness about the banking group's ability to weather a downturn. Vikram Pandit, Citi's chief executive, may have a point in blaming Citi's recent share price falls on false rumours and scaremongering. However, at the moment, rumours and fear can change a company's financial position overnight. If enough people think you are in danger, then you are in danger.
One day, a famous man was walking in Wall Street when a rumour spread that he had fallen over and knocked himself unconscious. Everyone rushed into the street to see what had happened. The man was knocked unconscious in the scramble to see what had happened to him. Whose fault was that?
