The Citi Rally

You may have noticed the market rallied some 6.4% today. Why such a big move? An internal memo from Citigroup CEO Vikram Pandit was made public. In the memo, found here, Vikram extols the solid profitability of Citigroup so far this year. In fact, he says "we are profitable through the first two months of 2009 and are having our best quarter-to-date performance since the third quarter of 2007". Well, that's good news indeed. If Citi is on the mend, then the governments fixes may be working and/or perhaps the economy is not deteriorating as fast as feared.