New York, Feb 2, 2026, 15:43 (EST) — Regular session underway.
- Citigroup shares climbed roughly 0.8% to $116.63, bouncing back from an earlier dip to $114.40.
- A report indicated that Glencore is nearing a deal to appoint Citi as lead adviser ahead of potential discussions with Rio Tinto, eyeing a crucial U.K. deadline on Feb. 5.
- On Monday, a Federal Reserve survey showed stronger expectations for business-loan demand in 2026.
Citigroup shares climbed around 0.8% to $116.63 Monday afternoon, after bouncing between $114.40 and $116.97 earlier. Investors digested news that Glencore is nearing a deal to appoint Citi as lead adviser in potential merger talks with Rio Tinto, aiming to create a mining giant valued over $200 billion. The UK Takeover Panel has set a “put up or shut up” deadline for these deals, requiring a firm offer or withdrawal by Feb. 5. (Reuters)
Why it matters now: Citi’s stock is often seen as a barometer for two volatile factors — deal fees and interest rate movements. While landing a major advisory mandate won’t boost earnings immediately, it fuels the investment banking story in a market prone to punishing banks whenever activity slows down.
The boost was broad in financials. Financial Select Sector SPDR Fund climbed around 1.0%, and the SPDR S&P Bank ETF added about 1.7%. Bank of America rose over 1%, with Wells Fargo jumping more than 2%.
In the Glencore case, Rio Tinto has tapped Evercore and Macquarie Group as advisers, with other banks also vying for a spot, the report noted. Citi’s relationship with Glencore stretches back years, covering its 2011 IPO and the recent acquisition of Teck Resources’ coal unit. Both Glencore and Citi declined to comment.
A fresh data point also helped the sector tone. A quarterly Federal Reserve survey revealed banks anticipate stronger demand for business loans in 2026, citing lower rates and increased spending or investment needs as key factors. The Fed held its benchmark rate steady last week at 3.50%-3.75% and indicated inflation and labor-market conditions may delay any further cuts “for some time,” the report noted. (Reuters)
Citi reported that investment-banking fees jumped 35% to $1.29 billion in the last quarter, driven by a boost in dealmaking. The bank highlighted a broader uptick in services to corporate clients as mergers and acquisitions gained momentum late last year. (Reuters)
Monday’s action carried a clear macro tilt. “The key thing that seemed to turn sentiment today is a push back to focusing on fundamentals,” said Carol Schleif, chief market strategist at BMO Private Wealth. Investors are bracing for a busy week filled with earnings reports and central bank meetings. (Reuters)
Citi’s board has set a quarterly common dividend at $0.60 per share. It’s payable on Feb. 27 to shareholders on record as of Feb. 2 — the deadline to qualify for the payout. (Citi)
Still, the deal talk remains just that — talk. Major merger discussions often stall or fall apart, and the advisory fees won’t materialize until a deal is officially inked and completed.
Investors have two key dates coming up fast. Feb. 5 marks the U.K. takeover deadline linked to the Glencore-Rio Tinto talks. Then on Feb. 27, Citi is set to pay its dividend.
