Citigroup Could Be Below $3 Without Underwriters Support

CNBC's David Faber reported that underwriters have been forced to gobble up shares of Citi (NYSE: C)(FREE stock trend analysis) to help prevent Citi from falling below $3 per share.

It is common for underwriters to buy stock after an offering to help support the new shares. However, Citigroup had trouble with its offering as it priced drastically below the initial price analysts' expected.

On a side note, Sandler O'Neill's Jeffrey Harte told CNBC for the second time today that he can't talk about Citi as he is still under restriction. This time Erin Burnett asked him about Citi and earlier in the day it was the crew from Squawk Box. Joe Kernen will be sad to learn that Erin Burnett is not a fan of the TV show, Squawk Box.