Citigroup Inc. (NYSE:C): Current price $49.17
The nationwide drop in demand for mortgages has hit another big bank in its workforce area: Citi has announced the elimination of 1,000 jobs in its mortgage business units. The cuts will occur mainly in Las Vegas and Irving, Texas. This comes after the firm closing its office in Danville, Illinois, which caused the service termination of 120 employees. During the financial crisis and the beginning of economic recovery, Citi and others took advantage of the low interest rates that boosted income their mortgage refinancing business, but now, with the economic revival gaining traction, rising interest rates are choking off demand for loans.