WaMu Shareholders Hope Briefcases of Cash Are in Their Future

Wall Street is a terrific place. If we wanted to be worth more money in desperate circumstances, we'd probably have to come up with more than a rumor. But not when it comes to the stock market.

The P-I reports WaMu's stock rose almost 20% Tuesday on rumors that Goldman Sachs or Buffett's Berkshire Hathaway was in a shopping mood. Of course, that 20% sounds like more than the $1.89/share it turned out to be. WaMu's stock is trading at low, low rates, it's true:

Washington Mutual fell to a 12-year low Monday, three days after Merrill Lynch & Co. said the bank may report $11.2 billion in mortgage-related losses.

Meanwhile, Standard & Poor's, Fitch Ratings, and Moody's all lowered their credit ratings for WaMu. Standard & Poor's in particular has WaMu two steps above junk, and warns another cut may be coming.

That banker better call soon.