FactSet Goldmans stock price; the big swoon came after Buffetts investment. Click for gigante image.

Bank of America is up 18% right now on Warren Buffetts rescue, but the rally could be fleeting, if what happened the last time Mr. Buffett stepped in to rescue a flailing financial is any indication.

Remember, Mr. Buffett spent $5 billion on Goldman Sachs back in September 2008, at the worst of the crisis. There was a temporary blip in confidence for financials and the broader market, and then the stock tumbled along with the rest of the market.

Goldman shares jumped 14% in the four days following Mr. Buffetts investment, but then tumbled 62% through mid-November.

Of course, everything worked out for Mr. Buffett in the end. He took in $500 million a year in dividends, and Goldman bought him back out earlier this year.

And Goldmans stock went on a 270% rally between its November 2008 bottom and October 2009.

And the situation is different this time the financial system is not suffering an existential crisis. Still, those calling this a bottom in the market and for Bank of America should keep their eyes open.

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