Goldman Sachs Protagonized The fear of Bankrupt in Wall Street
14 Oct
The investors of the big apple have braked their purchases in Wall Street after the analyst Meredith Whitney downgraded this morning the recommendation to Goldman Sachs. The news generated some fear of bankrupt in the yard
Today, the Dow Jones decreased by 0,16% to 9870 points, while the selective Standard & Poor’s 500 felt by 0’18% to 174,54 points.
The financial system has been shacked today in Wall Street by Goldman Sachs after Meredith Whitney downgraded the recommendation from ‘buy’ to’ keep’, this new affected the investors, that far from fearing a bankrupt, they have a lot of good expectations with Goldman Sachs. The Shares of Goldman Sachs plumbed a 2% bringing with them the major part of the economies in this industry.
The deception generated in the yard of Wall Street by Whitney’s recommendation, shadowed the release of the Johnson & Johnson’s results, that could beat the expectations in the market and improved the prediction of profits for the rest of the year. Their shares lost more in Wall Street than the ones of Goldman Sachs, felt by a 2’5%.
Out of the scene,In Wall Street, there is also the new acquisition made by Cisco, that will pay $2.900 million for Starent Networks, what supposes a prime of 21%. This is the second purchase made by the american giant in just 12 days.
Worse than Goldman Sachs are the news from City Group, that is very close of the bankrupt and furthermore has announced the resign of his president, Jeffrey Peek, that will abandon the company the next December 31st . The decision isn’t more than other try to prevent bankrupt as many others the company has achieved to scape from extinction. Their shares felt in Wall Street by 14%
The banking system is the protagonist of Wall Street, and not just by Goldman Sachs and City Group, also Sheila Bair the president of FDIC, the federal deposit insurance corporation, admitted in an interview that the bankrupt of banks will keep strong in EEUU until 2011 and 2010 will be a relatively difficult year.
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