The Web Tycoon’s blog

The financial CIT, specialist in loans to students and small companies, declared bankruptcy this Sunday, this is the five th biggest bankruptcy in the history of the United States.

According The Wall Street Journal in the digital edition, the decision of the company of declare bankruptcy was adopted in an administration council celebrated yesterday. in New York.

With $ 71 billion of assets, CIT is the 5th major company to declare bankruptcy in the story of the united states, only surpassed by Lehman Brothers, Washington mutual, Worldcom and General Motors.

The bankruptcy of CIT, that was brought by the financial crisis due to it’s excessive exposure to student loans with high risk profile, supposes throw away $2,3bilion invested by the American Government to try to save the company.

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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.

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