Goldman Sachs has done it again, deftly navigating markets to maximize its own returns and leave others nursing losses.
As CIT hangs by a thread, some news outlets are reporting that it would be the biggest bank to fail since WaMu. Measured by total firm assets this is true, but measured in terms of deposits, CIT is a fraction of WaMu’s size. That’s why Sheila Bair is willing to let CIT go under. And she’s right.