Unlike the big three (General Motors, Chevrolet and Ford), Citigroup was given a financial bailout assistance worth $20 billion as the government lent a helping hand to save the stricken bank from billions of dollars that could have totally been catastrophic. Stocks reacted as well as Dow Jones industrial shot up 300 percent.

And so the proper selection of which companies to help out continues but there is still a lot of work to do as far as strengthening the financial system of the United States is concerned. There are more companies outside the big three automobile manufacturers out there drowning and if the lifesavers are not sent out to pick the proper companies that really need help, chances are this financial bailout strategy is entirely useless and futile.

Stocks may be up today but who knows what tomorrow would bring. We have seen this trend before. Stocks rise after any enticing development comes up. Would this trend continue or follow suit the previous spikes in the endangered trading and finance system of the United States of America.

“With these transactions, the U.S. government is taking the actions necessary to strengthen the financial system and protect U.S. taxpayers and the U.S. economy,” the three agencies said in a joint statement. “We will continue to use all of our resources to preserve the strength of our banking institutions, and promote the process of repair and recovery and to manage risks.”

Source

[tags]financial_bailout, dow_jones_industrial, automobile_manufacturers, banking_institutions, finance_system, dow_jones, lifesavers, citigroup, general_motors, billions_of_dollars, taxpayers, chevrolet, united_states_of_america, stocks, ford[/tags]

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