tag:blogger.com,1999:blog-1207581886255094115.post9173967627375486522..comments2024-02-26T05:51:17.859-05:00Comments on Economic Disconnect: With Friends Like Goldman Sachs, Who Needs Enemies?EconomicDisconnecthttp://www.blogger.com/profile/02802078645713106743noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-1207581886255094115.post-14630693591351058182007-12-29T18:22:00.000-05:002007-12-29T18:22:00.000-05:00GS, whatever their flaws, does have some semblance...GS, whatever their flaws, does have some semblance of fiduciary responsibility. If they discover some data about Citi, they are duty-bound to report it.<BR/><BR/>Also, GS is not short the banks. I do not know this for a fact, but the backlash of such a position would destroy the basis for the firm's existence. Since GS doubtless employs many top economists, they know what is coming.<BR/><BR/>GS will undoubtedly benefit from bank failures as they pick up valuable assets for pennies on the dollar. That is not to say that their own stock will not decline: it is a certainty. But they can't stop that and likely know it.<BR/><BR/>From GS to Bernanke to Hillary and everyone in between, they can do nothing other than what they are already doing. That is the hell of a deflationary asset spiral.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1207581886255094115.post-2765960506180145112007-12-27T22:28:00.000-05:002007-12-27T22:28:00.000-05:00It's not just Paulson the current Treasury secreta...It's not just Paulson the current Treasury secretary having been the head of Goldman, Canada's new head central banker is from Goldman, and about 17 ex-Goldman Sachs people in the current administration there is no doubt in my mind that the game is rigged. The fall in oil prices that started within days after Hank Paulson was sworn in and started the o6 advance in the stock market were a result of Goldman reconfiguring their commodity index which caused oil to be given a smaller weighting and caused firm who tracked that index to sell oil and re-balance their funds which also drove the price of oil down and resulted in a hedge fund blow up. I follow this group as closely as I can also but there are a lot of smoke and mirrors. I lost a lot of money on that little scam so this is personal to me.<BR/><BR/>KevinAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-1207581886255094115.post-23451971348296518432007-12-27T19:30:00.000-05:002007-12-27T19:30:00.000-05:00Kevin,Your point about the GS government connectio...Kevin,<BR/>Your point about the GS government connections was one I forgot to cover. It does seem strange that GS may be shorting the banks while at the same time Paulson (former GS CEO) is the secretary of the treasury and the treasury and FED are trying to bail the banks out. Working is opposition it would seem. This is a very ineresting story to me and I will try to keep an eye out for more information.EconomicDisconnecthttps://www.blogger.com/profile/02802078645713106743noreply@blogger.comtag:blogger.com,1999:blog-1207581886255094115.post-29439293112501818072007-12-27T19:21:00.000-05:002007-12-27T19:21:00.000-05:00My guess on Goldman is they are shorting the hell ...My guess on Goldman is they are shorting the hell out of anything that looks wounded, may as well give your competition a push down the stairs if they are off balance and already heading that way and maybe pick up some assets on the cheap later.<BR/><BR/>I would like nothing better then to see some dirt uncovered on Goldman though these guy's have way to many inside government connections as far as I can tell.<BR/><BR/>KevinAnonymousnoreply@blogger.com