Time To Breakup Goldman Sachs

It's time to breakup Goldman Sachs, Citigroup, and for that matter any bank or holding company deemed too big to fail. It's not just the "too big to fail" hazard that is troubling, it's also the power these corporations have and the potential to abuse that power that is also troubling.

Readers know that I am not a subscriber to Plunge Protection Team (PPT) theory. However, I am open to the idea that it is possible for Broker Dealers or Bank Holding Companies to be trading their own accounts ahead of customer accounts and/or advising clients (or the public) one way (and trading the other), on purpose.

That is not a direct accusation. Instead it is a statement of what is possible due to lack of sufficient separation between trading groups, advisory groups, and a myriad of hedge funds sponsored by the broker dealers and bank holding companies.

That Goldman, Citigroup, and the now defunct Bear Stearns and Lehman, etc, could ever be in a position to front run trades based on analysis they know they are going to publish, and/or to purposely make recommendations to ignite short squeezes or selloffs based on positions they hold is simply wrong.

Few analysts, pundits, or anchors are aware of the mammoth conflict of interest involved with the USTreasury Bond sales required to pay for all the bailouts.

What is the conflict?

JPMorgan, with the essential aid of Goldman Sachs, plot to bring down the DJIA index and the S&P500 index whenever the USTreasury conducts auctions or needs Congressional passage of key bailout bills.

Is it an evil plot?

The big stock declines seen recently work to the BENEFIT of the USTreasury and US Fed. as agent for auctions.

How does the Treasury (and the Fed) benefit from big stock declines?

Most of the US public has savings dominated by stocks, with little in bonds.

Really?

The Wall Street thieves and conmen wish to learn details on hedge fund positions so as to target them illicitly.

You mean the Wall Street thieves and conmen who provide prime brokerage services to hedge funds want to drive them out of business?

They exploit hedge funds, wreck them, then encourage them into the fold at JPM in brokerage accounts, where their private accounts are rendered vulnerable under the new US Fed. rules.

Huh? Maybe this would make more sense if the writer spoke English?

When Bank of America merged with Merrill Lynch, a trend started, one that exposed private stock brokerage accounts. Officially they can be legally borrowed across subsidiary lines.

Individual stock holdings can be borrowed across subsidiary lines? How does that work exactly?

The other event was more blatant, as the FDIC steered Washington Mutual out of bankruptcy failure and into the JPMorgan slaughterhouse.

And saved the FDIC from paying out billions for insured deposits.

Inside its chambers, JPM gobbled up the WaMu deposits and benefited from ratio improvements.

Yeah, that's kinda why JPM bought them.

The FDIC has become an ugly investment banker lookalike, serving JPM and not the US public.

The public and WaMu depositors didn't benefit from the purchase?

Goldman Sachs clearly profited from the ups & down in the Dow and S&P500, lifting stocks after Congressional agreements, pulling them down before those agreements.

Which stocks, which agreements on what days? How much were the profits? How does the writer know?

Jim_Willie_CB needs to get back on his meds, he might make more sense.

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