Timothy P. Carney: Goldman rallies for Obama in Wall Street 'reform'

The Washington Examiner ^ | April 16, 2010 | Timothy P. Carney

[Cheap_Hessian]

In his self-styled war against Wall Street, President Obama appears to have a powerful ally: Goldman Sachs.

The nation's largest investment bank, famously cozy with top government officials in both parties, has tipped its hand to its shareholders, indicating that major financial "reform" proposals will help Goldman's bottom line.

"Given that much of the financial contagion was fueled by uncertainty about counterparties' balance sheets," Goldman Chief Executive Officer Lloyd Blankfein and President Gary Cohn wrote in a letter at the beginning of the annual report, "we support measures that would require higher capital and liquidity levels, as well as the use of clearinghouses for standardized derivative transactions."

[kittymyrib]

Seems our country is should be known as GSA. This “too big to fail” investment monopoly runs our government and has bought politicians of both parties.

[Mr. Jeeves]

Corrected version: “In its self-styled war against Main Street, Goldman Sachs appears to have a powerful employee: President Obama.”

[throwback]

Quite the con. Obama says mean and nasty things about evil Wall street while bailing them out and socializing their risks even further with this new regulation. Zero and Warren must just laugh their heads off while they light up their next cigar and think of us morons out here buying all this crap.

[silverleaf]

GSA = Goldman Sachs and Associates?

[lentulusgracchus]

This “too big to fail” investment monopoly runs our government and has bought politicians of both parties.

Congress can order them broken up into dozens of pieces -- hundreds if need be, like the bad guy in Terminator 2.

They did it to Jersey Standard and the House of Morgan back in Pres.Calvin Coolidge's day -- two of the biggest corporations on earth. A federal district court did it to AT&T in 1982.

[lentulusgracchus]

[Art.] "The nation's largest investment bank, famously cozy with top government officials in both parties, .... "

One of their junior executives was dating Chelsea Clinton a couple of years ago ..... how far "inside" do these guys need to be?

As it is, someone in the market commentariat has noted that Goldman enjoys, through its alumni in government and regulatory bodies, access to "nearly perfect realtime information".

That means their investment decisions, unlike those your broker or financial advisor recommends, are not so much "investments" as a series of sure things.

Other people save and invest. "They make money the old-fashioned way -- they earn it!" </John Houseman ad> Goldman, on the other hand ......harvests.