July 14, 2009 2:10 PM
Goldman Sachs had one of its biggest quarters ever by reaping the benefits of the Fed’s currently cheap discount window while still operating with hedge fund levels of risk. That doesn’t even take into consideration the profits they gained from the AIG bailout. From Rolfe Winkler’s blog:
In addition to the federal money it took last fall, it benefited from the government’s bailout of the American International Group, being paid 100 cents on the dollar for its $13 billion counterparty exposure to the insurer, and it has $28 billion in outstanding debt issued cheaply with the backing of the Federal Deposit Insurance Corporation.
They simply should not be allowed to continue doing this. Making record profits by trading with tax payer protection is not going to create the jobs that are needed for the economy. Gasparino has some remarks about the topic in the video below.
More on this topic
(What's this?)
Goldman Sachs Group Inc. (NYSE: GS) Earnings: How the Mighty Have Fallen…
(Money Morning, 1/17/12)
5 Wall Street Banks Finally Slashing Bonuses
(Investment Underground » Page n..., 1/11/12)
3 Big Banks Report Earnings: What You Need To Know
(Investment Underground » Page n..., 1/20/12)
Is Goldman’s Share Offering an Attempt to Further Ensnare the Government?
(Contrarian Profits, 4/15/09)
