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Ratigan And Ritholtz Discuss Goldman
Some GS post-earnings observations courtesy of MSNBC.
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Great to see Ratigan back.
And great to see people finally catching on to the evil that is Goldman.
"force for good" my ass.
Giant hedge fund with government backing.
Heads they win, Tails we lose. Crank that leverage back up, baby.
But, damnit! I had to put up with Contessa Brewer to wait for Ritholtz (Brewer is an ex-local - appropriately Milwaukee - whiny, Bush-bashing, emotionally unstable news babe). Nails on a chalkboard...
Ha! Yeah, i'm from WI and used to see the Brewer chick as an anchor on the local news. She has no financial background so it blows my mind that she is here on MSNBC blathering about how Golden Sacks is raking in the dough. She not bad on the eyes though.
Back in August '08 the monolines were settling their CDS exposures with their counterparties for 60 cents on the dollar:
http://money.cnn.com/news/newsfeeds/articles/djf500/200808011105DOWJONES...
"Ambac canceled its Citi CDO by paying Citi an $850 million fee, which is less than the $1.4 billion it may have ended up paying if more loans defaulted."
So why did AIG settle its CDS for 100 cents on the dollar?
In the case of SCA and Merrill, the payout was even lower, 13.5cents on the dollar, presumably because SCA was a weaker counterparty so there was less blood to squeeze from them.
How much blood would there have been to squeeze from AIG, who, unlike the monolines, put up NO capital? Certainly not 100 cents.
http://www.bloomberg.com/apps/news?pid=conewsstory&refer=conews&tkr=BAC:...
" Aug. 1 (Bloomberg) -- Merrill Lynch & Co.'s agreement to tear up bond insurance contracts sold by Security Capital Assurance Ltd. may provide a template for Wall Street, Bank of America Corp. analysts said.
SCA will pay Merrill $500 million to cancel $3.7 billion of the guarantees it provided on collateralized debt obligations, the analysts wrote. Both companies said they were discussing ways of terminating guarantees with other counterparties when the transaction was announced July 28. "
Merrill Lynch & Co.'s agreement to tear up bond insurance contracts sold by Security Capital Assurance Ltd. may provide a template for Wall Street,...oh that expwains ewithing....
good finance articles http://ww,...
good luck tomorrw were gonna need it
I have high hopes for Ratigan's new show, but I have to say, those commentators he brought in (excluding Ritholtz) were terrible. Maybe it's just me.
it's not you it's MSNBC - The Rat sold out - just like Meredith
It totally looked that way as of yesterday!
I don't think so at all. I just think she was many months late in realizing/calling how much the investment banks were making in underwriting, and GS had also been racking up in trading profits. Not selling out, but a major CYA the day before GS dropped this number - and going on CNBC so no one could miss it.
It doesn't excuse the extremely tardy acknowledgement of these one-time underwriting earnings, but I certainly wouldn't say it was 'selling out'.
OK Gilgamesh, i can see your point. And i didn't read any literature she put out, i just listened to her info release on CNBC, and she didn't seem to make a big point about the illgotten gains-- when you consider the long string of crimes committed against the US taxpayer for this company to still be in business, it does look like selling out to support the company by suggesting that the stock is a buy.
Socially conscience investors avoid socially questionable stocks, and in my opinion, all tarped banks should be on this list of objectionable stocks, just like stocks associated with atrocities in Darfor.
I agree with your attitude, although I would never use the phase "socially conscious" for my investing decisions. But I am short various weak banks (or long puts) that took TARP funds - because of my belief of what this Administration (and Shadow Agency Frontmen) is implementing on the unwitting.
I won't get started on Darfur here; but I wouldn't mind a big spotlight shined on those profiting from the genocide there - something tangental like what Zero Hedge is doing with Goldman.
Wow. Great to see the Goldman backlash. It's about time these guys get some real attention. Heads you lose, Tails I win...indeed.
As an aside Tyler, I'm really surprised you don't disclose your own positions [or those of your backers/whoever you work with]. For the sake of full transparency, I don't think you should get a pass. It really would be great if you give us disclosure on your interests/agenda.
I think conflicts of interest are inherent anywhere and your ability to constantly take these guys to task raises questions over what your agenda is. Not saying that you have some malicious intents, but it never hurts to have disclosure and transparency. I think at this point, you've shown you can get a lot of attention for what you say.
Hes anonymous. what good would that do? besides...most that follow ZH can sniff out someone's agenda if they have one
Hm, and I can smell some agenda behind #7098 claims.
Dylan knew the score last fall, and everyone else on CNBC acted like a bankshill--i emailed CNBC over and over last fall to alert them to the fraud that seemed to have been perpetrated on the US public with all the SHOCK DOCTRINE PUT OUT THERE on all of us--which then was used for BANKING interests, not the US public's interest. NO constituents of the elected officials that voted for TARP wanted TARP--but, since the fed basically has control over all elected officials, of course it passed. Moreover, Paulson&Bernake had the three weeks that they spent on lobbying for TARP, to INSTEAD be honest with the US public, and tell us that in addition to Lehman, that AIG, GS, MS, MER and C will be going down, and yes, we need to unwind, sell the assets for less than the 80%of a BAC share that MER got--that way the whole world wouldn't look at the US as gangsters--oops, i meant, banksters....Keep in mind, Bloomberg reported on June 5th that the Fed hired an X-Enron lobbyist--isn't that just fitting--the same gangsters that used SIV's SPV's have now lost 9 trillion dollars according to the Fed's inspector general during the Alan Grayson interrogation in March! Revoke the all powerful 1.5 trillion dollar monopoly privately held federal reserve incorporated, and we break up the corruption--then reinstate the Glass Stegall Act--this will be a great start for getting the US of America's reputation and integrity of our currency back.
Haven't watched his show yet...since it is still a nbc affiliate it is honestly too worrysome to think that he didn't find a more independent forum.
Any way to get a peek at thier CRE portfolio? P3 inbound...
There is one way to end the bailout mania:
Only the strong survive.
Oh, but the economy will be hurt. So what!!
An economy based on deception and fraud is a false economy, and needs to return to cold hard reality. In spite of monumental efforts to return false prosperity through debt based expansion, the economy will "Right Size" to the reality of underlying cash flow.
There will be a long and painful period of readjustment. The big questions are when will adverse critical mass be reached, and what should informed people do to prepare for the consequences.
IMHO there is nothing that will be done that will stop the runaway train. It will crash and burn.
Very unfortunate that the American Dream is likely to become a nightmare for many of us. Future generations will look back and wonder how this era of prosperity could end so badly.
And that is the real tragedy, that they will have to wonder. If they could cut through the rhetoric, which on it's present course, promoting the status quo as the righteous way, the fair way, and the 'way that protects the public interest' then they might learn from history. But they won't. The lobbyists really do hold sledgehammers.
On a sort of aside note,
Everyone seems to be convinced that there is some large scheme of persons conspiring against us. They draw the conclusion that since none of us can understand the seemingly unexplainable motivation for the strange behavior of the government and market makers and people in control choosing what appears to be 'evil on the outside' that someone is pulling the strings. Someone must surely be creating this fog to conceal his actions, that are either more grand and benevolent than we know, or too nefarious to consider. But in reality, it's my contention that there is no man under the fog. Just a scattering bunch of cockroaches. Each looking to suck what little bit of filth they can find flying out of the pockets of people transporting dollar after dollar and penny after penny of seemingly ownerless wealth around from one meaningless cause to another.
I've been out all day anybody have a clue as to why the equity futures are all up after hours? Seems like a sizeable jump (news at 1630 est)?
Someone called the Recession "Offically, Positively, Indubitably Over." Right Here, Right Now. Catch that magic moment, turn this thing around.
oh of course.
INTC earnings beat.
beat estimates I think you mean. revenue y-o-y down. oh, yeah, that is after a "special" one-time fine for being a monopolist, as if one had nothing to do with the other.
nonetheless, a decent quarter, 85% of rev coming from overseas, further proof the Asians figured out how to do stimulus better than us.
interestingly, GS is kind of topping out at 150, and there looked to be a large amount of volume changing hands today. Perhaps it's time to look at some form 4 data and maybe try placing shorts at ~150 with a 1% stop.
I'd agree if you make that stop above a top of 151.17 instead of 150 (after seeing what they open it at tomorrow). 150 was never an exact resistance level:
http://finance.yahoo.com/echarts?s=GS#chart3:symbol=gs;range=1d;indicato...
....
.... those Tin Foil Hat dimwits are insane ..... they need to lay off the crack pipes ..... get back on the Lithium
... why do 3 "reporters" who have never worked in a real firm , pass themselves off as real analysts ?!?!?!?
.... what are the odds that one of these amateurs even listened to the GS conference call ??????
....
.... those Tin Foil Hat dimwits are insane ..... they need to lay off the crack pipes ..... get back on the Lithium
... why do 3 "reporters" , who have never worked in a Wall Street firm , pass themselves off as real analysts ?!?!?!?
.... what are the odds that one of these amateurs even listened to the GS conference call ??????
Ratigan is a mouthpiece for disenfranchised , populous windbags
Funny, the populous windbags are all US citizens that have lived to watch a 10 month massive looting of the US coffers all in the name of saving the world when in fact, the privately held federal reserve is enriched by not losing it's biggest limbs, since it's #1 and #2 shills lobbied to convince the country that the world would end if we didn't save the banks that were too big to fail, instead of asking for permission to unwind corrupt defunk entities.
you mean populist?
Barry Ritholtz never met a conspiracy that he didn't like
All too quick to label something with the conspiracy label to discredit it without actually dispelling it with facts.
If you are gonna be a troll, be a real troll. Be ugly, mean and eat bbq babies... Don't be so weak about it! Barry Ritholtz gave quotes what have you got to shoot with? Besides blanks that is.
"Only the strong survive.
Oh, but the economy will be hurt. So what!!"
But the thing is, Economy won't be hurt tomorrow! Competitiveness has never hurt the economy in the long run. And it is the long run that matters the most.
This Contessa Brewer gal literally has no idea what she's talking about.
I take that back.
That's not fair...
I suspect she understands the individual distinct words that are coming out of her mouth, but when you put them together, not so much.
I need some Marla tunes to bring in tomorrow.... .. full disclosure - I am all in Talk, Talk and all derivatives of.
A system of free enterprise where the prospect of failure is removed from the equation is no longer free enterprise. GS is just one more GSE.
Authority - responsibility = GS
Is is really such a mystery? I suspect that GS does nothing that isn't in some way rigged, fixed, and predetermined to go in their favor.
I doubt they take 'risks' in the same sense that a trader or hedge fund takes risk.
Nothing without a near perfect hedge or piece of proprietary information that gives them a huge edge.
any real risk got taken out of the market simply because GS has a packet sniffing box that eliminates any of it for them....the clients it has?-other than the gov't.....HA. I suspect GS uses it's "clients" as a counter.
Ask anyone who has a managed account at GS to see the difference between the report they issued today and what their individual results were.......
Ciao
MS
Ritholtz is a horse's ass that's for sure...A pompous jerk through and through. Also, he's as ugly as fuck.
When is Marla spinning again?
Eff all this financial stuff.
I have always thought of the argument of systemic risk failure for the reason for some banks to go bust, full crap... why on earth they can't bankrupt 2 or of the big banks !!! WHY ? what so special ?
if you bankrupt some of them better for all of the other they will take their business, what so hard to figure out, simple common sense ? More money for the others ?
It is not that the other banks will say, "No we don't want more clients"
gimme a break
I love the fact that the same gubment that taught me how to zap people six ways from Sunday, (disclosure: ex-Airborne Ranger with a coupla Iraq/Trashcanistan tours), is keeping people like ol Louie Von Prick and his GS corporatist cabal in bizness. I was taught to defend America from the very people our government is now incestuously keeping in business. The irony is rich. . .
Disclosure Two: Armed
Yes it is the irony ..
Then again all I see from afar is that US capitalism is nothing more than cronyism and greed.
Wish the pointer would not only take in GS but big Al and Cheney as well.
Now where is Paulson btw? Bermuda?
Veteran,
I love your image as it was on all my VICs overseas. Punisher 2-6 was my call sign in OEF...
Silence
Thanks for your service to our Country. I read "War is a Racket" by Smedly Butler. Highly Recommended and Pertinent read!
Barry's remark that Goldman steered clear of this is completely incorrect. Goldman was buying this trash, securitizing it, etc. They were purely LUCKY. This bullshit aura of their superior abilities is just mind-numbing. And unfortunately Barry is perpetuating it. This horseshit lack of truth perpetuates government listening to Goldman and perpetuating Goldman's lobbying efforts.
Goldman thinks in terms of decades? I laughed off my chair.