March, Thursday 15, 2012

DOW + 58 = 13252SPX + 8 = 1402NAS  + 15 = 305610 YR YLD + .01 = 2.28%OIL +.35 = 105.46GOLD + 13.50 = 1658.30 SILV + >39 = 32.64PLAT + 11.00 = 1688.00           Yesterday we talked about the op-ed article in the New York Times written by Greg Smith, an executive from Goldman Sachs who was quitting the firm. He blasted Goldman in the article, saying the firm had changed, and not for the better. Smith chided his employer of nearly 12 years for its “toxic” environment and practice of “ripping clients off” while calling them “muppets.”           One of the stupidest responses came from the editorial board at bloomberg.com. No specific names here, just the “editorial board”.  They replied with an article titled: “Yes, Mr. Smith, Goldman Sachs is all about Making Money”. They say: “If you want to dedicate your life to serving humanity, do not go to work for Goldman Sachs. That’s not its function, and it never will be. Go to work for Goldman Sachs if you wish to work hard and get paid more than you deserve even so.”           And here I thought Goldman Sachs was doing God’s work. That’s what Lloyd Blankfein said; I guess  he was lying? Yep. The Bloomberg editorial board just described a mercenary’s job description. Nobody seriously expects Goldman investment bankers to serve humanity, but it doesn’t mean they should work to destroy it. Bloomberg and Goldman both work in the financial industry. In fact, Goldman …

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March, Wednesday 14, 2012

DOW +16 = 13,194SPX – 1 = 1394NAS +0.85 = 304010 YR YLD +.17 = 2.27%OIL +.27 = 105.70GOLD -31.30 = 1644.80SILV – 1.26 = 32.25 PLAT – 15.00 = 1679.00 There was a pretty remarkable story in the New York Times today. A guy by the name of Greg Smith is quitting his job at Goldman Sachs as an executive director and head of the firm’s United States equity derivatives business in Europe, the Middle East and Africa, and he wrote an article explaining why he was leaving and what he believes is wrong with Goldman.  It’s not a revelation about Goldman, the only thing that’s unique about it is that a Goldman drone actually broke away and admitted publicly that Goldman is bad. Let me share a few salient points from the article. If you want to read the whole thing it is entitled: Why I am Leaving Goldman Sachs by Greg Smith TODAY is my last day at Goldman Sachs. After almost 12 years at the firm —  I believe I have worked here long enough to understand the trajectory of its culture, its people and its identity. And I can honestly say that the environment now is as toxic and destructive as I have ever seen it. To put the problem in the simplest terms, the interests of the client continue to be sidelined in the way the firm operates and thinks about making money. The firm has veered so far from the place I joined …

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