To put these numbers into perspective, a savings of 2.43 percentage points in one quarter amounts to $1.2 billion in saved interest costs on $203 billion. That's over 40% of its third-quarter earnings.
Andy Stern: Goldman Sachs: It's Time to Put Country Before Company
We're taking to the streets because it seems as if companies like Goldman Sachs love their company more than their country. Goldman Sachs seems to salute no flag but their own corporate logo.
Goldman Sachs's Earnings Surge Falls Short of Record (Update1 ...
Interest rate swap - Wikipedia, the free encyclopedia
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No more bailouts. No more too big to fail. more effort needs to be done to make work. Instead, unemployment keeps climbing as well as the deficit. Tax cuts and toehr stupid gimmicks aren't the answer.
hat tip to http://financeopinionss.blogspot.com
The idea that because the banks are profiting, the economy is not going to well is just stupid. The banks need their profits, otherwise they fail; yes they good huge risks, but if they were to fail we'd have more important issues. THe banks are going ot continue their profit-taking and they are going to take advantage of the low interest rate, as will consumers.
Consumers will consume! businesses will borrow and the economy will begin to start tcking over at a far normaler rate in say July 2010.
But more importantly, the devaluation of the American Dollar is a good thing as it allows exporters to become more stable and profitable, something the US needs, exports! This is helping nations like Australia and South Africa with their currencies to attract foreign capital for their projects which are in desperate need of infrastructure - economic development.
The US cannot return to a consumer debter economy like before it need to allow a consumption equal to it's production, so that for the long haul economic development will be better globally as foreign investment isn't beeing shuffed around the world in search of more profits, but directed to improve the lives of many for the future.
cynic But many big banks are hoarding OUR cash. History will show if we did the right thing- seems we did- in spite of how we all hate the banks . I think Goldman is THE most crooked bank - CO on Wall St - most of the Treasury Sec came form Goldman- And they have made many
unethical 'deals all made legal by Reagan's 1981 deregulation ' plot ' to
GREATLY ENRICH POWERFUL ELITES BEYOND THEIR WILDEST DREAMS .
IT WORKED BEAUTIFULLY.....FOR THEM
Its a giveaway program for the banks. Evidently our banks are incapable of doing anything wrong.
mutter
Jan 20-2009 : Obama took on a massive global crisis - so his options were very limited at that point we were in free fall- panic all over- drastic steps had to be taken .
Obama did not want to be put in that position- but 29 years of toxic GOP policy left him
little choice. we must ALL stop REACTING AND START REASONING
GS has nothing to lose because when they borrow the money at 0 to .25% and trade/gamble with it when they make lots of money which is most of the time they keep all the profits and share it with their employees, at the event of a huge loss they will run to FED and the loss is taken care of. What a great systeem!!
Is Goldsacks a bank or an investment Bank. Either way Goldman should be broken up and the Fed should stop remove the gurantee when they make bad investments. Goldman is taking high risks again because the US has promised to bail them out if they get into financial trouble. So we pay our billions in bonuses because people are now guaranteed no matter how wrong a financial decision they make at Goldman the US will come in an bail them out. Now that is really smart..
GS is not a real bank they are more like a hege fund but since last year they are called bank and can borrow money at the same rate a commercial banks like Bof A. This is not right and should of never happended.
it would be more fun to build a model to determine the odds of having 3 total negative trading days in the last two quarters. those goldman guys are special, aren't they?
aaarrrgggghhhh, me hardons
making $ the pirate way, ra.pe and pillage---------------
They benefit from gambling with loans, paid for by taxpayers. Most of the average American's can't even get a loan, but our government gives them to crooked corporations and charges them next to nothing.
Socialism for big corporations and the wealthy, cold hard capitalism for everyone else.
Pass off the losses to the public, stuff the profits in your pocket. I wish I had a business model like that, but then again I am a poor stiff, do not have a Treasury Sec in my pocket, did not go to Ivy League school.
OBAMA: FIRE GEITHNER AND SUMMERS !!!!!
http://blogs.reuters.com/felix-salmon/2009/07/23/annals-of-rank-hubris-larry-summers-edition/
I am with you on this.
Woo hooo I love job less recoveries..10.2% unemployment and the stock market is up anyway. I'm sure all the millions of unemployed would feel relieved to know the economy is finally growing even if there won;t be any jobs available to them due to outsourcing/insourcing technological efficiency, or greedy employers.
http://financeopinionss.blogspot.com
We need a 2nd stimulus devoted only to JOBS
Stupid re.pukes and Milton Friendmanism keeping it from happening
Goldman Sachs is engaged in a huge carry trade: borrowing from the Fed at near-zero interest, shorting the dollar, and buying risky assets with the spread.
As long as the dollar keeps weakening, they aren't just profiting from lower "notional" interest rates, they're profiting from a carry trade with a large (10-20%) NEGATIVE "effective" interest rate.
The Fed is basically devaluing the dollar to pay Goldman Sachs to blow asset bubbles with large short-term returns and no short-term risk.
When the Fed changes course to prevent the weakening dollar from devaluing Treasury bonds, Goldman will be the first to know, and will exit the market before the rush to cover short positions on the dollar triggers a massive asset bust.
Goldman will be the first to know because they'll give the order.
We need to end Too-Big-To-Fail and UnMask the Fed (though it seems Ron Paul will have to start over with his Federal Reserve Transparency Act, since it was gutted by BofA's Federal Representative, I mean N. Carolina Congressman Mel Watt).
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First Posted: 11- 6-09 09:23 AM | Updated: 11- 6-09 09:55 AM