April 16, 2010

Congrats America!

You’ve been suckered again. While the Obamites and his minions have been laying the plans for the remainder of this Congressional term, you’ve been distracted again by the obvious:

Wow, Goldman Sachs may have been engaged in securities fraud.

Baked beans give you gas, the sky is blue, and Hillary Clinton liquor’s bill is higher than her licker bill.

Knock me over with a feather.

This story from Reuters:

Goldman Sachs charged with fraud by SEC

could have been written with ________________ charged with fraud by SEC and still have had a 99.9% chance of being accurate. Fill in the name of your favorite bank. Hell, fill in the name of your local bank if it is publicly traded and has a derivatives operation and odds are you would be correct. The reason this story is as important as the first name of the very first cat to reside in the White House during the 20th Century?

Well, don’t ask me, I don’t know about that cat but one of mine has bad aim, so how is that for breaking news? The reason the story is not important is that the end result will be the same. The United States government is not about to create a major headache for a United States Treasury Department Primary Dealer who could walk away from an auction and not pick up the slack. The U.S. is also not about to attack an institution that “supposedly” owns 11-12% of the Federal Reserve of the United States. The U.S. government is also NOT going to create a situation where Goldman Sachs is unable to function or make money in any market, bear or bull, recession, expression or depression. So why is this story getting so much play?

Maybe, just maybe, and one more time, just maybe, the United States is not “after” Goldman Sachs. Maybe, just maybe, and this just might be a reach, Chicago politics are in force in Washington, D.C. and by using a populist attack on the largest commercial bank without an ATM in my home town or yours, one single solitary branch that you or I can drive through, AND by beating up on billionaires because well, they are there, the current administration can intimidate the opposition to their financial regulatory reform and force enough voters to scream “hell yes” and make some of those wishy-washy Republicrats into voting for an act which will sneak through some gems like “emergency funding and takeover” language which will be inserted right before the vote and thus giving it the “bipartisan” tag. Sort of like that poop pile called Social Security which is now insolvent and about to crash much like the average American’s IRA or 401K.

So let us all scream ‘hallelujah’ as Goldman Sachs goes on a Toyota style apology tour and bedevils this poor thirty-one year old quant expert who is about to get press raped because he dared to follow orders that blew up like a Mission Impossible audio tape after the instructions have been read. Goldman will pay a fine, apologize, fire this schlep, and continue to earn its reputation as the scumbags that they are while winking, nodding and donating their asses off to the very people who call them the worst names imaginable or at least the most discernible terms from a Bawney Fwank Want and Wave.

In the interim, watch the hand you haven’t been paying attention to.

You know, the one on your wallet that is also taking a moment or two to tear little pieces of that damned piece of paper called the U.S. Constitution to shreds.

http://johngaltfla.com/blog3/2010/04/16/the-most-over-rated-story-of-the-week-goldman-sachs-charged-with-fraud-by-the-sec/