The Goldman Conspiracy

Here's Paul B. Farrell from MarketWatch:

American investors: Predictably stupid losers

Commentary: Obama backs status quo, helping Wall Street skim hundreds of billions

Yes, I am mad as hell again. Wall Street's soulless, immoral, greedy bankers really believe that the vast majority of America's 95 million investors are not only "predictably irrational" but "stupid," as J.P. Morgan Chase's chief investment officer put it in Forbes a while back.

Worse, Main Street investors are losers for continuing to trust Wall Street after they lost 20% of our retirement money the last decade. Now, worst of all, Wall Street's traders have profiled Main Street investors in their algorithms: Yes, investors are "predictably stupid losers," what Vegas croupiers call a mark, a dumb gambler that can be easily conned out of his money.

Why so blunt? Listen: Recently I explained why the Wall Street banks must kill financial reform, to preserve their multibillion dollar bonus pool. One reader commented: "I worked at the Bear Sterns ... every word written here is true. Fact is, bankers regard themselves as wolves and the public as prey, and speak about it openly, among themselves." Then he added a sucker punch: "What is extraordinary to me is how willingly the sheep submit to this."

Yes, folks, Wall Street is certain that America's 95 million investors are clueless sheep headed for the slaughterhouse.

.....

And it'll get worse, thanks to Bernanke, Obama and Goldman's lobbyists. Greenspan's deeply flawed Reaganomics remains anchored deep in America's brain and DNA. So every promise made in every behavioral-economics book ever written about the principles originally defined by Kahneman will continue to mislead America's 95 million Main Street investors ... and fail.

Why? Because the insatiable greed driving the Goldman Conspiracy of Wall Street banks is so addictive, so powerful, so overwhelming, so much in control of the political process that nothing, absolutely nothing, can change the next inevitable mega-crash dead ahead.

Read the rest here

Goldman Sachs Spies A Way Out

More reader submitted stories. Thanks.

Goldman Sachs Spies A Way Out Of Fraud Claims

Goldman Sachs may have found a way to compromise with the Securities and Exchange Commission that will allow both sides to declare victory.

The clock is ticking on the SEC’s case against Goldman Sachs. Sometime in the next few weeks, Goldman will either go to federal court with a substantive denial of the SEC’s allegations or agree to a settlement.

The two sides are still far apart. Goldman Sachs is unwilling to enter into the typical Wall Street settlement—paying a fine and agreeing not to commit further violations, while neither admitting nor denying the accusations—because it insists on denying that it intentionally committed fraud, sources familiar with the matter say. The SEC has accused Goldman of fraud under both the Securities Act of 1933 and Exchange Act of 1934 and is unwilling to abandon those claims for lesser offenses, those sources say.

.....

Read the rest here

+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

Janet Tavakoli & Dave Fry on Financial Reform & Goldman Sachs Lawsuit from David Fry on Vimeo.

Goldman and the Multitude of Cons

Why did Jefferson said “banking institutions are more dangerous than standing armies?” This very good article by Damon Vrabel shows why banks (and pretend banks like Goldman Sachs) are dangerous and why our system MUST be changed if we are to survive as a free nation.

.....

The Ben Bernanke Survey

I’m curious for your opinion about why Ben is doing this. Reply in the comments below with your answer to this multiple choice question: Who is Ben Bernanke?

1. Honest – he actually believes what he says. He’s still a Harvard kid getting gold stars on his homework as he repeats the fraudulent load of crap known as neoclassical economics.
2. Dishonest – he knows he’s just protecting the powers behind the Fed system and furthering their global restructuring plan by threatening the politicians with more boom-busts if they try to serve the people.
3. Insane – he’s not in touch with reality.

Folks like Jim Rogers, Marc Faber, and Peter Schiff promote #1, the idea that he’s a clueless theoretician repeatedly making mistakes. No doubt there was a time when he was just a bright-eyed overachiever being pumped full of theory disconnected from reality. But these guys ignore Ben’s comments in Japan. He makes it clear that he knows exaggerated low interest rate policies cause major problems, i.e. he’s not ignorant, but he engages in them anyway! So again I ask what’s really going on?

Feel free to disagree, but #2 is my answer, which means we need to stop believing Rogers, Faber, and Schiff that he’s a pedantic bureaucrat. That’s pure spin that reinforces the idea there’s no strategic plan behind what the G20, IMF, BIS, and Fed are doing in response to the coordinated actions of Rubin, Summers, Paulson, Geithner, Greenspan, AIG, JP Morgan Chase, Goldman Sachs, etc.

.....

...the first con of the Fed’s form of central banking—it puts currency control in private hands. Rather than the Fed having power over the banks, its structure actually gives the primary dealer banks (mega firms like JP Morgan Chase, Goldman Sachs, and many foreign banks) significant power to tell it what to do.

.....

Read the rest here