Lloyd Blankfein Will Not Be The First To Crack

Posted by Bess Levin, Nov 13, 2007, 12:23pm

lloydblankfeinbloomberg.jpgGoldman Sachs is sticking to the story that it cooked up (by which I do not mean to imply that they’re lying) about not having any subprime-related writedowns on the horizon. The consistency of the statements coming out of 85 Broad almost makes it seem as though those guys are telling the truth about being better than everyone else by leaps and bounds (which is, admittedly, not necessarily a feat to write home about). You could say we’re easily swayed by the power of suggestion (or just not that great at valuing Level 3 assets*), but we’re starting to believe what we’re being told, over and over and over. You could also say we just don’t ever want to see that face (at left) again (because it reminds us too much of childhood). Seriously, though look how mad he is at you punks, who won’t stop asking him to fess up to a crime Goldman maybe never committed.

Regardless of the lies or not lies, no one has touched the biggest issue, which is the fact that Llloyd claims GS is maintaining its short position on subprime just one day after Stephen Schwarzman said Blackstone is “going long” on those mortgages. This is just like that time Jesus and Judas found themselves pitted against one another, except with much higher stakes. We’re not just talking about thirty pieces of silver anymore.

Goldman: No More Write-Downs [AP via Forbes]
Goldman Doesn't Plan Significant Mortgage Writedown [Bloomberg]

*which is just us being humble, you know we could nail this stuff with our eyes tied behind our back.

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Posted in: Goldman Sachs

Comments

Posted by First-Mister, Nov 13, 2007 12:53PM

FIRST!!!!

Posted by Nominate me, Nov 13, 2007 1:11PM

I saw that picture and remembered my dad as I walked off the football field.

*shiver*

Posted by Victims we R all, Nov 13, 2007 1:23PM

Net short? Are they sure? MS seemed to think that shorting the ABX was an imperfect hedge....how can GS be so sure??

Or some derivative trade? Level 3 is level 3. Short - Long....still not a liquid position.

Posted by Victims we R all, Nov 13, 2007 1:26PM

Net short? Are they sure? MS seemed to think that shorting the ABX was an imperfect hedge....how can GS be so sure??

Or some derivative trade? Level 3 is level 3. Short - Long....still not a liquid position.

Posted by Mr. M, Nov 13, 2007 1:51PM

Why does the home page say 4 comments when there are only 2 being displayed here?

Posted by Mr. M, Nov 13, 2007 1:54PM

Blah. Now I feel like an idiot.

Posted by , Nov 13, 2007 1:57PM

Because perhaps MS people didn't seem to know how do this correctly. Maybe Victims we R all works at MS perhaps? Just a thought...

Posted by , Nov 13, 2007 1:59PM

Does Victims we R all work at MS? There seems to be some inferiority complex with rank-and-file MS people about GS...that they are incapable and must cheat in some way. But enough from a rather dated book like "Accidental Investment Banker"...thought that idea would be no longer prominent.

Posted by Victims we R all, Nov 13, 2007 2:06PM

Work for ML not MS. Frankly there is no inferiority complex as I could care less who I work for. But it would make sense for GS to "shelter" some info and let their peers take the ass whipping. Its just another way to move up in the league tables.

Posted by grammer, Nov 13, 2007 2:17PM

couldn't care less***

Posted by Victims we R all, Nov 13, 2007 2:19PM

precisely

Posted by , Nov 13, 2007 2:38PM

haha, "shelter" ?

Posted by mrs. walt whitman, widow of the late poet, Nov 13, 2007 8:09PM

Their public statements and their actual positions may have nothing to do with each other.

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