Tag: Wall Street

I was there when the reactionary “white terror” kicked in.

After the Kent State shootings, a New York City-wide demonstration had called for Wall Street on Friday-that was 40 years ago today, on Friday, May 8, 1970. I have no idea who called the demo, though it targeted the financial center of US capital and was around the three demands: US Out Of Southeast Asia, End Campus Complicity With The War Machine, and Free Bobby Seale And All Political Prisoners.

A small crew of us from NYU Uptown were there-I can’t swear to it, but I think it might have been Lon E. Bich and maybe Jim Bean. I remember the big banner for Bobby, and I remember how many high school kids seemed to be in the crowd of a couple thousand, crammed into the narrow streets of downtown Manhattan.

Suddenly, just before noon, as Wall Street types on lunch further crowded the area, there was a big stir about 20 feet from us. A tight column of dozens of guys wearing construction helmets with a couple American flags was wading through the crowd. Almost immediately it became clear that they were not just pushing protesters out of the way, but slugging them, beating them to the ground and kicking them. (Some Wall Streeters helped the injured. More joined the attacks.)

Yippee !  Wall Street is saved !

Senator Sherrod Brown’s (D OH)  amendment 3733 on the Financial Stability Act bill, to break up the Big 6 Banks into smaller ones that couldn’t take down the entire nation’s economy if they failed, itself did not pass the vote in the Senate this evening, failing by a spectacular 61 noes to 33 yeas, with 6 senators too timid to approach the subject.

http://www.senate.gov/legislat…

Not all bought and paid for yet:

YEAs — 33 votes

Begich (D-AK)

Bingaman (D-NM)

Boxer (D-CA)

Brown (D-OH)

Burris (D-IL)

Cantwell (D-WA)

Cardin (D-MD)

Casey (D-PA)

Coburn (R-OK)***** Republican

Dorgan (D-ND)

Durbin (D-IL)

Ensign (R-NV)

Feingold (D-WI)

Franken (D-MN)

Harkin (D-IA)

Kaufman (D-DE)

Leahy (D-VT)

Levin (D-MI)

Lincoln (D-AR)

Merkley (D-OR)

Mikulski (D-MD)

Murray (D-WA)

Pryor (D-AR)

Reid (D-NV)

Rockefeller (D-WV)

Sanders (I-VT)

Shelby (R-AL)*****   Republican

Specter (D-PA)*****  ex Republican

Stabenow (D-MI)

Udall (D-NM)

Webb (D-VA)

Whitehouse (D-RI)

Wyden (D-OR)

_______________________ end of people who don’t like Great Depressions and financial chaos

___________   Begin list of Senators who liked that Citizens United Ruling by the Supreme Court:

NAYs — 61

Akaka (D-HI)

Alexander (R-TN)

Barrasso (R-WY)

Baucus (D-MT)  a small, cold, scenic state of tiny population,  which votes with Utah.  wtf.

Bayh (D-IN)  does you wife get more insura/pharma stock options for this ?

Bennet (D-CO)

Bond (R-MO)

Brown (R-MA)

Brownback (R-KS)

Burr (R-NC)

Carper (D-DE)   meh. typical.

Chambliss (R-GA)

Cochran (R-MS)

Collins (R-ME)

Conrad (D-ND)

Corker (R-TN)

Cornyn (R-TX)

Crapo (R-ID)

Dodd (D-CT)  looking for that Golden Parachute……

Enzi (R-WY)

Feinstein (D-CA)  meh.

Gillibrand (D-NY)  really, Kirsten, how could you

Graham (R-SC)

Grassley (R-IA)

Gregg (R-NH)

Hagan (D-NC)

Hatch (R-UT)

Hutchison (R-TX)

Inhofe (R-OK)

Inouye (D-HI)

Isakson (R-GA)

Johanns (R-NE)

Johnson (D-SD)

Kerry (D-MA) meh. first no public option, an excise tax, and now this.   you still suck.

Klobuchar (D-MN)

Kohl (D-WI)

Kyl (R-AZ)

Landrieu (D-LA)  say, how’s the Gulf doing, Ms. Mary of Louisiana?

Lautenberg (D-NJ)

LeMieux (R-FL)

Lieberman (ID-CT)  suing Atty General Holder over the tragic Ft Hood shooting information release, too

McCain (R-AZ)

McCaskill (D-MO) midwestern Blew Dawg who thinks she’s a hot shot financial whiz.  ya huh. not.

McConnell (R-KY)

Menendez (D-NJ)

Murkowski (R-AK)

Nelson (D-FL)

Nelson (D-NE)  at least he’s consistently not on our side

Reed (D-RI)

Risch (R-ID)

Roberts (R-KS)

Schumer (D-NY)  wants to be next Majority Leader after making us all get biometric cards. Swell.

Sessions (R-AL)

Shaheen (D-NH)

Snowe (R-ME)

Tester (D-MT)  meh. These netroots Dems.

Thune (R-SD)

Udall (D-CO)

Voinovich (R-OH)

Warner (D-VA)

Wicker (R-MS)

__________________   chickenhearts

Not Voting – 6  

Bennett (R-UT)

Bunning (R-KY)

Byrd (D-WV)  okay, you’re old and frail.  pass. barely.

DeMint (R-SC)

Lugar (R-IN)

Vitter (R-LA)  you don’t have enough diapers to clean anything up

The Dow Jones Industrial Average fell almost 1000 points in ten minutes today, wiping out $1 trillion in equity values as algorithmic trading by high-speed computers spun out of control.

What passes for sanity on Wall Street was eventually restored, and after falling 998.5 points or 9.2% in only a few minutes, stocks ended the day with a relatively benign loss of 3.2%, 347 points off the Dow, in what was still its biggest one-day tumble since February, 2009.

The more or less rational fraction of this mini-panic was apparently fear that the Spanish economy would collapse along with Greece, and then…

Robot-traders ran wild!

And it wasn’t the first time.

The 1987 crash, when the Dow lost 20% in a matter of hours, was blamed squarely on program trading, in which computers are set to sell (or buy) when stocks hit a certain threshold.

But at the end of the day, nobody knows exactly what happened, or why, and our economy continues to be ruled by a tunnel-vision coalition of half-bright wonks and predatory hustlers.

Whoo!  That was a bit of the old galvanic skin response, wasn’t it?  Wall Street’s high frequency trading programs exhibited a bout of uninhibited sympathetic discharge, and lots of hearts initially stopped dead before drum-rolling seconds later, amid abrupt increases in blood pressure, pounding headaches of sudden onset, profuse sweating, piloerection, blurred vision, and micturition and voiding reflexes.  The Dow, Nasdaq, and S&P took a huge, 1,000-point swan dive, while the Volatility Index shot up Ben Bernanke’s butthole like a bolt of lightning.  Exciting stuff!

I’m just glad everything is back to normal.

I am one of The Other 98%, and I am really proud of this growing organization.  Since the beginning of April, nearly 30,000 fans have joined us on facebook.

And this is certainly an awesome video that we made to showcase our involvement in the Show Down on Wall Street.

This Wall Street action was just the beginning, The Other 98% will be back in Washington on May 17th to take on K Street’s corporate lobbyists and their stooges in Congress.

It is going to be a good time; get involved here.

Senator Levin got testy with Goldman execs for peddling, in their own words, what they knew to be “shitty deals.”  Of course, when you collapse the global financial system, it stands to reason that more than a few “shitty deals” by more than one shitty organization were involved.  

When 93% or more of 2006 vintage AAA-rated subprime mortgage-backed securities are now rated as junk, that’s an impressively high rate of “shitty deals going bad.”

Not to be out-done on crafting “shitty deals,” 99% of Goldman’s ABACUS deal CDOs are now junk.

At failures rates approaching 100%, the SEC and credit rating firms had to be cutting “some pretty shitty deals” themselves to fail to see the rising risk in mortgage products.  

There was and continues to be a “shitload” of collateral damage to the rest of us from “Wall Street’s shitty deals” which will be with us for a long time, as we have 103 months (8.6 years) to clear housing inventory at the current rate.  That’s a lot of “shitty deals hitting the fan” for “a long, shit-flinging time.”

“… any illegal immigrant they catch in Arizona, they should let him keep doing his job because he’s adding to the economy. For every one they catch, they should send one Goldman Sachs guy to Mexico.” – Michael Moore on Larry King Live, Tuesday, April 27th, 2010

Fraudensheude means “No, we are not all responsible.”

“Whoever commits a fraud is guilty not only of the particular injury to him who he deceives, but of the diminution of that confidence which constitutes not only the ease, but the very existence of a society.” Samuel Johnson

As the hearings and scandals progress, and the revelations and charges start to cut closer to the heart of the credit swindles, inevitably there will be a movement [led by Barack Obama] to say, “We are all responsible. Let’s allow bygones to be bygones, it was all a misunderstanding. Let’s move on to something new. Justice is not important, and cannot be done.”

There will be long accountings of how the problems arose, and how changes in the banking laws, broker deregulation, and the erosion of elite privileges compelled the Wall Street banks to take more and greater risks, to violate unspoken understandings about customer relationships, to take great risks, to bend the laws, to use money and influence to suborn perjury and the breaking of oaths, and to generally undermine the fabric of government.

There will be long analyses that suggest that trust has been lost, the trust that binds the social and financial interactions of people. And there will be an effort to regain that trust, to promise change and reform, and of course, justice.

As for justice they will say, but aren’t we all responsible? Didn’t we all believe the promise that ‘greed is good?’

No.

In contrast to schadenfreude, which means “taking delight in someone else’s misery,” Fraudensheude means, “No, we do not accept responsibility for your acts of fraud.”

Goldman Sachs’ fraud epitomizes everything that is wrong with America: “the haves” repeatedly screwing “the have-nots,” not by being better or smarter, but through sheer, premeditated criminal fraud.

Goldman’s e-mails sound all too reminiscent of the criminal disregard for humanity at Enron before they collapsed (via Mish Shedlock, emphases mine):

Fabrice Tourre, a Goldman Sachs Group Inc. executive director facing a fraud lawsuit in the sale of a mortgage-linked investment, said an index that facilitated derivatives trading in the market was “like Frankenstein.”

The so-called ABX index is “the type of thing which you invent telling yourself: ‘Well, what if we created a ‘thing,’ which has no purpose, which is absolutely conceptual and highly theoretical and which nobody knows how to price?'” Tourre said in a Jan. 29, 2007, e-mail released yesterday by Goldman Sachs. Watching the index fall is “a little like Frankenstein turning against his own inventor.”

In a March 7, 2007, e-mail Tourre describes the U.S. subprime mortgage market as “not too brilliant” and says that “according to Sparks,” an apparent reference to Daniel Sparks who ran Goldman Sachs’s mortgage business at the time, “that business is totally dead, and the poor little subprime borrowers will not last too long!!!”

A few months later, a June 13, 2007, e-mail shows Tourre claiming, “I’ve managed to sell a few Abacus bonds to widows and orphans that I ran into at the airport, apparently these Belgians adore synthetic ABS CDO2,” using short-hand for asset- backed collateralized debt obligations squared, or CDOs made up of tranches of CDOs containing asset-backed securities.

Of course they knew their financial products were 100% crap.  Such criminal fraud is at the very heart of Wall Street’s booms, busts, and bail-outs.  What in hell is Obama thinking?  Having the nation bail these criminal pricks out is beyond moral hazard.  Maybe like Bush “The Haves” and “The Have-Mores” constitute Obama’s “base,” as well.  His economic strategy sure looks that way.