TARP: should water the furrows of our fields

Frabjous day.
Marchons, marchons!

A major financial institution announces, at last, it has become profitable again

This is rather good since Goldman Sachs allegedly had their proprietary high frequency trading code stolen.
This was very serious, since, according to the prosecutor, the code could enable unscrupulous people to unfairly manipulate the markets.
So we better make sure only Goldman Sachs has a copy of the code, since they wouldn't use their privileged positions as a Supplementary Liquidity Provider to do anything unfair in the markets.
This will also hopefully preclude any more trading irregularities.
Teza Technologies, the alleged recipient of the stolen code, was, of course, founded by an astrophysicist (actually, plasma physics - Princeton PPPL, then Bell Labs).
Teza appears to not have a website nor a furnished office...

Goldman Sach's profits are astounding, but since they apparently are on one side of something like 15-25% of all stock exchange trades, they need make only about $ 1/16th per trade, oon average, to make such profit.
Or at least they used to be, it is hard, to know since the NYSE is not going to report Daily Program Trading by volume and institution any more.

Fortunately Goldman Sachs is well connected, including a large number of former employees who kindly gave up their income and luscious investment banker lifestyle to serve as humble civil servants in the US Treasury and Federal regulatory agencies, dedicated solely to the greater good of the US: as they say
"What's good for General Motors is good for the country."
Hm, maybe they did it for the benefits... good health insurance plan for feds...

Former rocket scientist and Goldman Sachs banker, Neel Kashkari, was until last month in charge of Financial Stability.
He spoke at Wharton on the crisis, and took some pointed questions afterwards.
He is now having a well earned break, before returning to work, who knows where.

(The transcript and Q&A are well worth reading, btw, Neel is a smart guy who clearly understands a lot of what was going on in the financial sector).

Happy Bastille Day!

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