Drink a few beers and make Goldman Sachs more cash!

Another line of business for Goldman Sachs - warehousing aluminum in run down warehouses and then metering out the release of the metal as they speculate on the commodity on the metals exchanges making a ton of money and driving prices up around the world.

"(Reuters) - In a rundown patch of Detroit, enclosed by a cyclone fence and barbed wire, stands an unremarkable warehouse that investment bank Goldman Sachs has transformed into a money-making machine."

"A string of warehouses in Detroit, most of them operated by Goldman, has stockpiled more than a million tonnes of the industrial metal aluminum, about a quarter of global reported inventories."

"There's just one problem: much less aluminum is leaving the depots than arriving, creating a supply pinch for manufacturers of everything from soft drink cans to aircraft.

"The resulting spike in prices has sparked a clash between companies forced to pay more for their aluminum and wait months for it to be delivered,"

"Analysts question why London's metals market allows big financial players like Goldman to own the warehouses which store huge quantities of metal even as they trade the commodity."

"Goldman said its warehouse subsidiary Metro International Trade Services has done nothing illegal, and abides by the LME's warehousing rules"

www.reuters.com...

So here you have a major investment who buys a business that warehouses a commodity, charges rent for storing the commodity and releases the commodity in response to its active trading schemes on the commodities markets. To suggest that this is not a conflict of interest and places other market players at a disadvantage is absurd. Of course Goldman has an advantage - they know the supply of the metal that is going to hit the market! They can ratchet down supply driving the price up, place short sell orders and then release a ton of metal, driving the price down making cash on both ends.

Yet its all "legal". Just one more example of a corrupt practice that could be fixed with a one line regulation. But this is Goldman and that one line will never be written

I just saw that on MSN. www.msnbc.msn.com...

I use a lot of aluminum in my field so I'm a little mad.

Goldman Sacs also gets to sell the Federal Reserve Treasury Bonds after they print money from thin air. Lucky them.

Stuff is just getting out of hand.

Someone should murder all of them.

If you're drinking beer out of a can you're doing it wrong.

Originally posted by GogoVicMorrow
If you're drinking beer out of a can you're doing it wrong.

haha, absolutely!

Nevertheless, what they are doing is clearly monopolistic. How do we overthrow empires like Goldman Sacs?

Drink a few beers and make Goldman Sachs more cash!

Not me, I brew my own beer.

The problem remains...

How or when will this change?
This seems one of the big companies that our gov't turns a blind eye to.

Makes me think who else hoardes precious metals, or oils, or commodities....
Just to leverage the markets in their favor.


It truly is infuriating.

reply to post by havok


Here might be an indication of the problem. A PARTIAL list of former Goldman Sachs employees serving in government. This only scratches the surface as it does not include lower level folks, senior members of congressional staff, lobbiests, etc. It does not count senior folks in hedge funds, venture capital or private equity firms that have significant stakes in legislation, tax policy, trade policy, etc. Nor does it include former Goldman staff who hold senior positions in firms with heavy ties to the government such as GE. Obtaining a comprehensive list is likely impossible or at least a full time job.

GOLDMAN SACHS ALUMNI
CURRENTLY SERVING

Dianna Farrell - Deputy Director, National Economic Council

Stephen Friedman - Chairman, President’s Foreign Intelligence Advisory Board

Gary Gensler - Commissioner, Commodity Futures Trading Commission

Robert Hormats - Undersecretary for Economic, Energy and Agricultural Affairs, State Department

Philip Murphy - Ambassador to Germany

Mark Patterson - Chief of Staff to Treasury Secretary, Timothy Geitner

John Thain - Advisor to Treasury Secretary, Timothy Geitner

RECENT US APPOINTEES

Henry Paulson Secretary, Treasury 2006 - 2009

Neel Kashkari Assistant Secretary for Financial Stability,Treasury (2008 – 2009)

Reuben Jeffery III - Undersecretary for Economic, Energy and Agricultural Affairs, State Department (2007 –
2009)

Robert Steel - Under Secretary for Domestic Finance, Treasury, (2006 – 2008)

Steve Shafran - Advisor on setting up TARP to Treasury

Edward C.Forst - Advisor on setting up TARP to Treasury

Dan Jester - Advisor on setting up TARP to Treasury

Kendrick R.Wilson III - Advisor on setting up TARP to Treasury

Joshua Bolten - White House Chief of Staff (2006 – 2009)

Gary Gensler Undersecretary, Treasury (1999-2001) and Assistant Secretary, Treasury (1997-1999)

Robert Rubin - Secretary, Treasury 1995-1999

Robert Zoellick - United States Trade Representative (2001-2005), Deputy Secretary of State (2005-2006), World Bank President (2007 -)

William C Dudley - Current President/CEO - Federal Reserve

Stephen Friedman - Former Chairman of the Board – Federal Reserve

At some point there needs to be a bit of transparency regarding the revolving door between investment banks and the government. To suggest that are no conflicts of interest here nor a competetive advantage to Goldman is foolish. Of course there is and it will take legislation to stop this nonsense or at least a President with the stones to remove any alumni from the Executive Branch and direct the members of their party to do the same with respect to their staffs. Even a 5 year gap between being employeed at an investment bank and working for the government would be helpful.

The level of corruption here is absolutely mind boggling

I get hammered here for saying it, but I keep saying it. And writing it.
Goldman Sachs is one letter in TPTB, but they are all Zionists. Globalists.
They built the U.S. economy to enrich themselves. They have done that and there is nothing left to suck dry except to have their stooges "give" THEM our public lands as payment on a bogus bull# debt. Same with Greece and much of Europe.
Next up. We go down fighting each other for their pleasure.

reply to post by dolphinfan


The same thing happened in Ancient Egypt, I think. Lots of gold was collected. Only to be buried instead of being monetized or used as ornaments. Same old, same old.

Originally posted by GogoVicMorrow
If you're drinking beer out of a can you're doing it wrong.

Same with Coke, actually. The one's in bottles taste better than in cans. But the best tasting comes from soda fountains.

Originally posted by SirClem
I get hammered here for saying it, but I keep saying it. And writing it.
Goldman Sachs is one letter in TPTB, but they are all Zionists. Globalists.
They built the U.S. economy to enrich themselves.

That's correct. The US was built up on purpose hundreds of years ago. But Old Yeller's time has come. A new dragon is set to replace the top dog.

Originally posted by havok
The problem remains...

How or when will this change?
This seems one of the big companies that our gov't turns a blind eye to.

Makes me think who else hoardes precious metals, or oils, or commodities....
Just to leverage the markets in their favor.


It truly is infuriating.

Glencore?

reply to post by havok


Here are a few nice quotes from senior members of the Goldman team:

"Investment bankers are just doing God’s work"

“Is it possible to have too much ambition? Is it possible to be too successful?”

“So, when is the money going to be paid out?”

“No one ever got fired for hiring Goldman Sachs”

Goldman Sachs Chief Executive, Lloyd Blankfein,

“Tolerate the inequality as a way to achieve greater prosperity for all”

- Lord Griffiths, the vice chairman of Goldman Sachs International, defends bankers’ compensation in 2009


“Long-term greedy”
- how Sidney Weinberg, Goldman Sachs’s legendary managing partner from the 1930s to the 1960s, summed up the bank’s overarching strategy.

Well at least they practice what they preach:

“Even in 2008, the most tumultuous year in modern Wall Street history, Goldman employees reaped rewards that most people can only dream about. Goldman paid out $4.82 billion in bonuses last year, awarding 953 employees at least $1 million each and 78 executives $5 million or more. The rewards for 2009 will be far greater.”

dealbook.nytimes.com...


“He's been grilled by Congress and blasted by critics, but the chief executive of Goldman Sachs may soon have $100 million reasons to smile.
Lloyd Blankfein, who leads the world's richest investment bank, stands to collect an eye-popping $100 million bonus in defiance of President Obama, according to bankers meeting in Davos, Switzerland, for the World Economic Forum.

"This is Lloyd thumbing his nose at Obama," a banker at one of Goldman's rivals told The Times of London.
The prospect of a $100 million bonus would dwarf the $67.9 million Blankfein collected in 2007”

articles.nydailynews.com...

“Goldman Sachs already has the highest-paid chief executive on Wall Street. Now, even his lieutenants make more than nearly all other C.E.O.’s on the Street.
The investment bank paid its two co-presidents, Gary D. Cohn and Jon Winkelried, bonuses of about $52.5 million each for the 2006 fiscal year, the firm said in a regulatory filing yesterday. Added to their $600,000 salaries, Mr. Cohn and Mr. Winkelried made nearly $53 million.

In the same report, Goldman reiterated that it paid its chairman and chief executive, Lloyd C. Blankfein, a $53.4 million bonus, shattering the record for a Wall Street chief executive set by his predecessor, Henry M. Paulson Jr. The firm gave John S. Weinberg, a vice chairman and co-head of investment banking, a $31.5 million bonus.
Goldman also paid Mr. Paulson, now the Treasury secretary, $110 million to cash out his outstanding stock options and restricted stock.

www.nytimes.com...


You can go on, and on, and on

As it stands, it seems Goldman Sachs is untouchable. They can pretty much do what they want, when they want and do it right out in the open.

It's all about the money. Politicians will not destroy their contribution ATM machine just to do something as trivial as what they were elected to do. They will hem and haw, some might be so brave as to furrow their brow. But take actual steps to reign this sort of behavior in?

Not while Goldman remains an integral part of our government. Read it and weep (or get really angry)...

A List of Goldman Sachs People in the Obama Government

I've got tons of aluminum cans, lol, maybe I should start my own business selling it and undercut those jackwagons.

There seems to be noting we can do but educate ourselves. I know the lavish lifestyle is not one you will attain from mostly recycled material; However we can take most of the basic cost of essentials of life out by becoming more self-sufficient. I started by making my own wine. That led to new revolution for me.

Originally posted by ldyserenity
Someone should murder all of them.

edit on 31-7-2011 by ldyserenity because: spelling

edit on 31-7-2011 by ldyserenity because: spelling

Not before they have tried out GW-Bush's new sport, water bording so that we can charge the other parasites with treason

Americans new sport is boil the frog and the bankers are smiling all the way to Isreal banks.

There's no laws against this. Not one law or regulation prevents anyone, bank or otherwise, from doing this, as was pointed out in the article.

Usually it's the liberals who bitch about this stuff as it's another example of a corporation flaunting the lack of regulations (which they use their money and influence over the government to ensure) to fleece the marketplace and the consumer. But given the OP's post history, I'm curious as to what his/her take on this is - are you suggesting that a regulation be drafted to prevent this sort of commodity hoarding? A new law? More government red tape which you seem to loathe so much? You scream the loudest of anyone here on ATS about government getting in the way of business, yet you're now posting about one of these businesses doing nothing illegal, just manipulating the marketplace in a regulation-free environment just like the "conservatives" would have it. Better watch out OP, someone might mistake you for a closet liberal...

reply to post by eazyriderl_l


I've stopped buying canned food. A corned beef here costs more than a dollar a can now. And it's for one meal only. 3 cans for one day is over 3 bucks. A whole chicken costs less! And will last a single person like 2 days, more if you try to stretch it.

I just bought a few canned juices today, though. I'll stop that as well as I've seen prices skyrocket. It's better to eat whole fruits than juiced anyway since the micro nutrients remain in the pulp. And you can't consume those if you squeeze.