Read it at Zero Hedge
The last time the Fed tried to dump Maiden Lane 2 assets via a public auction in a BWIC manner, it nearly crashed the credit market. This time, the FRBNY, headed by one ex-Goldman Sachs alum Bill Dudley, has decided to go back to its shady, opaque ways, and transact in private, with no clear indication of the actual bidding process or transaction terms, and sell $6.2 billion in Maiden Lane 2 "assets" to, wait for it, Goldman Sachs, the same firm that would benefit in the first place if AIG's assets imploded (remember all those CDS it held on AIG which supposedly prevented it from losing money if AIG went bankrupt?). One wonders: does Goldman have a put option on the ML2 portfolio if the market experiences a sudden and totally impossible downtick some day? But all is well - we have assurance from the Fed that the sale happened in a "competitive process." Luckily, that takes care of any appearance of impropriety.
New York Fed Is Back To Transacting Opaquely, Sells AIG Holdings To Goldman
by Tyler Durden
3 comments:
where is the "write your congressman" action emailers ?
it doesn't matter since said congressman worked or works for Goldman Saxon
I had mentioned Maiden Lane I, II and III previously which the FED had tried to auction that damn near blew up the credit markets. Now they will not give any information concerning details, and the shit was bought by Goldman Sucks in what was said to be a competitive process. LOL! Tell me another fairytale Ben you lying sack of dog squeeze.
Multiplier effect? You are talking velocity of money pure and simple. Have you looked at the M.E. for M1, M2 or MZM lately? There is NO ME/velocity that I see, and infact we are multi-decade lows on them all.
AIG only owes the American Taxpayer another $52 Billion Dollars. We are saved. LOL!
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