Sunday, April 18, 2010

More Kabuki theater

I don't believe in coincidences when it comes to something like this.

I just don't.

I believe its being done now, to distract from the Healthcare fiasco and in time to try and get a boost for the mid-term elections.

Wall Street suspects Goldman charges 'not coincidental' to financial reform efforts

Wall Street is more than a little suspicious of today’s charges by the Securities and Exchange Commission, which has accused Goldman Sachs of lying to investors about who was really behind junk mortgages securities it sold to clients.

Barclays banking analyst Roger Freeman comes right out and blasts the SEC effort as “a well-timed, and perhaps not coincidental, effort to sway some on-the-fence Republicans” to get tough on financial reform.

“Targeting GS, given the flurry of anti-Wall Street press that has centered around that firm, offers the publicity that the administration needs at this critical juncture,” Freeman says in a note to clients today.

He says Senate Finance Committee Chairman Chris Dodd has targeted a vote on the Senate bill for April 26, “and given the short span of time between now and the end of the month, we are not surprised to see the stepped up support for the bill.”