Is anyone else fooled by this? The FASB gives more “lee-way” to banks in choosing what period to recognize their losses and all of a sudden every bank is profitable???
For example, Goldman just posted $1.8 billion of revenue that is somewhat “unexpected” from its fixed income divisions.
Wells Fargo had “unexpected gains” which led to a 28% jump in stock price. Bank of America jumped 22%.
Citigroup released a memo that they are having a profitable quarter and their stock jumps.
I’ll call it what it is - B.S.
Keep in mind, not only are these companies reporting a profit, but Wells Fargo and Goldman are claiming they are RECORD profits in the respective divisions - B.S.
So, if I understand this correctly, in a financial crisis where you have been forced to review all costs and make major layoffs, this record profit has snuck upon you unawares? They take us for fools.
Last 3 posts by Eric B.
- Nassim Taleb on the Economy - June 25th, 2010
- Full Circle - May 3rd, 2010
- The Dark Side :) - April 5th, 2010
