they're all goldman sachs alums. the bill back to goldman sachs. they go back into government. -- they all go back to goldman sachs. they go back into government. it is a white house issued. >> this goes back to the media in a way. i will go back to goldman sachs if i must. remember in august when there were about 1200 people doing civil disobedience around the white house protesting the keystone pipeline. the corporate mainstream media was like this on that. imagine if 1200 tea party members hitched themselves to the date of the white house. when occupy launched in september in new york and then moved across the country, suddenly there was more attention being paid to other movements. it exposed how the media has done such a disservice to this country in the last few years by saying there was one movement in this country, the tea party. there are many other movements. the occupy wall street movement has brought into sharper relief and force the media to pay attention to other issues and movements. i could take off 10 or 15. -- tick off to enter 15

the executives the lack of reason terminal activity as a sign that he was no longer employed by goldman sachs goldman complained and the new york post reported on the story last friday but this story should have been news years ago back in two thousand and eleven a bloomberg news anchor alluded to the monitoring the u.b.s. rogue trader the was reprimanded and executives say that they would no longer allow journal. to access the client data moreover this week there was another security breach with more than ten thousand bluebird terminal messages it was linked online these are messages that were voluntarily sent by clients to bloomberg as for news reporters access to the terminals are the privacy breach is a legal well according to fortune and several of the bloomberg terminals contracts state that the least knowledge is and understands the leaser made monitor it's only for operational reasons at least the general use of these services as for exactly what monitor and so we for operational purposes means it's not clear but one thing is for sure that this scandal has caused many wall street firm

along the line of goldman sachs and j.p. morgan, why does this matter? these firms have their reputations on the line with that view. that makes them less willing to bring up a clunker in public just for the fees. once you've cleared the private equity hurdle, you can write it as a fairly good seal of approval for the enterprise. don't be all that jaded, people. i know many are and it's wrong. why do i think this? let me tell you a story. in the 1980s, as a young broker, at the goldman sachs, i had personally helped brooke with the finances of the people behind a young company start up really by some brilliant inventors out of m.i.t. it's called thinking machines. this company's claim to fame was it had the faster computer in the land. one capable of calculating data faster than any other machine. i remember dow jones used it. it was so good for their back office and stuff. i had done so much work with the principals, that when they decided to bring the company public, i was able to convince them to use goldman sachs as their deal manager, it was a big p

they have sold bloomberg no longer exists and it is a while now exhibit in your area of goldman sachs then we'll know what i mean but again city city is trying to create its own financial. database and. operation a lot of these bigger concerns are doing that i wouldn't be surprised if goldman sachs is thinking of it too but more in terms of. kind of an arm's length are over not arm's length sorry arm in arm kind of thing with with bloomberg so i mean i think they're kind of covering for mr doctoroff right now you know and while everybody else is mad because everybody else is mad i mean what he said i understand what goldman's point of view is but when you look at what the bank of england says when you look at what citi is that and j.p. morgan you know and again j.p. morgan's a little jaded because of the way i think but thank you that was christopher chambers all of them professor at georgetown university. coming up next mark to market going to go toe to toe about apple taxes and the i.r.s. scandal and producer bob inglis and i will take on the fed officials who spoke today they didn'

but he looks at his résumé and says, "i was kicked out of goldman sachs.kicked out of being the governor. i still have something to prove." >> and he wanted to come back to wall street and prove that his partners had been wrong about getting rid of him at goldman sachs. and he was going to show them. >> i'm really excited about the opportunity to lead mf global. >> i thought it was great. the stock price jumped. and corzine was a dynamic character. >> we're going to work very hard to get the earnings back on track. >> from the military to goldman sachs to governor. i mean, i get it, you know. he's going to have political connections. this is going to be great for the company, you know. so i was sipping the kool-aid at that time. >> narrator: mf global was a well-established commodities brokerage, a spin-off from the old british powerhouse, man financial. >> it was basically a commodities and futures trading and investing firm. clients would come there saying they want to make trades in the commodities industry or the futures industry-- buy pork bellies, bu

we think that having a strong director is a great way to run goldman sachs. >> thanks for joining us today. >> my pleasure. >> coo of goldman sacks and president as well. back to sue, i guess? >> indeed it is. thank you very much. pleasure to have him on with us. we're waiting for house judiciary committee members to begin their questioning of eric holder. we will take you there live as it begins. >> another story we are following. jp morgan shareholders are going to vote next tuesday on whether to split the chairman and ceo roles. >> while sources say the number is still below a majority, that could still change in the meantime. you can see them in yellow. and they typically wait until the end of the line to cast their votes. there is a big portion of passive shareholders that automatically cast their votes along with what iss recommends. is it roughly 25% all over have all been watching the situation with keen interest saying it could happen to jp morgan it can happen anywhere. >> more than a majority to split the role? and can you imagine circumstances where the board would say we

he took a job at a trading firm named j aaron which almost immediately was acquired by goldman sachs. as far ase said, goldman is concerned, i am an acquired taste. [laughter] he obviously rose through the ranks. in 2004 he was named president and ceo. post that he held ash -- coo. post that he held until hank paulson was named secretary of the treasury. there are no doubt many factors in his great success. his experience on the trading desk in his ability to manage risk must be prominent among them. comments for a newspaper story a few years ago, one of his colleagues said of him, he is a risk taker but a very disciplined one. these join me in a particularly warm welcome for lloyd blankfein. [applause] ♪ >> thank you for that. it was reflecting on the luncheon today, and remarking at ted's expression of our gratitude to jpmorgan for sponsoring the lunch. it reflect a kinder, gentler wall street that they would sponsor lunch for the head of goldman sachs. [laughter] >> i know it is a big group. but no one told jaime that i am eating his lunch. it gets very upset. [laughter] we will re

in 30 minutes we will be live and exclusive with goldman sachs chairman and ceo. we're devoting the first part of this hour to this question. did the fed and central bankers in europe just extend this bull run for stocks and how can you profit from it? power lunch starts right now. >> indeed it does. hi, everybody. tiler is live at a key investment conference. >> sit a great day to be here. the investment company, that's the biggest group of mutual fund executives in the country. they're all going to need a lot of decision making we're going to hear, the only camera in the room room. >> they kicked the can down the road. the fed came out yesterday and they said they stand ready to increase, right? they took off the table the issue about possibly pulling back come the fall and they talked about they stand ready. so you see what happened in the market, right? today they take it all back. you can't fight the fed. you have got to stay with it. i think that's clear. >> traders are very worried that tomorrow is going to be well below expectations. and that comment yeste

morgan or goldman sachs they're constantly doubling down on losing bets because they know because their source of credit is the federal reserve bank it's the american taxpayer and now precisely as to global taxpayer in the global banking system they have an infinite supply of credit at virtually zero percent interest rates they are engaged in the martin betting system and they never lose whereas this poor guy the but now nick man with the dreadlocks he encounters the shortcomings of the martin betting system which is that he can only do one or two throws of the dice these bust is bankrupt he goes home completely without any money if you are working at j.p. morgan you continued to do this exact same bet using the house money using our money using the the federal reserve the central bank's money until they made a profit that's the acute difference between the insiders who are raping the system and everybody else well we can point to two real world examples of this long term capital management that's. when the fed first got involved in manipulating global interest rates in order to bail ou

bank of america, citigroup, goldman sachs, wells fargo, those names are all moving higher. analysts that we spoke with say there is no fundamental reason for today's move other than good old fashioned momentum. we are not going to say it was our interview.

my time when i started at goldman sachs.ng and been courted by goldman sachs for three years before i got a job. it was called security sales then. i got a ton of the history of those year and some of what i talked about earlier in confessions of a street addict. you can get the skinny on my goldman days, but that is not what tonight's show is about. tonight's show is about learning how to trade and investing by studying with me at the university of hard knocks. i will dispense with the anecdotes and teach you from the things that happened at goldman sachs. i'm about making money. that is where i began to understand the process of actual money management. not picking a stock here and there. the process. the ability to build a portfolio from the ground up. i had the best teachers in the world at goldman sachs. lee cooperman was the research director at goldman. he put on an investing clinic almost every day. i never missed a session. hardly an hour went by where i did not hear a new great idea to explore. you know what i real

i stood to make a big sex-figure ticket for bringing the deal to goldman sachs.his analyst, though, he simply wouldn't budge, reminding me that this was the goldman sachs, not some schlop firm that put its name on any company just because it was hot. sure enough we passed. in a couple years, if company failed. a victim of better technology and poor financial management. >> the house of pane! >> so take it from me, that's why the broker's pedigree matters and i would pass on deals you never heard of or have little or unsuccessful track records. avoiding the smaller once helped you to weed out the failers. in the heyday of the social media, every firm good and bad got caught up. so there are never overassurances. checking the deal remains integral to a good ipo. nothing is perfect. that's why i have a checklist. hopefully, one of these will flag you. here's the bottom lean. only going through that three-step betting process would i consider what the company does? imagine how it has done in the past. in part, because it is so difficult to judge tease issues. i would

my time when i started at goldman sachs.d been courting and been courted by goldman sachs for three years before i got a job. it was then called security sales, helping small institutions manage their money. i got a tonne of history those years and in confessions of a street addict. you can get the skinny in the outrageous attendance stories. tonight's show like every "mad money" is learning about trading and investing by studying with me at the university of hard knocks, just to give you cool funny stories. i will dispense of the an next doets and try anecdotes from goldman sachs. i am about making money. first, that's where i began to understand the process of actual money management, not picking a stock here or there. but the process, the ability to build a portfolio from the ground up and i have the best teachers in the world at goldman sachs. one of the great hedge fun managers of our time, lee cooper. lee cooper was the research director at goldman. he put on investing clinical almost every day of which i never missed

i prefer goldman sachs. >> they're a perennial underperformer. they set out these targets, miss the targets. there's a reason why it's trading at a loss to goldman sachs. >> what has gordon done? he's changed the culture massively, which i would say is a culture better than what we have now. you have a lot of dissatisfaction among the ranks. why are you giving him credit when he's missed the targets? >> everybody on the desk says mike mayo doesn't know what he's talking about, don't buy the stocks? >> if the whole space goes up, then morgan stanley is fine. if you're looking what can move 50% in the shortest amount of time, you look at bank of america. >> yeah, the beta trade to what murph just said, the beta is not we're in the space. the beta is goldman. if you want, you go after bank of america. look what warren buffett did with the bank of america trade. nowhere near that performance out of morgan stanley. the xlf is now at the highest levels since we've seen since october 2008. we keep churning higher than -- >> i think part of the point, an

maybe you know the first to work for goldman sachs. and if that is the case that's wonderful with people who've got experience in the market major conflicts arise we know. well there is speculation that gary gensler might not get a second trial partially due to the values and that of all bob what do you think of all that i think that gary gensler was compromised but not necessarily because he used to work for john corps and he didn't even work in the same. general area scores and so i do think it was a little bit ridiculous it was a copout that judge recused himself now he was working heavily on swaps regulation at the time and people have to understand that it was a big coup for the c.e.o. to see to be able to regulate a big portion of the seven hundred trillion dollars derivatives industry and that was really his focus i don't think gary gensler really cared about the futures and it's true that much and that's what we saw when the like you said to see it to see was kind of an absentee landlord in those early days and the fifty's the

goldman sachs alone has more than 50 lobbyist, j.p. chase alone has over 60 lobbyists. we're talking about unequal warfare here. >> i think what's so interesting about the article and i would tell people to definitely check it out. we talk about campaign finance as part of the problem. obviously we are highlighting this moment of nexus of money and influence. but the inequity is so massive that that outmatched sense that you get in the lobbying on congress then carries over to things that happen in the regulatory facet and in the courts as well. >> i wanted to find the one regulatory agency where someone was really trying. gary gentz, so the cftc, they're right at the center of this, they're derivatives control. what's he able to do? he said i want to have an open door. anybody who wants to come in and talk about derivative reform can come and see me. and what happens? goldman, sachs. >> you know who -- >> they have a staff of 12 from new york who can fly down and u.s. perg has two meetings over a three-year period. >> gary rivlin, great piece. thank you very much. >> t

liz: and financing from goldman sachs, right.me changer as well. >> reporter: it certainly can. every piece of news that comes out, every headline for jcpenney is a game changer, so we've seen it improving and turning around since the changing of the guards in the ceo role. continues to be one of those very fragile stocks. that's a concept that people are beginning to like. we've seen improvement in jcpenney, but it's very fragile senate retail sector. liz: another eight and two-thirds jump here. >> reporter: no doubt. stellar performer. and it continues to be so. 171% this year. david: okay. all the good news about these stocks clearly had an effect on the overall market. look at this. the dow jones industrials, it is not trading as badly as it had been earlier today. 44 to the downside is not good news, but again, it has been worse today. the s&p, though, percentage wise is taking it on the chin today. it's down over half a percent down 8.4. nasdaq composite not getting too big a hit, it's down 6.3, that's about a .2% loss on t

goldman sachs wouldn't lend it 1.7 billion if they doesn't believe in its future.s its $9 price target on the stock which ended the day at $16.40. so who do you believe? >> you know, at this point i think, if you look at it from a normal, kind of pure retail perspective, i understand morgan stanley's reticence about it. i think what goldman saks sees is the potential for the company to turn itself around or year or so past the 12-month price target the amount of capital it will provide will give the company the ability to really turn the corner. >> is jcpenney shaping it sell up to be a acquisition? >> i think that tough right now. they have certain assets others would like, i don't think the company as a whole right now is particular hay attractive candidate for takeover largely because they continue to lever themselves up. lori: $3.8 billion in debt. >> 3.8 billion and 1.7 billion more coming. as they lever itself out, this is not so much as a take-out by a turnaround. david: do you lay sinking of this stock at the foot of ron johnson or not? >> not necessarily.

liz: goldman sachs and morgan stanley say the government is going back off dn goldman sachs says ratesand hearing out of deutche bank, too, what's the psychological barrier for people to jump in at a 30-year fixed. is it still that 4% rate? >> i don't think so. i think we've been accustomed to the 4% rate for a while now and so that's where we are mentally, but as they creep up, people will get that realization that they need to buy what they can afford with that rate. unfortunately, we're a bunch of buyers on our payments instead of what the house is truly worth. charles: all i can say uthanks for bringing the houses that make me feel like i live in a wood shack. appreciate it. time for your gold report. gold back above 1400 and i don't know if it's where they stand and a lot of people think that gold is severely oversold up here, and it is up today. hey, you really can't make this stuff up. taxpayers shelling out more than 20 million dollars in welfare benefits for, hold on, get this, convicted felons. that's just one thing and that's next. ♪ ♪ far from folsom prison that's where i w

. >>> goldman sachs raising the target for the s&p 500 for this year, next year and 2015. with this rally. >>> plus rescue efforts as we've been telling you to follow. they are under way in oklahoma. dallas is now in tornado watch, and in addition, in oklahoma they have reports of large hail and rain. are storm shelters key in this situation? of course they are. we'll speak with someone about that. they make those storm shelters. we'll talk with them when we come back. but we can still help you see your big picture. with the fidelity guided portfolio summary, you choose which accounts to track and use fidelity's analytics to spot trends, gain insights, and figure out what you want to do next. all in one place. i'm meredith stoddard and i helped create the fidelity guided portfolio summary. it's one more innovative reason serious investors are choosing fidelity. now get 200 free trades when you open an account. >>> governor mary bowen of oklahoma has just finished speaking, giving us an update on that tornado. according to the governor, at least 24 people are dead, includin

essentially saying fears of the likes of goldman sachs they worry reporters could access what goldmanhs individual workers were doing. jpmorgan chase public relations, various reporters were trying to tracked down the london's reporter to see if he left to report on it. this seems to be a cultural issue for bloomberg and a very bad one because it puts the credibility and integrity of the bloomberg terminals at issue and in jeopardy. melissa: reporters could not see trades and that very proprietary information. it is hard to accept that after what has happened. they were people who are saying how can we believe this denial? >> if they can access what the banker is looking at, that is what is at issue. the federal reserve telling foxbusiness "we're looking into this situation to have been in touch with bloomberg to learn more." the quote we got from our d.c. bureau. telling us that. treasury department looking into this as well because government officials use the bloomberg terminals so reporters accessing what th information was being downloaded from government officials. this is a big

mid-sized brokerage firm which was forced into liquidation and bankruptcy junk or zine a former goldman sachs c.e.o. and former new jersey governor and senator had made highly leveraged bets on european debt with further money as creditors became increasingly concerned about m.s. global solvency they demanded more cash and collateral but when the dust settled one point six billion dollars of customers fines was missing and these were not investors who had decided to risk money on the firm these were customers who simply put cash and securities on deposit with m.f. global to secure trades former f.b.i. director louis freeh he was appointed the trustee over the parent holding company is suing john corazon and demanding a jury trial something that's pretty unusual for a bankruptcy case i talked to earlier today with john breaux co-founder of the commodity customer coalition as well as prime interest producer bob english and i asked john what's the strategy with free demanding a jury trial for corazon and here's what he said. if you're more for. the program the artwork and. everyone. over. there

there was of the huge crisis goldman sachs needed to bail out over its loans to mexico that was the bailout of the s n l's that was the bailout of the banks in the one nine hundred eighty s. each time there was this bailout we have the same situation which is that the bankers they go to government and say well we've taken all these risky loans and if you don't bail us out the entire economy of the world will come tumbling down and the politicians are don't know whether this is true out and immediately whip out their checkbooks and write it out this is what capitalism is and therefore what we get is precisely that the richest are bailed out they continue to earn their massive bonuses while everybody else has to pay for their risky loans and you know risky you know nonsensical decisions and lose their jobs and are then but basically are out for you know the permanently unemployed if you look at the. unemployment statistics or you can see that there's a there's a rising number of people who are basically permanently unemployed they just essentially were just been waiting to die off because the

morgan deutsche bank and goldman sachs now we got a leak screen shot and here it is exclusively for a prime interest viewers. and there we have hi how are you yes five minutes to fix three months u.s. should be zero point two seven sweet long from zero point two five percent i do have to say just for the lawyers on the thirteenth story here this was a simulation not an actual leak but it does raise an interesting point which is why board so live war. was a huge scandal i mean can you just go back to short library itself is something that's been around for decades and it's a it's a means by which interest rates are set basically eighteen banks get together in london and they tell each other or the british bankers association what their lending rates are from a day to three months to a year and then four are the top four and the top or bottom are subtracted and then there's an average anyway so. very few banks have control over what's basically a three hundred trillion dollar market in derivatives and ten trillion dollars in direct lending and what's amazing was during the scandal basic

goldman sachs only wanted to talk to gary gensler and that's my little story about him not surprising it is always there saying all this stuff comes together exactly that's all we have time for a sorry back line fans. now it's been a day of trends and reversals on prime interest we looked at subprime as paulson he's now flipped and is betting out on the bailed out g f c's will emerge from conservatorship the list of concerned clients is growing longer with china the fed and j.p. morgan joining the fray we talked with gerald solent today about the number of trends he's tracking from the u.s. dollar troubles to global monetary policy to our fed chairman's ed exit strategy and we talked about the cost of emigration with will mcbride and michael coleman and finally we have to end on a sad note highlighting the continuing troubles with bitcoin servicers thanks for watching we'll be back tomorrow with more and be sure to catch our extended interview with gerald solon day on you tube at you tube dot com prime interest and from everyone at prime interest i'm terry and boring for the great. yo

morgan deutsche bank and goldman sachs now we got a leak screen shot and here it is exclusively for a prime interest of viewers. and there we have hi how are you yes five minutes to fix three months u.s. should be zero point two seven sweet long from zero point two five percent i do have to say just for the lawyers on the thirteenth story here this was a simulation not an actual leak but it does raise an interesting point which is why board so war. was a huge scandal i mean can you just go back in short life for itself is something that's been around for decades and it's a it's a means by which interest rates are basically eighteen banks get together in london and they tell each other or the british bankers association what their lending rates are from a day to three months to a year and then four are the top four and the top or bottom are subtracted and then there's an average anyway so. very few banks have control over what's basically a three hundred trillion dollar market in derivatives and ten trillion dollars in direct lending and what's amazing was during the scandal basically

who are making the most money are the hippie firms and all the big banks like goldman sachs have their have their tentacles into this and goldman sachs is one of the largest traders historically they have been and what what's on the opposite side of the exchange is they have to make sure they're required by law to make sure that there's a fair market for the people like you and me who might want to buy futures contracts or stocks but they're only getting a limited investment revenue stream from the space that they're lending on so it doesn't seem like it's that balance because the money isn't a they're lending the space that millions of other gaming billions on the order of probably an order of magnitude of difference to me i want to say is that they're you know they're lending the space and which may or may not give them information beforehand we're showing the evidence of it but we heard from someone at the c.m.e. saying that this isn't all the time it's just sometimes it's not to malign all of two strategies that they're not all they're not all causing much market disruptions but on

that was of the see the huge crisis goldman sachs needed to bail out over mexico that was the bailout of the s n l's that was the bailout of the banks in the one nine hundred eighty s. each time there was this bailout we have the same situation which is that the bankers they go to government and say well we've taken all these risky loans and if you don't bail us out the entire economy of the world will come tumbling down and the politicians are don't know whether this is true or not and immediately whip out their checkbooks and write it out this is what capitalism is and therefore what we get is precisely that the richest are bailed out they continue to earn their massive bonuses while everybody else has to pay for their risky loans and risky you know nonsensical decisions and lose their jobs and are then but basically are out for you know the permanently unemployed if you look at the. unemployment statistics are you can see that there's a there's a rising number of people who are basically permanently unemployed they just essentially were just been waiting to die off because there's

for something much more lucrative now in two thousand and eleven and he cashed out and became a goldman sachs international advisor the banks c.e.o. said greg's experience and insight will contribute significantly to our firm from there judd gregg made a leap in his career and he's now the c.e.o. of their goal is overcoming the stigma of the financial industries. stranglehold over america and they spent over five million dollars on lobbying efforts last year alone we're sure mr gregg have plenty of insight to share with that as he's been through the valving door and made out quite well. well stay tuned because i've next we're going to discuss the end of an hour of how a train wreck foreclosure process with matthew o'brien and then crime and just producer bob inglis and i will go over the the f.t.c. that's right gary gensler we're coming for you we'll be right back. to. play. the worst cure for those things only the white house to give a. radio guy and pull out of a zero minutes. but i want you to watch what we're about to give you never seen anything like good control of. the world to live. o

would gary gensler be ques themselves well he used to work at goldman sachs along with john corazon john corazon was his boss when he was c.e.o. of the firm in the late ninety's and poor gary gensler he just didn't want to do the job apparently to protect the futures industry's customers so according to this report he didn't actually have to recuse himself but there is another line here that we have talked about the revolving door. so he way the chairman's decision to issue a nonparticipation statement ran counter to specific advice on the matter and this regards the same thing that we're talking about basically gary gensler did not have to recuse himself which is unfortunate because like i said the customers were thrown into disarray people had positions on in the futures markets and they did not know what to do with themselves and there were a couple other things that we found to have their heroes out but then this is the also required m.f. global center go i reviewed by an independent consulting firm in two thousand and nine that all meant guess who this is going to give you one guess