Do "Greater Levels of Risk" Worry You Just a Bit?
July 15, 2009 Goldman Sachs Reports Big Profit, Beating Forecasts By GRAHAM BOWLEY Goldman Sachs comfortably exceeded analysts’ forecasts on Tuesday as the bank reported that it earned $3.44 billion, or $4.93 a share, in the second quarter. The results continue a robust turnaround for Goldman since it rode out the final tumultuous months of last year with aid from the government’s banking rescue. The earnings announcement came just one month after the bank paid back $10 billion in federal aid. Goldman’s profit was lifted by record quarterly revenue of $6.8 billion in its fixed-income, currency and commodities unit, where mortgage and other credit instruments are traded, the bank said in a statement. This business has performed well because the bank has taken on greater levels of risk since the end of last year.
____________________________________________________ I gotta admit that, with $60 trillion or so of worthless credit-default-swaps still out there--unacc…