Early Morning Swim: Elizabeth Warren on Rachel

Your tax dollars at work.

Goldman Sachs yesterday reported the largest quarterly profit in its history as a public company, $3.44 billion between April and June, as the decimation of its Wall Street rivals allowed the investment bank to romp across the financial landscape, buying low and selling high.

The New York firm is only months removed from a federal rescue that included emergency approval to become a bank holding company, $10 billion in direct federal aid and help to borrow billions more to finance its operations. But Goldman’s earnings of $4.93 a share, up from $4.58 during the comparable period last year, made clear that the company has emerged stronger than other survivors, allowing it to seize opportunities in the aftermath of the crisis.

…

Goldman’s success also risks a political backlash, as the company is now on track to pay record bonuses in the midst of a recession that many Americans — including President Obama — have blamed in part on Wall Street’s lavish pay practices. Goldman said yesterday that it set aside 48 percent of its total revenue, or $6.65 billion, to reward employees for the company’s performance. That share is the same as Goldman set aside in 2007, before the crisis. 

Related posts:

1. Early Morning Swim: Glenn Greenwald and Rachel Maddow Take Down Joe Lieberman
2. Early Morning Swim: Rachel Exposes AstroTurf Thuggery at Town Halls
3. Early Morning Swim: Rachel Breaks Story about Obama Extending Benefits to Same Sex Partners
4. Early Morning Swim: Special Rachel Analyzes Obama’s Speech Edition
5. Early Morning Swim: Rachel on the Public Option