Rumors of an SEC Settlement Boost Goldman Sachs
Surprise, surprise, they were false.
Goldman Sachs Group Inc shares rose as much as 5.4 percent on Friday morning on rumors of a possible settlement with U.S. regulators and a feeling that the stock could be oversold.
The shares were up 4.98 percent at $142.86 in midday trading on the New York Stock Exchange, off an earlier high at $143.44. Goldman's share rise came as bank stocks reversed losses and rose shortly after the open.
Word is that the Goldman rats are trying to settle for a record $1 billion, which Goldman can easily scrape up if you give them about 10 days of trading (pfft):
Analysts predict Goldman Sachs Group Inc. will pay $1 billion or more to settle a Securities and Exchange Commission fraud suit that triggered a 26 percent drop in the firm’s stock. Extracting such a record-setting penalty may be easier said than done.
When it comes to presenting a settlement for court approval, the SEC will have to “have a good explanation and justification for the number,” said Donald Langevoort, a former SEC attorney who teaches securities law at Georgetown University in Washington.
As if, there is no way the SEC is going to settle just like that. Too easy to make a big ass production over how they're putting the regulatory smack down.
Please, PLEASE don't throw Goldman Sachs in that Briar Patch!