Thursday, May 7, 2009

Kudlow Reports NY Fed Chair Stephen Friedman Resigned

Larry Kudlow of CNBC announced the resignation of New York Fed Chair Stephen Friedman. Mr. Friedman purchased Goldman Sachs' stock twice in the last eight months. On December 17 he bought 37,300 shares, while January 22 found him purchasing 15,300 more. The New York Fed approved AIG's counter party settlements. Goldman Sachs benefited from $12.9 billion in AIG wind downs.

What did Mr. Friedman know, and when did he know it? His 61% return on recently purchased Goldman Sachs stock is sweet! Does a resignation come with an assurance of no investigation?