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Wall Street's Week: Facebook, Big Banks

Friday, July 27, 2012

money, financial, stock market, money Wall Street (Trey Ratcliff/flickr)

Heidi Moore, New York bureau chief and Wall Street correspondent for Marketplace, discusses the Facebook revenue report and what it tells us about the success or failure of its recent IPO, plus what it would take to reimpose Glass-Steagall, like Sanford Weill suggested.

Guests:

Heidi Moore

Comments [6]

Aaron from Carrol Gardens

Heidi ended the segment by saying the crisis would have happened even with GS in place but it would have been contained to investment banks.

I might be incorrect, but I thought part of GS (or another depression era law) banned trading in the CDOs and other credit derivatives that played a central role in the financial crisis. One of the critical financial regulation rollbacks in the 1990's was allowing these types of derivatives.

They were banned in the 1930's as a result of the market crash precisely because they were basically gambling and not real financial investments and played a role in the crash.

Jul. 27 2012 11:04 AM
Harry from nyc

Mortgage back securities are inherently insecure. But they make bankers a lot of money

Jul. 27 2012 10:58 AM

i guess we know whose side ms moore is on

Jul. 27 2012 10:58 AM
linda from Manhattan

Sandy Weill makes me furious. It's because of his greed that Glass-Steagall was repealed in the first place. Now, he has no vested interest in the banks so he opens his big mouth and says banks and investment banks should be separated. We know they should. We don't need Sandy Weill to tell us.

Jul. 27 2012 10:56 AM

Zuckerberg was leery of going public simply because he knew it was so much smoke and mirrors and hype. Who do they think they are fooling?

Jul. 27 2012 10:54 AM
Jenna from UES

Isn't Facebook just "Too Big to Fail"? I'm so confused how it is not just another AOL.

Jul. 27 2012 10:50 AM

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