Considering Goldman Sachs made a ton of money the past few months, stating they "only had two losing days" would say to me the "Flash Trading" or "High Velocity" trading is how they are making all the money, but GS says "it is only 1% of our revenue."  I do not buy it what traders go 45 days without a loss, there must be an edge, and the edge is the Flash Trading.

Now with the SEC ending flash trading it will be interesting to see if GS earnings drop, volume on the exchanges drop, and if volatility increases while GS tries to suck out as much cash as possible before the door is shut on them.  Plus now the Govt is looking into other "issues" at Goldman Sachs.  It seems the scams on wallstreet are the name of the game. Maybe the SEC should consult Madoff, maybe he can teach them what to look for and expect.

From Bloomberg: Goldman Sachs Group Inc. made more than $100 million in trading revenue on a record 46 separate days during the second quarter, or 71 percent of the time, breaking the previous high of 34 days in the prior three months. Trading losses occurred on two days during the months of April, May and June, down from eight in the first quarter, the New York-based bank said today in a filing with the U.S. Securities and Exchange Commission. The company made at least $50 million on 58 of the 65 trading days during the quarter, or 89 percent of the time.

 Joe, let's not forget the new bans on speculation in commodities, I say Goldman Sachs will take a hit over it.

They still have two forms of unfair leverage in their favor, HFT and massive unregulated buying power.

The CFTC needs to broaden the new regulations to all equities asap, or Goldman Sachs will continue to "legally" manipulate the market.

I say the timing and size of jumps in C, FRE, FNM and AIG was no coincidence as the CFTC passed the new regulation against manipulation on commodities yesterday...to me it would almost appear to be a threat by Goldman Sachs or a combined effort with multiple hedge funds to show the government their power by buying massive quantities of these stocks, which are largely owned by the government.

Either that or they covered massive shorts in fear of upcoming trouble, either way it's extremely disconcerting to see that much massive buying power move so much stock so quickly, the government cannot simply stop now, lest they lose a game of powerstruggle with some very big market manipulators and lose the chance to keep the market what it was originally intended to be, a free and fair market for all to trade in.