Digby: Squids And Showdogs Working Together

The NY Times published an interesting article today about Goldman and AIG that doesn't really break any new ground, but puts the narrative together nicely, charts and graphs included. If you haven't been following the saga of the thick and plodding AIG getting squeezed by the Vampire Squid, this is as good a place to catch up as any.

The question of whether or not Goldman did anything illegal or was just doing what any dominant capitalistic predator would do remains unknown. But I was actually more interested in the questions raised at Naked Capitalism about what was missing from the piece rather than what was in it:

Doubts about the monolines were becoming serious in the first acute phase of the credit crisis, September-October 2007. They were a daily focus in the business press in January-February 2008. Bear went under and was rescued because its failure would have rocked the CDS market.