Earlier this month, I did a blog entry looking at an email popping up on Wall Street showing the arrogance of the culture there, an attitude that traders are just too smart (despite losing billions) and that the great unwashed out there don't understand.
Now we have more evidence of that with JP Morgan telling clients that US senators showed "an unnerving ignorance of fundamental principles of market economics" when they were questioning Goldman Sachs chief Lloyd Blankfein.
In his note to clients, JP Morgan's managing director and senior economist James Glassman said: "Flip assertions about what is and is not socially valuable reflect a confusion about our market economy that is as fundamental as knowing that George Washington was the first president of the United States." He also said that "Goldman was no more culpable in the housing debacle than Congress."
The arrogance really come through with his assertion that now "it's time for the grown ups to step in". The US Congress and President Obama trying to reform the market, in other words, are just a bunch of kids.
JP Morgan has offered a weak sort of apology with their spokesperson saying: ""The report is from a single economist and does not reflect the views of our firm. We disagree with his characterizations, and we're sorry."
Which doesn't really sound that convincing or remorseful. JP Morgan isn't really that sorry at all. But that's to be expected when you're confronted with the arrogance of Wall Street.
no comment untill now