Toward the end of 2006, traders at Goldman Sachs had opposing views of the U.S. housing market: One anticipated more good times, and the other expected a fall, according to The New York Times. Sources said the decision about which was right went all of the way to the top, with senior executives, including Chairman and CEO Lloyd Blankfein, deciding that home prices would decline and Goldman should go short on the mortgage market.

Related Summaries