Is Goldman Chief Secure in His Post?

Is Goldman Sachs CEO Lloyd Blankfein at risk of losing his job? One blogger says that may be the case. Conservative commentator Robert Wenzel claims that "For the first time ever, I am hearing serious grumbling inside Goldman Sachs about Lloyd Blankfein's leadership of the firm." Wenzel's post didn't cite any sources, so there's no way to judge whether it's true.

Wenzel says the grumbling is at high levels, but that it is "unclear as to how widespread the view is."

There are two strikes against Blankfein, according to Wenzel. Number one, he came off "as an arrogant buffoon when he made his statement to the Financial Times that Goldman was doing 'God's work.'" Blainkein is also being held accountable for making a hash of the bank's relationship with the Obama administration, which is making a very serious and credible effort to cut Wall Street compensation and put limits on the size, scope, and risk taking of large banks. And let's not forget that Blankein missed an important meeting with the president because his plane didn't arrive on time.

Blankein's greatest political liability may be Goldman's financial success. The firm earned $13.4 billion in 2009, a year in which the firm and other banks benefited from public bailouts. President Obama has referred to bank compensation as "obscene." In any other year. strong profits would be viewed as a badge of honor and success. But with the Wall Street business model and culture under attack, protecting their franchise is the key to success.