The Felix Salmon Smackdown

Apparently Esquire Magazine has some bright spark telling us to invest in gold. Felix isn’t impressed:

But to appreciate the fuller expression of Kurson’s genius, it’s worth flicking through his archives. There’s the 2006 article where he says that everybody should invest in credit default swaps… Kurson also reckoned that the automakers were a screaming buy in 2005, saying that “GM is moving with stunning speed to address what ails its business, and that “the United States government will not allow Ford or General Motors to default on its debt”.

He also told us to short Apple at $65 bucks, apparently.

It’s all hilarious stuff, of course, but I’m reminded of something I read at TED:

And what is the market itself but a gigantic, multi-tentacled, complexly interlinked engine for the real-time calculation of conventional wisdom? Figuring out, anticipating, and shaping conventional wisdom is what investment bankers do. It is the ocean in which we swim.

This Kurson fellow has, in the past, done his little part in awarding a few fat cat bonuses to bankers and investors smart enough to figure out his advice before he gave it. He is, perhaps, doing it again.

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