Dimon: Absolute Guarantee Bond Vigilantes Will Attack U.S.

Short clip from Jamie Dimon's CFR speech Oct. 11 in Washington.

'It's only a matter of time.  Could be 2 years, could be 5 years.  But our day of reckoning on the debt is coming.  That much is assured.'

Comments

[john]

JPMorgan profits rise 34 percent with mortgage surge

http://www.reuters.com/article/2012/10/12/us-jpmorgan-results-idUSBRE89B0K620121012

[snip]

The company said it recorded a "modest loss" in the quarter on its so-called "London whale" derivatives portfolio, which had lost $5.8 billion this year through June. It said it may lose about $300 million more in the fourth quarter.

Revenue from mortgage production was $1.8 billion, up 36 percent from a year earlier, excluding losses for buying back bad mortgage loans sold in the past to investors.

[chiller]

This poor slob has zero room to talk....he's been attacking the US for decades and now tries to deflect the giant shit pie being thrown at him.

[LadyLiberty]

Now now you just don't understand that the banks don't understand :)

Top Brass at Big Banks Just Don't Get It: FDIC's Hoenig

http://www.bankinvestmentconsultant.com/bic_issues/2012_8/top-brass-at-big-banks-just-dont-get-it-fdics-hoenig-2681159-1.html

O's favorite banker Dimon who is he trying to kid he is worried about his bottom line he should see how average American's feel with the food inflation created by the Fed that he as a member bank benefits from with the IOER payments. Having said that, the Fed's policies are not working but we definitely need to cut spending.

What Inflation Means to You:
Inside the Consumer Price Index (look how much food has gone up the fed doesn't count that in the inflation index)

http://www.advisorperspectives.com/dshort/updates/CPI-Category-Overview.php

What Happens to Banks When Interest Rates Rise?

http://www.ehow.com/how-does_4963534_happens-banks-interest-rates-rise.html

http://www.economicpolicyjournal.com/2009/07/president-obamas-favorite-banker.html

http://www.economicpolicyjournal.com/2011/01/profits-for-president-obamas-favorite.html

The Fed sees this as a radical change. But remember that it paid no interest on reserves before the 2008 crisis and, not surprisingly, banks held practically no excess reserves then. In early October of that year, Congress gave the Fed authority to pay interest on reserves, which it promptly started doing. When the Fed trimmed the federal funds rate to its current 0-25 basis-point range in December 2008, it also lowered the interest rate on reserves to 25 basis points, where it has been ever since.

Suppose the Fed cuts the IOER from 25 basis points to minus 25 basis points, and banks don't lend one penny more. In that case, the Fed stops paying banks almost $4 billion a year in interest and, instead, starts collecting roughly equal fees from banks. That would be almost an $8 billion swing from banks to taxpayers.

http://online.wsj.com/article/SB10000872396390444873204577537212738938798.html

U.S. Government's Foreign Debt Now $47,495 Per Household

http://cnsnews.com/news/article/us-governments-foreign-debt-now-47495-household