2016 Postmortem
Related: About this forumThe Fed Sends a Frightening Letter to J.P. Morgan and Corporate Media Yawns
The letter referenced in this letter was sent over 2 weeks ago, before the NY primary. Anybody recall hearing anything about it?
http://wallstreetonparade.com/2016/04/the-fed-sends-a-frightening-letter-to-jpmorgan-and-corporate-media-yawns/
<At the top of page 11, the Federal regulators reveal that they have identified a deficiency in JPMorgans wind-down plan which if not properly addressed could pose serious adverse effects to the financial stability of the United States. Why didnt JPMorgans Board of Directors or its legions of lawyers catch this?
Its important to parse the phrasing of that sentence. The Federal regulators didnt say JPMorgan could pose a threat to its shareholders or Wall Street or the markets. It said the potential threat was to the financial stability of the United States.
That statement should strike fear into even the likes of presidential candidate Hillary Clinton who has been tilting at the shadows in shadow banks while buying into the Paul Krugman nonsense that Dodd-Frank Financial Reform Is Working when it comes to the behemoth banks on Wall Street.
How could one bank, even one as big and global as JPMorgan Chase, bring down the whole financial stability of the United States? Because, as the U.S. Treasurys Office of Financial Research (OFR) has explained in detail and plotted in pictures (see below), five big banks in the U.S. have high contagion risk to each other. Which bank poses the highest contagion risk? JPMorgan Chase.>
mooseprime
(474 posts)"cut it out" is traditional
1StrongBlackMan
(31,849 posts)is Dodd-Frank financial reform at work, right.
Dodd-Frank has a prescribed "next step" should the deficiency not be addressed.
mmonk
(52,589 posts)instead of a plan what to do when they fail next time.
1StrongBlackMan
(31,849 posts)mmonk
(52,589 posts)It's just a bail out prevention but still leaves some victims in the public.
1StrongBlackMan
(31,849 posts)It's purpose, among others, is to prevent bank failures ... If this happens, than there is no need for a bank bailout.
mmonk
(52,589 posts)I some assets still in one of those that didn't pass. I only do due to mergers which never seems to stop. But I'm nervous.
Skwmom
(12,685 posts)understanding by doing so that they will blow up the whole damn system. That is what happens when you are blinded by greed.
Response to BernieforPres2016 (Original post)
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