Search Results for: rap sheet

By Pam Martens and Russ Martens: August 20, 2024 ~ As indicated on the above graph, as of December 31, 2023, Goldman Sachs Bank USA, JPMorgan Chase Bank N.A., Citigroup’s Citibank and Bank of America held a staggering total of $168.26 trillion in derivatives out of a total of $192.46 trillion at all federally-insured U.S. banks, savings associations and trust companies. That’s just four banks holding 87 percent of all derivatives at all 4,587 federally-insured financial institutions in the U.S. that existed as of December 31, 2023. You might be asking yourself the very valid question as to why the Dodd-Frank financial reform legislation of 2010, that followed the Wall Street financial quake of 2008, didn’t correct the derivatives gambling that played a central role in crashing the U.S. financial system. For why the threat of derivatives never actually went away, see our report: Meet the Two Congressmen Who Facilitated Today’s Derivatives … Continue reading →

By Pam Martens and Russ Martens: January 18, 2024 ~ On February 10, 2014, the non-profit watchdog, Better Markets, took a bold and historic action. It filed a federal lawsuit against the highest law enforcement agency and officer in the United States – the U.S. Department of Justice and the man who sat at its helm, Attorney General Eric Holder. The lawsuit challenged a $13 billion out-of-court settlement that had been agreed to by the Justice Department and the Wall Street mega bank, JPMorgan Chase, over its sale of toxic mortgages. Better Markets wrote on its website that this was at the time “The largest settlement in U.S. history from a single entity by more than 300%” and that it “granted JP Morgan blanket civil immunity for years of alleged, but undisclosed, pervasive, egregious and knowing fraudulent and illegal conduct that contributed to the 2008 financial crash and the worst economy since the … Continue reading →

By Pam Martens and Russ Martens: October 16, 2023 ~ On May 1, the Federal Deposit Insurance Corporation announced that First Republic Bank had failed and that it was being sold to JPMorgan Chase. At the time, JPMorgan Chase was already the largest and riskiest bank in the United States. The sweetheart deal the bank got from the FDIC to take over First Republic included the FDIC eating 80 percent of any losses on single-family residential mortgages for 7 years and 80 percent of any losses on commercial loans, including commercial real estate, for five years. The FDIC also provided JPMorgan Chase with a $50 billion, five-year fixed-rate loan at an undisclosed interest rate. According to the filing that JPMorgan Chase made with the Securities and Exchange Commission last Friday, the deal also gave JPMorgan Chase something that it desperately needed: deposits. According to the 8-K filing that JPMorgan Chase made with the … Continue reading →

By Pam Martens and Russ Martens: June 6, 2022 ~ Last month the Federal Reserve Bank of New York released its 2021 annual report from its “Markets Group.” That’s the group that operates a trading floor (complete with speed dials to the trading houses on Wall Street) at the New York Fed, located not far from the New York Stock Exchange, as well as another trading floor on the premises of the Chicago Fed, which is not far from the futures exchanges in Chicago. That report showed that despite all of the recent talk about the Fed dramatically shrinking its balance sheet from its current size of $8.9 trillion, the internal Federal Reserve plan for the balance sheet is actually this: “After declining by about $2.5 trillion from the peak size reached in the first half of 2022, the portfolio stops declining in mid-2025, at which point it is held constant … Continue reading →

By Pam Martens and Russ Martens: December 10, 2020 ~ If you suffer from chronic nightmares, experience migraine headaches from stress, or have anger management issues when confronted with abject stupidity, you probably want to avoid looking at the above graph that the Securities and Exchange Commission has created to show how one of the most critical financial markets in the United States functions. Or perhaps we should say, why it’s incapable of functioning when it’s most needed. The market is Wall Street’s Short-Term Funding Market which includes its integral repurchase agreement (repo) market. The repo market blew up in 2008 during the last financial crisis and required a Fed bailout. It blew up again on September 17, 2019 for reasons that have yet to be credibly explained and required at least $9 trillion in cumulative emergency loans from the Federal Reserve over the next six months. As we reported … Continue reading →

By Pam Martens and Russ Martens: May 19, 2020 ~ If there has been any positive outcome from the COVID-19 pandemic, it has been that the American people are beginning to take a cold, hard look at how the U.S. economy has been engineered as a vast wealth transfer system for the one percent. We have peeled back the dark curtain further today on how the Federal Reserve has been structured as an unlimited money spigot to enrich that one percent as it privatizes profits for the criminally-inclined Wall Street titans and socializes the losses to the law-abiding 99 percent of hardworking Americans. ~~~ The Federal Reserve Board of Governors consists of seven individuals appointed by the President of the United States and confirmed by the U.S. Senate. As of today, only five of those Governor seats have been filled. As of last Wednesday, these five unelected individuals were overseeing … Continue reading →

By Pam Martens and Russ Martens: March 23, 2020 ~ For want of a mask the largest economy in the world has been gutted, with Goldman Sachs now projecting that U.S. GDP could contract by as much as 24 percent in the second quarter. New York City, a major contributor to U.S. GDP, is now the epicenter of coronavirus cases in the U.S. We saw this as a likely outcome from the moment that we learned that droplets could be spread from person to person through the air. According to the Center for Sustainable Systems at the University of Michigan, “the average population density of the U.S. is 87 people per square mile.” But in New York City, “the population density is 27,012 people per square mile,” far greater than any other major city in America. Let that sink in for a moment. The population density in New York City … Continue reading →

By Pam Martens and Russ Martens: October 18, 2019 ~ Shhh! Don’t tell Congress that the Federal Reserve is back to electronically creating money out of thin air to throw at a liquidity problem (of an, as yet, undetermined origin) on Wall Street. And be sure not to mention that the Fed’s balance sheet has shot up in a period of just 42 days by $253 billion. And, of course, don’t remind Congress that before the last Wall Street crisis was over the Fed had secretly, with no oversight from Congress, piled up a $29 trillion tab to bail out Wall Street — a fact it fought years in court to keep under wraps. On September 4, 2019, the Fed’s assets on its balance sheet stood at $3.761 trillion. As of October 16, that figure is $4.014 trillion, edging closer to the $4.5 trillion peak it reached in 2015 following the … Continue reading →