Give a man control of the nation's money supply and he cares not who makes the laws. Who sits both on the NY Fed's Board of Directors and is the CEO of its biggest shareholder? His bank's bets are so big they roil the market:
JPMorgan Chase & Co. Chief Executive Officer Jamie Dimon has transformed the bank's chief investment office in the past five years, increasing the size and risk of its speculative bets, according to five former executives with direct knowledge of the changes.
Achilles Macris, hired in 2006 as the CIO's top executive in London, led an expansion into corporate and mortgage-debt investments with a mandate to generate profits for the New York- based bank, three of the former employees said. Dimon, 56, closely supervised the shift from the CIO's previous focus on protecting JPMorgan from risks inherent in its banking business, such as interest-rate and currency movements, they said.
Some of Macris's bets are now so large that JPMorgan probably can't unwind them without losing money or roiling financial markets, the former executives said, based on knowledge gleaned from people inside the bank and dealers at other firms...
JPM's $70 Trillion in derivatives shown in double stacked pallets of $100 bills 1000 ft high stretches several city blocks
JPM's “chief investment office” has more than $350 billion in Treasuries and other holdings:
Since 2007, the value of securities held in JPMorgan's chief investment office and treasury has more than tripled to surpass $350 billion from $76.5 billion, according to company filings. The biggest jump was in 2009, when the company disclosed that the CIO made "significant purchases" of government-backed mortgage securities, asset-backed securities, corporate securities, as well as U.S. Treasury and government- agency securities, according to the filings. […]
The securities portfolio is about $360 billion today, Braunstein said in the conference call with reporters. "That generates earnings for us, and it also balances our interest- rate risk," he said.
Profit, not risk management, guided the purchases, according to the former employees. One of the employees, who previously held a senior executive position at the bank, said Dimon even ordered some of the trades himself.
While Mr. Dimon's CIO desk
drives the market, his FED fuels it by issuing hundreds of billions in currency and
purchasing his Treasuries:
Deep inside the Federal Reserve Bank of New York, the $600 billion man is fast at work.
In a spare, government-issue office in Lower Manhattan, behind a bank of cubicles and a scruffy copy machine, Josh Frost and a band of market specialists are making the Fed’s ultimate Wall Street trade. They are buying hundreds of billions of dollars of United States Treasury securities on the open market...
JP Morgan received $391 billion in secret loans from the FED, which is confiscating America's wealth