Best of the Week
Most Popular
1.The Trump Reset, US Empire's Coming Economic, Cyber and Military War With China (2/2) - Nadeem_Walayat
2.Now Is the Time to Buy Gold - 5th Jan 17 - John Grandits
3.CIA Planning Rogue President Donald Trump Assassination? Elites "Manchurian Candidate" Plan B - Nadeem_Walayat
4.The Trump Reset - Regime Change, Russia the Over Hyped Fake News SuperPower (Part1) - Nadeem_Walayat
5.Most Popular Financial Markets Analysis of 2016 - Stock Market Crash Postponed Again - Nadeem_Walayat
6.No UK House Prices Brexit Crash 2016 Despite London Weakness, Forecast 2017 - Nadeem_Walayat
7.President Trump Understands the NSA, CIA... LIE, America's Intelligence Agencies Crime Syndicate! -Nadeem_Walayat
8.President Donald Trump's 2017 New Year Message, BBC Fake News, Was 2016 a Dream? - Nadeem_Walayat
9.Major Stocks Bear Market Still Looms - Zeal_LLC
10.Biased 2017 Forecasts - Debt, Housing and Stock Market (1/2) - James_Quinn
Last 7 days
The Trump RESET Starts on US Presidential Inauguration Day 2017 - What to Expect - 20th Jan 17
Will the CIA Assassinate Rogue President Donald Trump Like JFK? - 19th Jan 17
Bonds, Dollar, Stocks, Gold, Silver Major Markets at Turning Points - 19th Jan 17
Populism; the Danger? What About Debt? - 19th Jan 17
Gold Price 50-DMA Breakout - 19th Jan 17
Turkey, 'Axis of Gold' and End of US Dollar Hegemony - 19th Jan 17
The Most Important Market Chart on the Planet - 19th Jan 17
Trump Deficits Will Be Huge - 19th Jan 17
Stock Market Trading Patience Pays Off with CHK Using Momentum Reversals - 19th Jan 17
Gold - How to "Buy Low and Sell High" Like a Pro - 19th Jan 17
State of the Global Stock, Financial and Commodity Markets Report 2017 - 19th Jan 17
The Hunt for Russia's Next Enemy - 18th Jan 17
Returning Gold Bulls - 18th Jan 17
Biotech Breakthrough Could Create A $11.4 Trillion Opportunity - 18th Jan 17
Bitcoin and Gold - Outlook, Volatility and Safe Haven Diversification - 17th Jan 17
Stock Market Uptrend on Borrowed Time - 17th Jan 17
The One Stock to Retire On - 17th Jan 17
Trump anti-Communist Counter Revolution - 17th Jan 17
US Stock Market Update as the Trump Inauguration Approaches - 17th Jan 17
The American Crisis - Common Sense 2017 - 17th Jan 17
Obama Leaves, Hope Arrives, Will Stupid Stay? - 17th Jan 17
Damage Inflicted by Precious Metals Manipulation Is in the “Multi Billions” - Keith Neumeyer - 17th Jan 17
Gold Price Forecast 2017 Update - Video - 17th Jan 17
The Story of the U.S. Regime Change Plan in the Philippines - 16th Jan 17
Gold Price 2017 Trending Towards $1375 as Forecast - 16th Jan 17
'Deep State' CIA Director States We are Not NAZI's, Warns Trump Does Not Understand Russian Threat - 15th Jan 17
UK House Prices Forecast 2017 - Crash or Bull Market? - Video - 15th Jan 17
SPX Stocks Bull Market Update - 14th Jan 17
President Trump vs the Deep State that Hides in Plain Sight - 14th Jan 17
The Impact of Sir Alex Ferguson's Retirement on Man United's Share Price - 14th Jan 17
What Can Stock Market Tell You About Politics? - 13th Jan 17
Big Gold Buying Coming 2017 - 13th Jan 17
A Bullish Case for Gold 2017 - 13th Jan 17
Will Stocks Bull Market Continue to Charge or is it Time to Sell the News - 13th Jan 17
Gold and Silver Off To Shining Start to 2017 - 13th Jan 17
Gold’s Fundamental Outlook for 2017 - 13th Jan 17
Is trading stocks and shares just as luck-based as roulette? - 13th Jan 17
Trump CIA Like Nazi Germany - Fake MI6 Intelligence leaked to Fake News Mainstream Media - 13th Jan 17
USD in Decline. SPX and TNX May Follow - 12th Jan 17
CIA War On Trump - Leaks Fake MI6 Intelligence to Fake News Broadcast Media - 12th Jan 17

Free Instant Analysis

Free Instant Technical Analysis


Market Oracle FREE Newsletter

State of Global Markets 2017 - Report

Jamie Dimon, Mr. JP Morgan as Treasury Secretary?

Politics / US Politics Jul 06, 2011 - 04:40 PM GMT

By: Dr_Jeff_Lewis

Politics

While news of Timothy Geithner’s exit from the Administration as Treasury Secretary reverberates throughout the political spectrum, Jamie Dimon, CEO of investment bank JP Morgan, is quickly becoming the new leader in the race for this unelected position.


There is very serious concern surrounding Jamie Dimon’s appointment as Treasury Secretary.  Should he be the next in line for the very powerful position, it would confirm once more that it is Goldman Sachs and JP Morgan that call the shots in the White House.  Hank Paulson was a Sachs alumni, and Geithner worked with both Rubin and Paulson, both Goldman alumnus.  Geithner’s toughest decision might have been allowing the failure of Bear, AIG, and Lehman Brothers—all of which could be described as investment banking operations—while allowing JP Morgan and Goldman Sachs to avoid failure on the public’s dime.

Tangling Business and Government

Jamie Dimon is an interesting example of a future Treasury Secretary.  He served as CEO at Bank One—a subprime lender all its own—before going to JP Morgan and buying out his previous employer.  During this time, he also spent time at the Federal Reserve, which would surely enable him to see how the US Treasury, already working in tandem with the private bank, could better funnel cash from Main Street to Wall Street.

Dimon is well adjusted to a position in government.  A Democrat and well-known in Chicago’s political circles, he’s also very close to Geithner.  Dimon was among three banking CEOs who have been given near absolute access to Geithner during the events of the financial crisis.

Not Much a Stickler

Politically, Dimon has nothing going for him that Main Street might find alluring, which does help him in his possible role as US Treasury Secretary.  He recently gained fame in standing up to Bernanke, charging the Fed and government both with creating too much regulation that, in his view, would restrict the banks from financing a future American recovery.

Interestingly, that view disagrees with his position just weeks after receiving a Federal bailout.  After receiving $25 billion, JP Morgan Chase announced its interest in a new policy of acquisitions, hoping to suck up smaller, less politically connected banks, just as the firm had done a century earlier.  Lest we forget that it was the original JP Morgan, the man and banker himself, who received millions from the US government to “solve” the panic of 1907.  The banker’s solution, of course, was to buy up every bank that he would let fail.

It’s hard to see why Jamie Dimon won’t become the next Treasury Secretary.  Few people know who he is, only the bank that he runs.  No one will get to vote on the matter, as it is a position for nomination, not election.  And if Timothy Geithner can earn a position in government—in the Treasury, no less—after failing to pay his taxes in full, Dimon’s entrance into the position should be nothing more than a cakewalk.

Whether Dimon will create any lasting change, or have any real influence, remains to be seen.  However, any way you slice the next nomination, you can be sure that the old policies of the Secretaries past will not be going anywhere any time soon.

By Dr. Jeff Lewis

    Dr. Jeffrey Lewis, in addition to running a busy medical practice, is the editor of Silver-Coin-Investor.com and Hard-Money-Newsletter-Review.com

    Copyright © 2011 Dr. Jeff Lewis- All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2016 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Comments

Paul
07 Jul 11, 16:54
one thing

Dimon has one thing going for him that trumps any consideration of competence or even honesty. Its that thing that ensures one particular loyalty keeps control of the planetary purse strings whether it be private banks, the US Treasury or the IMF and World Bank. Everyone knows it, even if they won't say it.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Catching a Falling Financial Knife