The total value of derivatives held by the four largest investment banks in New York City is $600 trillion. The total output of the whole world is only $65 trillion a year.
The four “Too Big To Fail” banks are JP Morgan, Citigroup, Chase and Goldman Sachs (and you thought Goldman Sachs went belly up after the financial meltdown? They’re stronger than ever!).
(The above photo is billionaire Henry Paulson, Treasury Secretary at the time of the financial meltdown. He was CEO of Goldman Sachs before moving to the Treasury Department. He sold his stock in the firm for $600 million at that time “to avoid conflict of interest.” A year later those stocks would have been worth zero.)
Derivatives are not stocks or bonds or cash or anything of any value whatsoever. Their connection to real solid currency is so far removed that they make monopoly money look like hard cash.
The concentration of derivatives in these four banks has increased since the financial crisis to 96% of all derivatives. Why we call them too big to fail I don’t rightly know.
If their whole net worth is based on paper mache, water and glue – what will happen if they fail?
I know for sure what will happen if they don’t fail. They’ll continue to suck value out of everything on planet Earth until they own everything ten times over.
Doh! They already own everything ten times over. The whole world could give these four banks everything we produce for the next ten years, and we’d barely break even.
Want to know where the money came to bail out Greece, Spain, Ireland, France and Portugal?
These four banks loaned $250 billion to France and Germany – which Germany and the European Union as a whole, in turn, loaned to Greece et al.
What a racket.
