RUSH: Willie in Cuba, Missouri. Great to have you on the program. Hi.
CALLER: Thank you, sir, and mega truck-driving dittos. I had a question on this $85 billion a month that the Obama administration’s putting in our stock market.
CALLER: There’s gotta be a brokerage house running that for ’em. How much money are they making, who are they, and how much of it goes back to the Democrats in the political season?
RUSH: Yes. Those are all fascinating questions. You know, off top my head I can’t tell you the route the money takes, because the money… Do you know what I mean when I say they’re digitizing it? They’re not actually printing it. They’re just changing the number in a spreadsheet at wherever. They’re just arbitrarily adding dollars. They’re not physically printing money.
CALLER: Yes, I understand that.
RUSH: Okay. So I don’t know the route that actually takes, if it’s just one brokerage house or a number of them.
CALLER: Yeah, ’cause that’s gonna be a lot of money. Just 1% would be $85 million a month, so somebody’s making a fortune on that, ’cause I know the fees are usually a little higher.
RUSH: Well, there’s no question there are a lot of people making a fortune on it. They’re making a fortune on it after it’s invested in certain securities and so forth.
RUSH: Your suspicions are valid, and the Fed announced just yesterday they’re gonna continue QE3 ’til the end of December, at least, which means the economy can’t survive on its own.
CALLER: Oh, right, or at least they don’t think it can.
RUSH: They don’t think it can, right. The bottom line is, you’re not seeing any of that money and neither is anybody else outside of the, quote/unquote, “investment community.”
RUSH: Now, how far that extends, who knows? You know, Goldman Sachs… Not Goldman Sachs.
Jamie Dimon, JPMorgan Chase. Jamie Dimon’s the CEO and he is under investigation for something. He requested a meeting with the attorney general and got it, and everybody said, “What the hell is this? Who under investigation gets a private meeting with the prosecutor?” Then when you add to it, what are the odds that when this regime is ended, where is Eric Holder gonna go? Where do you think Eric Holder’s gonna go? Do you think Eric Holder’s gonna become a Wall Street lawyer? I do. And what happens to a Wall Street lawyer? He’s gonna make lots of money. That’s gonna be one of his payoffs.
There’s some people saying, “Well, how in the world did Jamie Dimon finagle this?” A private meeting with essentially the prosecutor, the attorney general, when I think he’s subject to fines right now of, what is it, billions or millions? Yeah, it’s 12 or 13. I just don’t remember what the size of the fine is. But what’s actually happening is that he’s being shaken down, like all these other big mortgage banks, they’re gonna have to — (interruption) Billion, did you say? With a B? Okay. So JPMorgan Chase is being shaken down $13 billion, and he has a meeting with Holder. He asked for it and got it, and that’s just the latest one.
But this is the shakedown, this is how these guys are all having to pay off or give something in order to stay liquid, viable, if you will. It’s such cronyism. It’s way above our pay scale, folks. It’s way above that. But Willie here is exactly right. He wants to know, okay, they’re pumping $85 billion a month essentially into securities, quantitative easing, spending. That’s why Wall Street continues to skyrocket when the rest of the economy is stagnant, and it’s a legitimate question. Who’s getting that money and how do they get it? And where’s the commission on that money, who’s getting the 1% fee for this? They’re all legitimate questions. Willie, we will endeavor to find out.
But a lot of these banks, BOA, Citi, Wells Fargo, have all had to pay fines in the tens of billions of dollars. Going back to the subprime mortgage crisis. They do it, they pay off to get the government off their back. It’s almost exactly like the way the subprime thing started. “You will make these loans to people who cannot afford them, pay em’ back, or we will investigate you.” That’s what Janet Reno told ’em back in the nineties, and that’s how it all got started. And then they keep recycling these penalties. It’s a way of getting really rich without having to work, is what it boils down to, something the left has perfected, folks.
RUSH: Folks, this whole QE3, QE infinity, this whole arrangement, you could almost characterize it as blackmail, in a sense. Let’s look at Jamie Dimon, who runs JPMorgan Chase. In the financial crisis they took over, I think it was Countrywide and Bear Stearns, to keep them from going belly up, like Lehman Brothers did. The government were content with Lehman Brothers going south because apparently a lot of people didn’t like Dick Fuld. After that they wanted to save these things. Jamie Dimon, they go in there, and he takes over Countrywide and Bear Stearns under the premise that they’re saving the financial markets.
And now Dimon and JPMorgan Chase are facing penalties and fines of $13 billion for supposed violations of mortgage and banking regulations and so forth. Once you take the money, they’ve got you, and they couldn’t refuse it. Paulsen dragged everybody, all these bankers, even the Wells Fargo guy, said, “I don’t need a bailout. I don’t want any money.” Doesn’t matter, you’re coming into that room, and they were not allowed out of that room until they signed an agreement to take, I forget what the amount of money was, but it was bailout money. It was part of TARP, of which there’s still some unspent money, by the way. And remember what a crisis we were told it was.
Because of all of this, a lot of these financial houses said to hell with this, and they’re trying to get out of the mortgage market. And another thing, with all of this QE whatever it is, that’s one of the ways they’re keeping interest rates at practically one half of 1% or 1%. That’s how they’re artificially keeping interest rates low, and lenders can’t make any money at 1%. Mortgage lenders or any other kind of lenders.
So in the midst of this they’re propping Wall Street up with this QE3 business and you watch. The next time the Fed meets and if they release the minutes of the Fed meeting and if there’s any talk that’s reported about QE whatever ending, you watch what happens to the market that day or the next day. The bottom will fall out. We’re now creating addicts, financial addicts. And the moment the money is threatened to be taken away it’s gonna be hell to pay.