Could negative interest rates create an existential crisis for money itself?
JPMorgan Chase recently sent a letter to some of its large depositors telling them it didn’t want their stinking money anymore. Well, not in those words. The bank coined a euphemism: Beginning on May 1, it said, it will charge certain customers a “balance sheet utilization fee” of 1 percent a year on deposits in excess of the money they need for their operations. That amounts to a negative interest rate on deposits. The targeted customers—mostly other financial institutions—are already snatching their money out of the bank. Which is exactly what Chief Executive Officer Jamie Dimon wants. The goal is to shed $100 billion in deposits, and he’s about 20 percent of the way there so far. Continue reading
Coming soon to an America near you:
An Egypt-styled “Arab Spring,” which has put radicals in charge of the government, will be launched in the United States this spring with a war on “corporate power, Wall Street greed and the political corruption of the 1 percent,” according to the group headed by former Obama green aide Van Jones.
Full article: Van Jones group plans American’s “Arab Spring” revolt (Washington Examiner)