OBAMA & HIS CRIMINAL BANKSTERS' WAR ON AMERICA: The bankers’ budget

The bankers’ budget

UNLESS YOU’RE A LA RAZA SUPREMACIST WITH AN AGENDA OF KEEPING WAGES DEPRESSED WITH HORDES MORE ILLEGALS, YOU HAVE TO BE A BANKSTER TO WORK IN OBAMA’S CORRUPT WHITE HOUSE!

THE REASON WHY OBAMA BROUGHT IN WALL ST’S TIM GEITHNER, BUSH’S ARCHITECT FOR BANKSTER BAILOUTS, WAS TO ASSURE WALL ST. THERE WOULD BE NO CHANGE IN “CHANGE”!
THE REASON WHY OBAMA BROUGHT IN BILL DALEY HAS CHIEF OF STAFF WAS BECAUSE LIKE OBAMA DALEY IS AN ADVOCATE FOR OPEN BORDERS, AMNESTY AND NON-ENFORCEMENT OF LAWS PROHIBITING THE EMPLOYMENT OF ILLEGALS, AND HAS LONG TIES WITH OBAMA’S CRIMINAL BANKSTER BACKERS!
“I’m not here to punish banks!” BARACK OBAMA IN THE FACE OF THE NATION DESTROYED BY BANKSTERS!



The bankers’ budget
5 August 2011
The United States had its political origin in a revolutionary struggle against an entrenched aristocracy. Today, the working class faces a no less determined foe—a parasitic financial elite whose only response to the crisis it has created is ever more draconian attacks on the social conditions of the vast majority of the population in the US and around the world.
At the head of this ruling class stands the Obama administration, which together with the US media and political establishment as a whole is insisting that the $2.4 trillion in cuts contained in the latest budget agreement is only a “first step,” an “initial down payment” in a historic assault on the social rights of the working class, from health care to public education.
The budget cuts were drawn up in continual and close contact with the handful of banking executives who have the ultimate say over policy. In the days leading up to this week’s Congressional vote, White House Chief of Staff William Daley—himself a former JPMorgan Chase executive—and other administration officials were on the phone with bankers and corporate executives from major firms like American Express and Honeywell.
On the eve of the vote in the US Senate, the Wall Street Journal reported, Treasury Secretary Timothy Geithner called JPMorgan Chase CEO Jamie Dimon “to brief him on the final deal.” Geithner well understood that Dimon’s opposition would be a deal-breaker.
Far from caving in to the “extortion” of the Republicans—as Obama’s liberal and “left” apologists have described his actions during this week’s events—the president was acting as the direct representative of the banks when he fashioned the budget-cutting deal.
The two political parties in the United States cannot make any decision of substance unless first ratified by the financial aristocracy. Having spent the last three years emptying the US Treasury to cover Wall Street’s gambling debts from the crash of 2008, Obama sought the approval of the bankers for his plan to make the working class pay.
Pressure from the finance industry—which issued an open letter warning of a calamity if Congress failed to reach a deal—apparently convinced several recalcitrant Republicans to sign on to the last-minute agreement as well. Having done this, however, the financial elite immediately began pressing for far deeper attacks on the working class.
Credit rating agencies Moody’s and Fitch warned that a downgrade of US debt was possible if Congress failed to enact debt-reduction measures quickly. This followed warnings last week by Standard & Poor’s, which said any deal with less than $4 trillion in cuts would jeopardize its rating of US debt.
As concerns over a double-dip recession in the US and the European debt crisis sent global markets plunging—including a 512-point sell-off on the Dow Jones Industrial Index Thursday—financial analysts and media pundits developed a new narrative. Concern that Washington lacked the “political will” to slash long-standing entitlement programs was exacerbating “market uncertainty.”
Commenting on the market sell-off, White House press secretary Jay Carney said Thursday the budget deal should send a “reassuring message around the world” that the US government is serious about balancing the budget.
In fact, the new cuts will only intensify the economic crisis, while the slashing of food stamps, unemployment compensation, health care and education will eliminate programs that are more essential for survival than ever.
The Obama administration has now established the precedent that every dollar of increased government debt will be compensated by a dollar of spending cuts. Even if nonmilitary discretionary spending was slashed by one-third by 2021—requiring brutal cuts in Pell Grants, food stamps and other programs—the debt ceiling would have to be raised by $6 trillion, the Center on Budget and Policy Priorities predicted.
It added that the dollar-for-dollar balancing of debt increases and spending cuts “ultimately would require dismantling much of the Great Society and even the New Deal, thereby paving the way for vast increases in poverty and deprivation.”
With millions unemployed and without the prospect of a job, the government at both the federal and state level is moving to cut unemployment benefits. Deliberately left out of Obama’s budget deal was an extension of federal benefits for the more than three million long-term jobless workers who could see their only source of income disappear in early 2012.
In one sign of the social crisis, the number of Americans on food stamps rose to an all-time high of nearly 45.8 million—or 15 percent of the US population—in May, according to a new report by the US Department of Agriculture. Unemployment, wage cuts and other economic factors led to a 12 percent jump in food stamp usage from a year ago and a 34 percent rise from May of 2009.
As consumer spending and wages fall, the New York Times reported Thursday that sales of luxury goods to the wealthy are approaching pre-recession levels. The Times reported the sale of luxury goods—including $1,650 Crème de la Mer facial creams, $2,495 Louboutin suede boots, $11,950 Gucci coats and $200,000 Mercedes Benz sedans—increased 11.6 percent in July, the biggest monthly gain in more than a year.
The resumption of such excess is chiefly the product of the rise on the stock market, after the Obama administration’s bailout made the bankers whole and provided the wealthy with virtually free credit. Even after this week’s sell-off, the Dow Jones has risen by 80 percent from its low in 2009.
The financial elite presides over an economic system, capitalism, which is dedicated to one principle: the defense of the wealth of the ruling class and the profits of the banks and major corporations.
The events of this week make clear that the international working class faces the prospect of depression and continual attacks on its basic social rights. As the consequence of the budget cuts begin to be felt, and under the weight of unending economic crisis, the working class will begin to fight back.
The Socialist Equality Party rejects the entire framework of the official discussion of deficit-reduction. The claim that there is “no money” to fund social programs is a lie. The richest one percent in the US controls a greater proportion of the national wealth than ever before.
Corporate profits and CEO pay have already outstripped their pre-crash levels. The problem is not a lack of money, but the irrational and socially destructive subordination of human needs to the accumulation of vast personal wealth by a parasitic elite.
Workers are not responsible for the crisis. The SEP calls on workers and young people to reject all demands for “sacrifice” and mobilize their immense social power to stop the budget cuts and defend their social rights.
We insist that any resolution to the crisis must take as its starting point the expropriation of the wealth of the financial aristocracy and a break of its grip over economic life. The vast sums of money monopolized by this layer must be seized and put to the use of society as a whole.
A restructuring of society to meet social need is not possible without the working class taking control over the main economic forces. This means the transformation of the banks and major corporations into publicly owned industries under democratic control, as part of the socialist reorganization of the economy as a whole.
Such a program can only be achieved through a political struggle. The government of the banks, upheld by the Democrats and Republicans alike, must be replaced by a government of the working class.
In order to wage a struggle against the savage cuts being prepared, the working class must break decisively with Obama and both corporate-backed parties and take up the fight for socialism. We urge workers and youth to join the SEP and build it as the new revolutionary leadership of the working class.
Jerry White
WSWS.ORG get on their free E-NEWS!
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“I’m not here to punish banks.” BARACK OBAMA FROM THE FLOOR OF THE SENATE IN THE FACES OF THE AMERICAN PEOPLE… IT MAY BE THE ONLY HONEST THING HE EVER SAID!
http://mexicanoccupation.blogspot.com/2011/07/wells-fargo-profits-soar-for-this-la.html

THE BANKSTERS LOVE OBAMA, THAT’S WHY THEY INVESTED IN HIM MORE THAN EVEN GEORGE BUSH!

NOW AS THE BUDGET DEALS ARE HAMMERED OUT TO SEE WHO WILL PAY FOR THE RAPE AND PILLAGE OF THIS NATION BY WALL ST AND THESE BANKSTERS, PROFITS ARE SOARING.
WELLS FARGO IS ONE OF THE BIGGEST CRIMINAL BANKSTERS IN HISTORY.
THIS BANK HAD THEIR CA MORTGAGE LICENSE REVOKED IN 2003 FOR CORPORATE FRAUD AND MALFEASANCE. THAT’S RIGHT, WELLS FARGO HAS NO CA MORTGAGE LICENSE!!!
WELLS FARGO SIMPLY DECLARED ITSELF ABOVE THE LAW AND WENT ON FUCKING OVER A NATION WITH THEIR SHADY MORTGAGE DEALS WHICH HAVE DEVASTATED COMMUNITIES ALL OVER THE NATION.
IT’S HARDLY WELLS FARGO’S ONLY CRIME.
WELLS FARGO ARE BANKSTER TO THE MEXICAN DRUG CARTELS, AND MAJOR DONORS TO LA RAZA, THE MEXICAN FASCIST PARTY OF AMERICA.
WELLS FARGO IS THE BIGGEST FINANCIERS FOR PAY DAY LOAN SHARKS.
WELLS FARGO WAS GOOD AT HANDING OUT MORTGAGES TO ILLEGALS USING FRAUDULENT DOCS AND STOLEN I.D., KNOW THAT IT WOULD BE THE AMERICAN PEOPLE THAT WOULD REWARD THIS CRIMINAL BANK.
NOW NEARLY THREE YEARS INTO OBAMA’S CORRUPT PRESIDENCY, NOT ONE BANKSTER HAS GONE TO PRISON… IN FACT BANKS LIKE WELLS FARGO ARE MAKING MASSIVE PROFITS FUCKING OVER THE NATION STILL. THEY CAUSED A NATIONAL MELTDOWN IN FORECLOSURES AND ARE PROFITING FROM THEM ON THE OTHER SIDE!
YOU CAN THANK SEN. DIANNE FEINSTEIN. SHE’S LONG BEEN OWNED BY WELLS FARGO AND BANK of AMERICA. BOTH BANKS KNOW A GOOD PAID WHORE WHEN THEY SAW FEINSTEIN, AN OBAMA DONOR AND ONE OF THE MOST CORRUPT POLITICIANS IN U.S. HISTORY!

Wells Fargo posts record quarter profit of $3.73 billion, topping Wall Street view
By George Avalos
Oakland Tribune
Posted: 07/19/2011 04:57:48 PM PDT
Updated: 07/19/2011 05:24:54 PM PDT


Wells Fargo reported record earnings Tuesday, but confronted by an erosion in revenue, the giant bank disclosed it has embarked on a cost-cutting push likely to eliminate jobs.
San Francisco-based Wells Fargo earned $3.73 billion in the second quarter, up 29.5 percent from the year-ago quarter. The bank's per-share profit was 70 cents, better than analysts' expectations of 69 cents.
The bank's top executive, though, expressed concerns about the economy.
"The economic recovery continues to be slower than expected," CEO John Stumpf said.
As a result, the bank told analysts during a conference call that it is pushing ahead with an initiative titled "Project Compass."
The bank hopes to reduce expenses by $1.5 billion, or 12 percent, by the end of 2012 through the effort.
"It makes a lot of sense to focus on cost reductions," said Walter Mix, a director with Emeryville-based Berkeley Research Group, a consulting and analysis firm.
That's because revenue has begun to slump at Wells.
The bank generated revenue of $20.39 billion in the second quarter, down 4.7 percent from a year ago.
"Wells Fargo is ahead of its peers in recognizing that expense control might be the only way to combat revenue weakness in the near term," said Shannon Stemm, an analyst with Edward Jones.
In addition, the bank set aside $1 billion less in reserves to cover loan losses. That release contributed to the profit total. Wells

has been releasing money from reserves since the second quarter of 2010.
"Our business fundamentals were strong with increased revenues, loans and deposits, lower operating costs, improved credit quality and higher capital levels," Stumpf said.
Bank officials acknowledged that focusing on reducing expenses could lead to job cuts.
"We expect there will be some job reductions as a result," said Holly Rockwood, a Wells Fargo spokeswoman. "But we don't have a staff reduction target." The bank has more than 18,000 employees in the Bay Area.
The bank has consolidated its automobile business and reorganized its wealth management operation. Wells also had eliminated jobs from its Wells Fargo Financial stores, had exited the reverse-mortgage business and announced the sale of H.D. Vest Financial Services.
Despite the fears over revenue, analysts embraced the overall quarterly results.
"The report looks great," said Karen Dorway, president of Bauer Financial, a banking analysis firm. "It's encouraging to see improved profitability."
The bank has so far dodged the obstacles presented by the dreadful economy in California.
"Wells Fargo has been very prudent in how it has managed its business, despite being in California," said Michael Yoshikami, chief investment strategist with Walnut Creek-based YCMNet, an investment firm. "They have done the best they possibly could to live with the reality of the real estate market."
Contact George Avalos at 925-977-8477. Follow him at Twitter.com/george_avalos.
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TWO OF DIANNE FEINSTEIN’S BIGGEST DONORS ARE WELLS FARGO and BANK of AMERICA. IS THIS WHY SHE VOTES FOR ANY AND ALL THAT WOULD KEEP THE BANKSTERS UNREGULATED AND PUT NO STRINGS BAILOUTS IN THEIR GREEDY CORRUPT POCKETS???
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Wells Fargo paying record
fine of $85 million over
alleged loan practices
By George Avalos
Contra Costa Times

Posted: 07/20/2011 10:48:00 PM PDT

Updated: 07/21/2011 07:05:53 AM PDT
Wells Fargo agreed to pay a record $85 million fine
amid allegations that the bank steered customers
into more costly loans and falsified information in
mortgage applications.

San Francisco-based Wells Fargo didn't admit
wrongdoing in its settlement with the Federal
Reserve.

The settlement also requires Wells Fargo to
compensate affected borrowers. The number of
people who may have been harmed could exceed
10,000.

"The $85 million civil money penalty is the largest
the Federal Reserve Board has assessed in a
consumer-protection enforcement action," the Fed
said in a prepared release.

"We are glad to see the federal government
becoming more active on these sorts of things," said
Bruce Mirken, a spokesman for the Berkeley-based
Greenlining Institute. "It's encouraging that this sort
of thing is getting attention."

"The alleged actions committed by a relatively small
group of team members are not what we stand for at
Wells Fargo," Wells Fargo Chief Executive Officer
John Stumpf said in a prepared release.

The bank promised to work closely with the Fed in
the ongoing efforts to remedy the alleged
mistreatment of borrowers. The alleged actions
occurred at Wells Fargo Financial, a now-defunct
unit of the bank.

Wells Fargo Financial sales personnel steered
borrowers who were potentially eligible for prime
interest rate loans into loans at higher, subprime
interest rates, resulting in greater costs to
borrowers, according

to the allegations outlined by the Federal Reserve.

In addition, according to the allegations, Wells
Fargo Financial employees falsified information
about borrowers' incomes. The purpose, the Fed
alleged, was to make it appear that the borrowers
qualified for loans when they would not have
qualified based on their actual incomes.

Wells Fargo Financial was closed in July 2010, a
move that erased 3,800 jobs at the bank. Wells also
disclosed at the time that it had ceased making
subprime loans.
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WELLS FARGO IS BANKSTERS TO THE MEX DRUG CARTELS.
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“Wells Fargo, for instance, which has leeched $25 billion in bailout money, bought an inadvertently hilarious full-page ad in The Times to whine about the junkets to Las Vegas and elsewhere it was forced to cancel because of public outrage.” --- Maureen Dowd, NTimes

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Lou Dobbs Tonight
Monday, November 12, 2007

Mortgage giants Wells Fargo and Bank of America are accused of slapping dubious fees on homeowners struggling to save their homes. With fewer new mortgages being written, these
companies appear to be leaning on these lucrative fees to stay profitable—with devastating consequences for homeowners. We’ll have that report.
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WALL STREET’S RAPE AND PILLAGE OF A NATION… and it ain’t over!

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http://mexicanoccupation.blogspot.com/2011/07/more-than-5-million-households-had.html

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More than 5 million households had their wealth wiped out since 2005
By Andre Damon
28 July 2011
The typical US household lost 28 percent of its wealth during the economic crisis, with one third of these being totally wiped out, according to a recent analysis of Census Bureau data carried out by the Pew Research Center, “Wealth Gaps Rise to Record Highs Between Whites, Blacks and Hispanics”.
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http://mexicanoccupation.blogspot.com/2011/06/assault-on-america-by-obama-his.html
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http://mexicanoccupation.blogspot.com/2011/06/obama-geithner-working-hard-for-wall-st.html
OBAMA SELLS OUT THE AMERICAN PEOPLE BY ORDER OF HIS WALL ST PAYMASTERS, AND CRIMINAL BANKSTER DONORS

http://mexicanoccupation.blogspot.com/2011/05/white-house-unveils-corporate.html
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http://mexicanoccupation.blogspot.com/2011/05/obama-red-carpet-addicted-reigning.html
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http://mexicanoccupation.blogspot.com/2011/06/obama-his-banksters-their-concerted.html
That's worth thinking about carefully, especially as we continue to let bankers off the hook by trimming the already inadequate budgets of the agencies that regulate them and shying away from restructuring the largest financial institutions in ways that would better protect consumers. Bankers will undoubtedly continue to push the story line that they are funding innovation. The question is whether it's the kind that's real or the kind that's synthetic.

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Monday, Apr. 04, 2011
Wall Street: Aiding the Economic Recovery, or Strangling It?
By Rana Foroohar
Ever wonder how investment bankers, a breed known in the past more for its social skills and golf handicaps than for its mathematical prowess, ever invented products like those crazily sophisticated, synthetic collateralized debt obligations that brought down the financial system? Well, they didn't. They hired rocket scientists to do that — a whole lot of them. In fact, Wall Street hires more math, engineering and science graduates than the semiconductor industry, Big Pharma or the telecommunications business. As one mathematician-turned-trader friend recently put it to me, why should he work on new high-tech products at Bell Labs when he could make five times as much crafting 12-dimensional models of the stock-buying and -selling behaviors of average Joes for a major global-investment house, which could then turn around and make massive profits by betting against those very patterns?