JP Morgan takes on role of rate fixer

Zero Hedge reporting that the CEO of JPM has been assigned to the key posts across the Swamp that determine the rate Congress pays.  Republicans are setting up for a debt deluge.

 Jamie Dimon gets first peek at the double sided Black-Scholes option price, I think it runs on his office computer now.  The way it works is simple, as expenses get passed, they are dropped in the pit as a pre-debt, offering.  The participants respond with pre-ask. It is a little like libor fixing, but more efficient.  The bid/ask trees determine prospective rates, but it is forced back below 2.5%,, it is price fixed. When the budget is not being met, then it is JPM and team back to Congress for some insider deals. It works, there is really no other way given the magnitude of yuge Republican deficits, past, present and future.

 “Jamie is one of the most accomplished business leaders in America,” Oberhelman said. “He is a strong and positive force for sound economic policies and the need for a diverse and skilled workforce. His depth of understanding and optimistic vision of America’s future make him exactly the right person to lead Business Roundtable to work with the new Administration and Congress.”