"Nah, it's all [political] posturing."—Hedge fund manager
"No concerns on debt ceiling. US market is stable on a relative basis. US Treasury bonds are still bid with 10-year yields back to near YTD lows at $2.91."—Quant from Credit Suisse
"I don't have much clever to add to that area other than the obvious cliche response." — Hedge fund manager
"Obama is very disingenuous continuing to engage in class warfare and attempting to scare the public into thinking that extending the government's blank check is vital to our future financial security."—Economics professor
"Everyone thinks it's gonna get raised. I do too but it's scary when everyone thinks the same thing."—Fund of funds manager
Whether or not Wall Street believes the U.S. might default, Megan McArdle and Business Insider's Joe Weisethal explain that Wall Street is assuming a level of rationality among politicians that just is not there. They assume that politicians are as rational as the market, which is telling them: it's already raised. But politicians are just worrying about how to get re-elected.
Dimon on the other hand, spoke to the importance on this morning's quarterly earnings call. He said:
"It's imperative that the U.S. raise the debt ceiling."
"No debt resolution will cause severe market reaction."
"It is irresponsible to take a chance on a U.S. default."
Another interesting thing Dimon said on JPMorgan's quarterly earnings call: "We have tons of liquidity." Translation: Screw higher capital requirements. (Of course you remember this.)
This story originally appeared on Business Insider
Read more from Business Insider:
Everyone At JPMorgan Just Breathed A Huge Sigh Of Relief
Cantor Says Obama Stormed Out Of Debt Ceiling Meeting, As All Progress In Talks "Erased"
And Now One Of America's Biggest Creditors Is Getting Nervous
JPMorgan Execs Are So Obsessed With Getting Close To Dimon, They Even Have A Chart
