"It's not the law that drives history, it's money, just money!"
This sentence was said by JP Morgan, and it can only be said by him.
The Morgan family, a family that cannot be circumvented in the United States, breathes with the United States and shares a common destiny.
Put it this way, the history of the Morgan consortium is almost a financial history of the United States or the world.
If the Rothschilds rose to dominate in the 18th century, then the Morgan family can be said to have dominated the 20th century and its influence to this day.
In ancient times, Qin ruled the world, and Yu Lie, the sixth emperor, and the real rise of the Morgan family took only three generations!
< h1 class= "pgc-h-arrow-right" > gold digging youth</h1>
In 1646, a young man named Miles Morgan, out of his yearning for wealth, crossed the Atlantic in a boat and came from England to the United States.
At that time, the gold rush was very hot, and Miles Morgan thought that he would soon become a rich man, but the reality was that he became a farmer of his own, with his back to the loess and facing the sky, running for his livelihood.
Time passed, and then it was his grandchildren: Joseph Morgan.
The young man was very clever, not only to enlarge the family's agricultural products, but also to invest in animal husbandry, so that in 1808, the 28-year-old Joseph successfully became a rich man.
Counting the time, 162 years have passed since his ancestor's wish to be a rich man.
As Joseph Morgan grew richer, he began to be dissatisfied with his achievements in agriculture, the great husband, and the pitching between when for excellence.
So he invested his land and property and got rid of the busy farming.
He then began to test the waters in different areas, such as buying hotels for lending, buying cafes for entertainment investments, and so on.
In these investments, more and less is lost, and gradually he knows that his area of expertise is: finance.
Soon the opportunity came, in 1835, a fire on Wall Street, a company called: Itna Insurance Company lost a lot of public trust because of this fire, and the stock price fell sharply.
At this time, Joseph took the shot, bought a lot of low-priced shares, and finally succeeded in holding and rebuilding the trust between the company and the people.
Then Joseph's son, Genos Morgan, was born, and it was he who brought the Morgan family to the road.
Genos Morgan is intelligent and can endure hardships, and when the US banking industry developed greatly, he made huge profits by speculating on gold, but he knew that through speculation, it was a mirror, and the real money was still industry.
With the help of his father, he became a partner in a textile trading company.
On April 17, 1837, his son John Pierpont Morgan was born, also known as J.P. Morgan.
Ten years later, joseph the elder, 67, died, leaving behind a $1 million inheritance.
Genos Morgan was 34 years old and his son J.P. Morgan was 11 years old, and they were now making great strides toward wealth.
But in fact, the real founder of the Morgan Empire was not a member of the Morgan family, but a man named: Peabody.
Peabody was ostensibly a merchant selling government bonds, but in fact he had deep contacts in Britain, the biggest of whom depended on the Rothschilds.
At that time, the world's financial center was still in Britain, so the Rothschild family at that time was the world's first family.
Because, since napoleon's defeat at Waterloo.
Nathan Rothschild, one of the Rothschild Five, became the british government's largest creditor, influencing the British money supply, and the lifeblood of the British economy was mastered.
Their eyes then turned to the American continent, and soon Peabody received an invitation.
Ask him to be the Rothschilds' secret PR agent, and how can Peabody not agree?
Subsequently, in 1857, there was an economic crisis in the United States, and British bankers threw away all bonds related to the United States, but Peabody took all his wealth and took over a large number of American bonds.
Seeing that he was about to go bankrupt, the Rothschild family control provided him with a credit limit of £800,000.
A year later, the U.S. economy was completely out of the shadow of recession, Peabody's U.S. bonds soared, and he became a rich man!
Unfortunately, although he was rich, he had no heirs, and when he got older, he began to look for an heir!
At this moment, the Genos of the Morgan family came into his sight!
Genos is very particular about business and sincere, so his reputation is very good, so Peabody has a business relationship with him.
After many acquaintances, Peabody decided that the young man would be able to carry forward his career, so he invited Genos to join his company and become a partner.
Fifteen years later, in 1869, Peabody died, and according to his bereaved family, the company was handed over to Genos.
At this time, Pierpont, the founder of the Morgan family, also grew up!
< h1 class="pgc-h-arrow-right" > the beginning of the saga</h1>
Soon after graduation, he made a lot of money by reselling Brazilian coffee, and several subsequent business activities made a lot of money, making him unique for a while.
But it was at this time that Heaven made a joke to him, and in 1862 his wife died of illness, and he did not come out for a year.
In order to get his son out of the shadows, the old father Genos opened a financial company on Wall Street, JP Morgan Trading House, and let him practice his hands, and finally the company became JPMorgan Chase.
Starting with JP Morgan's quotient behavior, Pierpont's golden age arrived.
Manipulating the price of gold, making a fortune in the American Civil War, he entered Wall Street at the age of 30.
It controlled the railroad, cooperated with Carnegie to control the steel industry, and then continued to make war money.
During the Franco-Prussian War, 250 million francs of government bonds were issued for France.
Paraguay War, $75 million.
Boer War, $180 million.
The Spanish-American War issued $110 million in Treasury bonds for Mexico.
This series of operations has made the Morgan family the world's largest financial institution.
By 1879, Genos had slowly retreated to the second line, and Pierpont officially entered the table.
In order to undertake the sale of shares in the New York Central Railroad, Pierpont formed the bank Syndicate (the name of a monopoly organization in economics).
In 1892, carnegie's steel company was acquired for $460 million.
In 1901, it injected $1 billion to establish the U.S. Steel Company, through mergers and acquisitions. It directly annexed more than 700 steel companies in the United States, which was also the world's first billion-dollar company.
By 1910, the U.S. Railroads had merged, with six major systems, four under the control of the Morgan family.
In the early 20th century, the Morgan family controlled 38 percent of U.S. financial capital, 65 percent of the insurance industry, and more than $30 billion in total, and more than $51 billion in indirectly controlled assets.
With that said, the Morgan family controlled a quarter of the nation's businesses at the time!
In addition to controlling the enterprise, Pierpont also repeatedly turned the tide, helped the building to fall, and helped in the US economic crisis.
<h1 class="pgc-h-arrow-right" > turn the tide in an economic crisis</h1>
In 1890, in order to reduce the outflow of gold, the United States tried to replace the gold standard with silver, but the Europeans did not recognize it, so four years later, the Us gold reserves were reduced to $100 million.
In desperation, U.S. President Cleveland asked Pierponte for help.
With the help of Morgan's sprawling bank Syndicate, the United States managed to restore gold reserves to growth.
The price the state paid was that when a general strike broke out in the enterprises under Morgan's control, the president actually allowed the army to intervene and quell the strike.
Of course, after this incident, people were worried about the size of the Morgan family, and in 1896, Pierpont was specifically questioned.
Someone asked, "If you're really just trying to avoid a financial crisis for the United States, why don't you let other companies do it?" ”
Pierponte dismissively said, "They won't, only me." ”
By the beginning of the 20th century, the U.S. economy in the United States was once again soaring.
Between 1902 and 1907, U.S. power generation more than doubled from 4.8 billion kWh to 10.6 billion kWh.
Between 1905 and 1907, the United States built 25,000 kilometers of railroad, used 8.6 million tons of steel rails, and produced 20,000 steam locomotives and 690,000 carriages.
Between 1900 and 1907, world automobile production increased from 7,000 to 84,000.
The boom spurred demand for money, and many inferior companies began issuing shares for profit.
In 1906 alone, overseas capital invested $500 million in the United States, equivalent to $120 billion today.
Such a huge demand for capital has given birth to a kind of financial institution: trust and investment companies.
Trust companies back then were the same as investment banks today, and they were unregulated.
In 1906, about half of New York's bank loans were collateralized by trust companies, and the investment direction was high-risk stock markets and bonds!
But the bubble would eventually burst, followed by the Boer War and the Russo-Japanese War in Europe.
Subsequently, Interest Rates were raised in General European Countries, resulting in a large repatriation of gold capital.
In 1906, another super earthquake occurred in San Francisco, the United States, and many capital entered the field of reconstruction, which led to a shortage of cash flow in New York!
This leads to a chain reaction.
In June 1907, the issuance of New York City municipal bonds failed.
In July, the copper trading market collapsed.
......
By September, the stock market had fallen 25 percent, followed by a failed Nick Burke Trust and Investment Company acquisition plan in October, leading to a run that began and bank liquidity stagnated.
On October 24, the stock market trading volume was almost non-existent, followed by the bankruptcy of more than 300 banks and credit institutions, the collapse of more than 30 railway companies, and the bankruptcy of more than 20,000 enterprises.
Pierponte was 70 years old.
At the request of the U.S. government, he agreed to the bailout.
First mobilized $30 million to save the New York Stock Exchange, and then used its own syndicate and other financial institutions to prepare a total of $1.4 billion in bailout funds.
At the end of November 1907, the panic gradually decreased, and the economic order stabilized!
But even so, the destructive power of the crisis is still staggering, with five or six million unemployment, unprecedented, and under the linkage of finance, the major capitalist industrial powers have been cried.
This led them to dump goods on the colonies in order to deflect the crisis, thus aggravating the contradictions between Britain, Germany and France and Germany, and the First World War began to be conceived.
Subsequently, J.P. Morgan was recorded in history for his legend of coping with the national financial crisis with the power of a private banker, and it also became the brightest moment of his life!
But J.P. Morgan knew very well that he was old, and he knew that the dissatisfaction with him in society had reached a certain level.
So he retreated and proposed that 12 reserve banks form a Federal Reserve to regulate the financial order.
< h1 class="pgc-h-arrow-right" > legend died, but the glory was continued</h1>
Six years later, Pierpont, the god of finance of a generation, died, and a year later, the U.S. Federal Reserve System was born, and the stability of the financial system was strengthened.
After J.P. Morgan's death, his personal wealth was only 68.3 million US dollars, and 50 million were calligraphy and painting relics, etc., which looked small on the surface, but the hidden wealth of the financial empire he built was the real wealth of the country!
He was succeeded by his son, Jack Morgan, who, though not as dazzling as he was, was a good shogunate, and even joined forces with DuPont in 1929 to acquire a 60 percent stake in General Motors.
In the same year, when the Stock Market Crash broke out again in the United States, the Morgan family once again successfully rescued the market with the Federal Reserve!
In 1935, the American strongman Roosevelt, at the request of the people of the times, imposed restrictions on trusts, and morgan companies were forced to split into JPMorgan Chase (commercial bank) and Morgan Stanley (investment bank).
But the glory of the Morgan family is still there, and I don't know when there will be a J.P. Morgan-like figure.