If you think the market isn't rigged

1. Dec 24: https://www.reuters.com/article/us-...o-convene-amid-wall-street-rout-idUSKCN1ON0WG

upload_2019-12-29_12-26-29.png


2. Late Sept, 2019: https://www.reuters.com/article/us-...hit-fed-limits-roiling-us-repos-idUSKBN1WG439

https://www.bloomberg.com/news/arti...h-for-fourth-day-as-funding-markets-stabilize

upload_2019-12-29_12-30-25.png


3. December 2019

upload_2019-12-29_12-31-58.png


upload_2019-12-29_12-32-55.png


Quid pro quo. Next step is offloading some bullshit debt to "low- and moderate-income households and neighborhoods", securitizing that, and selling it to the Fed when SHTF. Going to the moon, forever.
 
In each of these cases, the "pro boys" threatened to tank the financial economy.

Ten years ago, I would have said you are nuts, but I think you are correct......and these manufactured crises' seem to occur anytime bond yields start rising meaningfully.....every six months or so, we get some manufactured "crisis" that drives bond yields lower and craters stocks....and then voila, like magic, once the Fed promises that the easy money spigot isn't going anywhere, stocks rip higher.

12 months ago, we were told by Powell that the balance sheet was on "autopilot", and then over the last 4 months the Fed has added the equivalent of $550,000 per day since the birth of Christ to their balance sheet. Really a farce at this point.
 
Quid pro quo. Next step is offloading some bullshit debt to "low- and moderate-income households and neighborhoods", securitizing that, and selling it to the Fed when SHTF. Going to the moon, forever.

Just on time, our friend at CC covers historical deleveraging which points to a roaring 2020s.


You might want to watch this.

I watched this guy. The reality is that this is JPM threatening the Fed showing how they can rape the market if they want. The Fed is stuck.

Rules seldom change for betterment of retail until they jumping out of the windows 30 stories high or killing brokers.

So... Going to the moon.
 
You might want to watch this.
Wow, you watch this guy as well??? :). He has a very good way of presenting information. This is why I started my thread about the repo market a couple of weeks ago. It seemed like a big deal that nobody is talking about. I dont doubt that the FED will fix any problem that needs to be fixed, but the implications of all of this might start to come to the surface.

It's going to get very interesting in the new year.
 
Last edited:
I'm looking at alternative asset classes, I think both bonds and equities are toast. Most systems have limiting factors, some take longer to hit, but no matter how much you push up a variable trying to preserve the system, that variable has diminishing returns.
 
Wow, you watch this guy as well??? :) This is why I started my thread about the repo market a couple of weeks ago. It seemed like a big deal that nobody is talking about. I dont doubt that the FED will fix any problem that needs to be fixed, but the implications of all of this might start to come to the surface.

It's going to get very interesting in the new year.

I am watching him again and I think his conclusion is CORRECT with respect to USD. This "doom vortex" will formalize MMT. The 7 trillion that is supposed to roll over is government BS. There is no way the economists are going to let go of this.
 
Back
Top