Daniel B. April 18, 2015 at 10:39am
Short excerpt of link article: On yesterday ''.. Bloomberg terminal outage and to a report that China has expanded its list of stocks available for shorting.....''. In the financial world.. nothing happen by accident.. Be aware. The following info's go hand in hand with Dr Jim Willie past video's
Article Title: IS THE GLOBAL FINANCIAL SYSTEM ON THE BRINK OF COLLAPSE?
April 17, 2015Financial Markets, Gold, Market Manipulation, Precious Metals, U.S. Economyanti-gold terrorism, OTC derivatives, Plunge Protection Team, Reverse Repo Agreement....
The financial news spin-doctors are attributing today’s abrupt sell-off to a report of a Bloomberg terminal outage and to a report that China has expanded its list of stocks available for shorting..... That graph shows the Fed’s Reverse Repurchase Agreement operations with foreign Central Banks and big foreign banks.
A reverse repo is an operation which generally is thought of as being used as a tool to remove short term liquidity from the banking system. However, as you can see from the timing of the first massive spike up, which occurred in early September 2008, it is an absurd notion to think the Fed would have removed liquidity from the system.... No, instead the massive operation was conducted to INJECT Treasury collateral into the global banking system. Treasuries are used as collateral against derivatives positions. It’s in a sense margin collateral for the big boys....
When the value of the derivatives bet declines because the value of the underlying asset declines (think: Greek debt, oil debt), more collateral has to posted. Eventually, the market runs out of collateral and there’s a collateral short squeeze. The use of hypothecation exacerbates the situation by several multiples. Please note that Zerohedge intermittently reports big spikes up in Treasury settlement fails....
Circling back to my postulation that a massive, ongoing derivatives melt-down has started, as the derivatives lose value, more Treasury collateral has to be posted. When the situation becomes extreme, collateral isn’t posted and counterparties begin to fail, especially if the counterparty can’t come up with the cash needed to remedy a derivatives bet gone bad
The reason I believe this explanation is correct, is from the graph above. We know that in 2008 we were told that a big derivatives accident started in Europe and spread to the U.S. Lehman filed for Chap 11 on Sept 11, 2008. We also know that AIG and Goldman experienced a massive counterparty default collapse in September 2008 that was remedied thanks to rather explicit lies circulated by Ben Bernanke and Henry Paulson about systemic collapse if TARP wasn’t approved... A reverse repo can be looked at as tool to remove liquidity from the system OR as a tool to inject Treasury collateral into the system...
The so-called ‘flash crash’ on US bond markets last October and the collapse of the Swiss currency floor in January showed how quickly liquidity can vanish, acting as “a powerful amplifier of financial stability risks.”
LINK: IMF tells regulators to brace for global ‘liquidity shock’ https://uk.finance.yahoo.com/news/imf-tells-regulators-brace-global-142824116.html
I guarantee that the reason for this is unequivocally NOT because the Chinese Government is letting the public short a few more stock issues OR because Bloomberg experienced a widespread terminal outage. But it does go a long way to explaining THIS: http://investmentresearchdynamics.com/is-the-global-financial-system-on-the-brink-of-collapse/
Awake-in-3D > Thanks Daniel, excellent article and an even more legitimate analysis of what happened yesterday. :) I'm not in the "global doom & gloom crowd, however, I believe the old system will collapse under its own weight (real soon) but the new collateral-backed systems will already be engaged and functioning... no massive chaos or human crisis involved.
Dr. Mark April 18, 2015 at 11:54am (From BaNDiTo.RoX with love)
Iraq participates in the annual spring meetings of the International Monetary Fund IMF and the World Bank in Washington, WB
Saturday April 18, 2015
Awake-in-3D April 18, 2015 at 1:46pm The P.P.'s are about to be set free. Follow the Historical Bond Redemptions! The floodgates are opening... :)
LindaR > Awake-in-3D Have we not heard that this has happened already?
Awake-in-3D > LindaR They are in-process... $Trillions just can't be released overnight. There are logistics, verifications and such. :)
Finnick Odair > Awake-in-3D Private placements or prosperity packages?
Awake-in-3D > Finnick Odair Both! :)
Wayne Has anyone heard anything about groups?
Awake-in-3D > Wayne Yes, but can't say anything more. It's all good! :)
[Dinarblessed] poppy3 Millionday: THE MEETINGS THIS WEEK ALSO WHERE TO DISCUSS THE AMOUNT THE USA WILL BE CASHING IN POST RV . THINK ABOUT IT. POPPY3 Millionday: POPPY -- THE UNLIMITED AFTER THE HUGE DEFICIT WE ARE NOW SEEING IN US REPORTS IS HUGE ----
[Dinarblessed] Millionday: SEEMS LIKE WE NEED TO BE BRING BACK SOME OF THOSE REVENUES FROM SOMEWHERE -- MAYBE THE MARKET WILL GET BETTER SOMEHOW -- SMILE
[Dinarblessed] Will be interesting to see how they spin this to the public......
Bailey2: tman23 Article quote: "the oil agreement between the federal government and the Kurdistan region became law and published in the Iraqi Gazette on according to the Iraqi constitution,"
The HCL was contingent on a census and to the demarcation of borders in which Kirkut became the focal point...an oil rich territory that was once under Kurd rule and taken by Saddam... So Maliki argued Kirkut was not part of Kurdistan.....
Under Abadi...he told the Ministers and Governor of Kirkut that the GOI is now recognizing Kirkut as a subsidiary of Kurdistan... A quick fix IMO to get an agreement into law...
The HCL has many details but as far as I'm concerned...the oil agreement between Kurdistan and Iraq was always referred to as the HCL and that agreement now is law in the Gazzette and meeting the CONSTITUTION...IT IS LAW!
xyz] G20 warns of financial volatility risk as central banks diverge >>> The Group of 20 leading economies was set on Friday to warn of a heightened risk of financial volatility as the monetary policies of major central banks begin to go their separate ways.
[xyz] Is US retreating from global economic leadership just when it is needed most? http://economictimes.indiatimes.com/news/international/business/is-us-retreating-from-global-economic-leadership-just-when-it-is-needed-most/articleshow/46969029.cms
[xyz] China says to accelerate reforms to support yuan in IMF currency basket http://www.reuters.com/article/2015/04/18/us-china-yuan-idUSKBN0N906020150418
[xyz] European central banks urge ditching Greek assets, as default fears mount http://rt.com/business/250645-greece-banks-quarantine-eu/
[xyz] The US Treasury Department have indicated their willingness to support the economic programs of the Iraqi government http://translate.google.com/translate?hl=en&sl=auto&tl=en&u=http://www.alliraqnews.com/modules/news/article.php%3Fstoryid%3D2006
xyz] ... meeting was attended by Governor of the Central Bank http://translate.google.com/translate?act=url&depth=2&hl=en&ie=UTF8&prev=_t&rurl=translate.google.com&sandbox=0&sl=auto&tl=en&u=http://www.faceiraq.com/inews.php%3Fid%3D3731245
[xyz] global markets staged a big selloff, in 7 charts http://www.marketwatch.com/story/why-global-markets-are-staging-a-sell-off-in-7-charts-2015-04-17
BigDog-OH] Iraq PM says committed to reforms to attract business...4/18/2015 https://www.dailystar.com.lb/Business/Regional/2015/Apr-18/294869-iraq-pm-says-committed-to-reforms-to-attract-business.ashx