Friday , April 26 2024

No bueno

Summary:
Fed rate increases crushing NPV of system regulatory capital:They are doing the same thing they did in September 2008 ie putting their own Depositories and Dealers into violation of their own regulatory capital requirements…  system is again getting close to failure mode:Bank of America, $BAC, is worried about bond market volatility and says risk of a 'crash' is rising, per CNBC.— unusual_whales (@unusual_whales) October 14, 2022 Why is the Swiss National Bank drawing BILLION USD (last two days) from the swap line with the U.S. FED?! #CreditSuisse @SNB_BNS #Trouble— 🇺🇸Kyle Bass🇺🇦 (@Jkylebass) October 14, 2022 Treasury might have to intervene directly again:THE US TREASURY HAS ASKED MAJOR BANKS WHETHER IT SHOULD BUY BACK SOME US GOVERNMENT BONDS IN ORDER TO IMPROVE MARKET LIQUIDITY.—

Topics:
Mike Norman considers the following as important:

This could be interesting, too:

John Quiggin writes The war to end war, still going on

New Economics Foundation writes Reclaiming our regions

New Economics Foundation writes New Economics Podcast: Why is the benefits system failing disabled people

Michael Hudson writes Jill Stein: Splitting the Pro-Imperial Vote


Fed rate increases crushing NPV of system regulatory capital:


No bueno



They are doing the same thing they did in September 2008 ie putting their own Depositories and Dealers into violation of their own regulatory capital requirements…  system is again getting close to failure mode:





Treasury might have to intervene directly again:




It’s pretty simple … (A-L)/A =  0.07 to 0.08 or thereabouts…     all they have to do is keep it in that range...   8th grade algebra… they are too dumb...

So ok … looks like these Fed dummies are going to again put their own system into violation of their own regulations and deliver another financial disaster for “we the people” …. BUT…. that’s not what I’m most concerned about …. what is more troubling is then all the leftoid Art Degree morons are going to say “capitalism!” or wtf ….

Who is dumber?   THIS is the more important issue…



Mike Norman
Mike Norman is an economist and veteran trader whose career has spanned over 30 years on Wall Street. He is a former member and trader on the CME, NYMEX, COMEX and NYFE and he managed money for one of the largest hedge funds and ran a prop trading desk for Credit Suisse.

Leave a Reply

Your email address will not be published. Required fields are marked *