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Politics : Formerly About Advanced Micro Devices

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To: Road Walker who wrote (425051)10/12/2008 11:32:56 AM
From: tejek  Read Replies (1) of 1576396
 
re: Active efforts are underway to develop stronger netting, clearing and settlement arrangements for certain derivatives, in particular the notional trillions of credit default swaps, the absence of which has contributed to uncertainty and large demands for scarce collateral.

I would like to hear more about that....


I think he's talking about central banks acting as a backup to their banks. Even though we don't know exactly what constitutes those derivatives, central banks have to be willing to provide some sort of guarantee.......it could be as little as $.30 on the dollar.......that becomes a standard to which everyone can refer when talking about these derivatives. At least I think that's what he means there.
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