Derivatives notionals just started to top, which means
the bulk of the BK is still ahead of us, as bad as 2008 has
been. Very hard to time,
as usual. So far only a fraction of the gambling universe
(hedge funds) is gone with the wind. I would expect 98-100%,
for both derivatives and the gambling universe. The bulk
of this universe will disappear this year. Before this
is over with, I'd be surprised if these financial instruments
still exist. That
gambling universe will sure make it difficult with the BK
moves, as they can both go long AND short. We'll see
wild moves. We did not have an outright collapse of the
financial system SO FAR entirely thanks to the World Fed -
US authorities, and others, injected obscene amount into this Ponzi
scheme, 8-9 Trillion for US alone. Yes, that much. It effectively shifts
blown up derivatives on US Fed's balance sheet. This,
of course, undermines the dollar in a big way. If
the dollar is compromised and tanks hard, expect 500 Trillion
in interest rates swaps to blow up, and a wipeout of the
global Financial system.
Message 25311385
The financial crisis of 2008 was ALL ABOUT DERIVATIVES.
This is why obscene amounts from the Fed and the treasury
did not work to save the bubbles, this time! |
