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Scorpio

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Seems to me there is something no one is paying attention to,

now sure, everyone jumped or freaked with the fed and the dollar smoked it to the up while metals and crypts got the heave ho

but, the dollar rally was capped, and capped hard, and has done absolutely nothing since. It is as if a bunch of shorts covered, then there was no more buying or momentum.

meaning, if the dollar doesn't catch a bid, and soon, it will go down and metals will be aok.

you can see where it failed again at that 92.50 number

1.png



on the weekly chart, you can see where it ran up to the 50 wma, but has since gone back below,
did get above the 200 dma for a bit, and that was part of the excitement re the buck
and never did scare the 200 wma to give it any real momentum

back in april it took a shot at the 200, and couldn't stick the landing, falling right back under to the lows from the turn of the year
it hasn't been above the 200 wma for a year now

for now, trapped in that range of 89-93 rounded and not really much going on


2.png
 
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Scorpio

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for the lumber boyz

massive all time highs and way overbought,
to now oversold big time and looking for a bounce

but even at that, much higher than all years prior for this time of year,
virtually still double what it normally is

1.png
 
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BarnacleBob

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Keep your eyes on the Burj Khalifa over the next few years ... It's getting set up as a target! JMO
 

BarnacleBob

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Tbonz

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Buffett has now given half of his Berkshire shares to charity, announces resignation from Gates Foundation

The end is near for the Oracle of Omaha. My bet is something is going to be coming down hard on Gates, first the wife ditches his cheating ass and now Buffet doesn't want to be associated with it before his demise.

We are entering a time in our country where there will be a huge shift towards law and order or a big shit.

I'm not optimistic.
 

WillA2

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The end is near for the Oracle of Omaha. My bet is something is going to be coming down hard on Gates, first the wife ditches his cheating ass and now Buffet doesn't want to be associated with it before his demise.

We are entering a time in our country where there will be a huge shift towards law and order or a big shit.

I'm not optimistic.

I think these people are simply taking measures to protect their wealth. Nothing more.
 

BarnacleBob

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The clock is ticking.
Basel III rules
go into effect today.
 

Scorpio

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Tbonz,

will give you something to chew on,

guys like the crook from omaha are tasked as stewards of capital, gates and some of the others,

where their job is to play, do their thing, but as they reach end of function, they have to turn over the accumulated wealth so it can live on and be put to use,

note what is stated, massive billions to a few small entities,
then those entities are 'charities', ie gigantic slush funds for those that play,
where fiat goes to disappear and magically end up in other chosen hands,

that fiat accumulated is then sent out into the world to further other persons careers, projects, what have you

but above all, they aren't really donating anything,
they are returning assets to sender, for future distribution
 

the_shootist

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There's a C5 Galaxy (ex HNL) en route to Brisbane, currently 200km off the coast.

View attachment 216909

I'm not sure I've ever seen one in Australia.
Do you think it's loaded with pallets of cash like Oblowme sent to Iran. What do the Aussies have on Bidet and his Ho that our illegitimate US government wants to keep them quiet about!
 

the_shootist

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Buffett has now given half of his Berkshire shares to charity

Well, we know it's not bug out time yet. If it was Buffett wouldn't have kept any for himself. He would have dumped it all and jumped on a plane to the Antarctic hideaway set up for the elite to ride out the upcoming global events which will be the fruits of THEIR labors over the past 60 years
 

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Tbonz,

will give you something to chew on,

guys like the crook from omaha are tasked as stewards of capital, gates and some of the others,

where their job is to play, do their thing, but as they reach end of function, they have to turn over the accumulated wealth so it can live on and be put to use,

note what is stated, massive billions to a few small entities,
then those entities are 'charities', ie gigantic slush funds for those that play,
where fiat goes to disappear and magically end up in other chosen hands,

that fiat accumulated is then sent out into the world to further other persons careers, projects, what have you

but above all, they aren't really donating anything,
they are returning assets to sender, for future distribution
I agree. There are games afoot.
 

Scorpio

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grains got the heave to today,

corn down 40 and beans down 94, almost a full buck, big move on beans
 

chieftain

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Do you think it's loaded with pallets of cash like Oblowme sent to Iran. What do the Aussies have on Bidet and his Ho that our illegitimate US government wants to keep them quiet about!

Who knows shooty.
 

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grains got the heave to today,

corn down 40 and beans down 94, almost a full buck, big move on beans
NW Ohio wheat is coming off for the last 5 days. Rain called for tomorrow and rest of week so that fast it all came off.
 

Scorpio

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I get the traders going stupid in the short term as they always do,

but little rains a comin' thru here and there doesn't replenish the lakes, rivers, and water tables

going to need some consistent action over a period to make a difference.

but no question, rain is widespread and a good time for the crops
 

WillA2

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The Eastern US is definitely not in a drought. But I don't think enough is grown in the East to offset what's being lost in the Western half.
 

Scorpio

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"When men yield up the privilege of thinking, the last shadow of liberty quits the horizon."
Thomas Paine


so true, everywhere you look,
2 leggahs just parroting nonsense, regurgitating thoughts and propaganda of others,

while having the audacity to claim they are actually using their noggin's

it would be funny if it wasn't so disappointing,
 

TAEZZAR

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chieftain

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Something is happening about 150 miles west of Tiujana, a K35R and a H60 chopper are circling, a DC10 was circling with them about an hour ago.

1625976403697.png
 

Scorpio

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is that where the chemical dumping ground was?

edit, doesn't look like it as that was supposedly up off long beach area
 

chieftain

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They're still at it:

1626136883756.png


Is the search part of some training exercise or has something gone into the drink?
 

Scorpio

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sure must have something on their minds,
 

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Anyone have access to satellite footage real time where the coordinates are?
 

JayDubya

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The Fed Pawns A Trillion Dollars Of The National Debt To Raise Cash​

By Daniel R. Amerman, CFA

Let's say a seemingly very wealthy celebrity living a lavish lifestyle suddenly starts pawning their assets to pay for that lifestyle. Would most people take that as a sign that the celebrity's financial position is not nearly as strong as they want the world to think?

How the Federal Reserve gets the money to fund the U.S. national debt has abruptly changed in the last few weeks. The Fed has effectively "pawned" more than a trillion dollars of its most valuable assets - its ownership of U.S. Treasury obligations - through its use of reverse repurchase agreements, pledging the Treasuries as collateral to get the cash to continue to fund the federal government.

This massive pledging of assets to raise money is occurring with unprecedented size and speed. However, as explored in my prior analysis "Counterfeiters, Con Men, Mass Illusions & Funding The National Debt" (link here), many people are unable to see what is happening because they are "watching the wrong crime drama". There is a popular but mistaken belief that the Federal Reserve is using a printing press to fund the government, with the new dollars simply being printed, or created from nothing with a few electronic keystrokes.

There is indeed an enormous "crime" underway that is being veiled by a mass illusion of sorts, but to see it we need to understand how the national debt is actually funded - which is through a form of debt-based money creation. The Federal Reserve is a bank, and it gets its cash to spend - thereby creating new money - by issuing new debt. Each dollar of growth in the Federal Reserve balance sheet, each new dollar in assets (which is primarily government debt purchased by the Fed), is being financed by the Fed itself borrowing the money and taking on another new dollar in debt, another new dollar in liabilities.

That said, not all new debt is the same. At the May workshop, I warned the participants about a potentially major danger signal to look out for, which would be the Fed moving from reserves-based money creation to using reverse repos as the primary source of borrowing for new money and spending power.

FedBalBIX7.jpg


That move has been in process for the last several months. Effectively pawning the Fed's massive ownership of U.S. Treasuries via reverse repos was always the place to go if the Federal Reserve ran into trouble with its usual sources of borrowing power. The Fed had previously avoided doing that for really good reasons, but the Federal Reserve has indeed gone there, on a trillion dollar scale and in a very short period of time. The warning lights are flashing brightly, for those with the eyes to see.

This analysis is part of a series of related analyses, which support a book that is in the process of being written. Some key chapters from the book and an overview of the series are linked here.

Repurchase Agreements & Reverse Repurchase Agreements​


As discussed in Chapter 18 of the free book (link here), the "repo" or repurchase agreement market is a key part of the plumbing for the U.S. financial system.

"The "repo" or repurchase agreement market is not something that most individuals are familiar with - but it underpins the U.S. financial system, and is an extremely important source of cash for many banks and institutional borrowers.

A repurchase agreement is essentially a secured loan, that is legally a sale. Collateral - generally U.S. Treasury obligations - is sold to a buyer (who is effectively a lender). There is a simultaneous agreement at the time of the sale to repurchase the collateral at an agreed upon price and time, which is usually the next day. The difference in price between the sale price and the contractual repurchase price is effectively the repo rate of interest, which is generally close to the Fed Funds rate for overnight repurchase agreements.

Institutions who need cash enter in repurchase agreements with institutions who have excess cash, and this happens behind the scenes on a massive basis everyday in the U.S., and indeed it underpins the liquidity of the U.S. financial markets and the major participants. It usually works flawlessly, and the markets - and the stability of the U.S. financial system - depend on this happening."

There are always two parties to a repurchase agreement - a borrower and a lender. While they are usually just called "repos", the lender is technically entering into a repurchase agreement, which is an asset, and the borrower is entering into a reverse repurchase agreement, which is a debt. When we look at the balance sheet of the Federal Reserve (or any other financial institution), repurchase agreements are investment assets that appear on the asset side of the balance sheet, and reverse repurchase agreements are secured debts that appear on the liability side of the balance sheet.

As explored in Chapter 18, there was a financial crisis of sorts underway in the institutional markets during the fall and winter of 2019, even before the pandemic crisis hit in early 2020. Essentially, the Federal government had been pulling so much money out of the markets in order to fund the national debt, that a cash crunch developed, and repo interest rates spiked upwards, due to a lack of investors.

The Federal Reserve intervened as a lender, using its powers of reserves-based monetary creation to raise the cash to buy repurchase agreements. In other words, the Fed borrowed new money, and then lent the money to the institutional markets, flooding the markets with cash and liquidity through purchasing repos, which were investment assets for the Fed. At the same time, the Federal Reserve began borrowing even more money to fund massive purchases of the national debt - well before the pandemic - in order to keep the funding going for the government's deficit spending.

Pawning The National Debt​


For the average person, the terms "repurchase agreements" and "reverse repurchase agreements" are so arcane and technical as to be meaningless. Whether it is one or the other and what that means may seem almost incomprehensible.

Just because something seems incomprehensible however, doesn't mean that it can't change all of our lives. What the Federal Reserve has been doing in recent weeks is the direct opposite of what it was doing in 2019.

The Fed needs cash to finance its purchases of the national debt. The Federal Reserve may not have the cash - but it does have collateral, it owns about $5.2 trillion of the national debt in the form of U.S. Treasury obligations.

When the Federal Reserve enters into a reverse repurchase agreement, it puts up collateral - the U.S. Treasury obligations it owns - and then borrows against that collateral. It agrees to buy back the collateral, and to pay interest through buying back the collateral at a higher price. If the Fed were to fail to buy back the collateral, then the lender would just keep the collateral.

Now, the terminology may sound arcane, but the relationship is something that much of the American public is quite familiar with. Someone needs cash. They don't have cash, but they have something of value, whether it be tools, a musical instrument, a laptop, a TV, or gold or diamond jewelry. They pledge their asset as collateral for a loan from a pawnshop and get the cash. They usually pay the loan off and get their collateral back. If they don't - then after a certain number of days, the pawnshop owns the collateral and can sell it.

While the terminology, the transaction terms (and the dress code) are quite different, the economic relationship is the same: pledging the collateral to get the loan at an interest rate, and forfeiting the collateral if the loan isn't repaid.

Before the Financial Crisis of 2008, when both the role of Federal Reserve and the nature of the U.S. dollar were transformed, the Fed usually had about $30 or $40 billion in reverse repos outstanding on any given day. The amount of money that the Fed borrowed on any given day pledging U.S. Treasuries as collateral grew to about $200 to $300 billion through most of the 2010s, with occasional spikes above that level.

FedBalBIX7.jpg


As of the week of March 10, 2021, the Fed was borrowing about $194 billion through the use of reverse repurchase agreements. This borrowing a little more than doubled through the week of May 12th, increasing to $429 billion.

Then the Federal Reserve pledged another more than $800 billion in U.S. Treasury bond collateral over the next seven weeks, using that collateral to get more than $800 billion in new cash in just seven weeks. This was a borrowing rate of a little over $100 billion a week.

In total, the Fed "pawned" a little over $1 trillion in additional Treasuries, in order to get a little over $1 trillion in additional cash, in just 14 weeks, between the weeks of March 24th and June 30th, reaching a total of $1.26 trillion in reverse repo borrowing. This backed off very slightly the week of July 7th, and then came back up to $1.11 trillion as of July 14th, 2021.

See The Reality, See The Signal​


The Federal Reserve using secured borrowings to raise cash is of course not quite the same thing as an individual with credit score problems pawning their assets to get short term cash.

The Federal Reserve is the bankers' bank for the United States, it is treated as having exceptionally high credit quality, and it’s going through the motions of pledging its assets to raise money could on the surface be called at least more a matter of convenience for the borrowers than a financial necessity for the Fed. Making secured borrowings - i.e. entering into reverse repurchase agreements - gave the Federal Reserve immediate access to an established multi trillion dollar market, with established lenders, and with an established accounting and regulatory treatment.

What really matters is that the Fed went somewhere new for new money - at least on that scale - and it did so on with massive amounts in a very short period of time. This makes no sense, or is irrelevant, if we take the highly popular but dangerously misleading approach of thinking the Fed is merely printing the money to fund the national debt. If this were actually a "counterfeiting drama", and the Federal Reserve needed an extra trillion dollars, it would merely step to the back room, flick on the printing presses (physical or electronic), print the trillion, and move on.

Crucially, there is not only no problem getting the trillion dollars with a printing press, but there is also no danger in terms of short term timing. The "problem" with this mistaken belief comes when too many dollars enter circulation, there is no risk with the inability to raise the extra trillion dollars in any given week.

The reality of debt-based money creation for banks and central banks is entirely different. Every dollar of new assets, every new dollar of Federal debt purchased, is being financed with a dollar of new debt that the Federal Reserve takes on. (Someone either understands balance sheets, or they don't.) This means there are potentially limits, every day and every week, for getting the money. The Federal Reserve had been using reserves-based money creation - the new form of money creation that first began in 2008 in the U.S. and has been the actual source of money for all the quantitative easings - but as previously reviewed, there are limits to that process.

When we switch our perspective, and look at our "crime drama" in terms of a "con job" or "shell game" (or Ponzi scheme), then the risk shifts to never running out of money, always being able to get the money from the new marks, to keep the old marks happy and the new Federal borrowings funded. If on any given day, the limits are reached, and the old lenders or the Treasury Department come to the cashier's window and want their trillion dollars and it isn't there - but the new suckers aren't there to borrow the money from - then the whole scheme can collapse on that day. (With the more likely alternative being a change to true straight up money printing on that day, as reviewed in the analysis linked here.)

When we understand that perspective and we go beneath the surface, then it is also true that if and when that day arrives when the new money isn't there, then the secured creditors of the Federal Reserve will likely be in a vastly better position than the unsecured creditors. It would therefore make sense that the closer the Fed cuts it to the edge, the more important that the ability to borrow from sophisticated investors via collateral-secured reverse repurchase agreements will become (i.e. the ability to pawn the national debt), even while the Fed would continue to publicly deny that there are any problems or that any pawning is going on.

To extend the pawnshop analogy a step further, the Fed borrowed the money to buy the collateral in the first place, call it the "guitars", and it didn't use a pawnshop, but a credit card, where it hadn't pledged the guitars as collateral. There are problems with the credit card, but the Fed still wants to keep buying guitars. So now, the Fed is pledging the guitars it had bought with the credit card, to take out new secured loans at the pawnshop, to keep the cash coming for buying still more "guitars".

Substitute "U.S. Treasury bonds and notes" for "guitars", and replace the pawnshop with the institutional fixed income marketplace, and the same financial principles apply. The Federal Reserve ran up an enormous amount of debt to increase its ownership of the national debt to over $5 trillion, at least temporary strains are developing with its unsecured borrowings, so the Fed is now taking the assets it bought with borrowed money, and pledging them as collateral to borrow the money to fund still more of the national debt.

Now, if pressed, the Fed and its enablers would strenuously deny that anything of the sort is happening. They would stress the impeccable and unquestionable credit quality of the United States government, the impeccable and unquestionable credit quality of the Federal Reserve - which by definition no serious person or expert could doubt - and then use an intentionally arcane vocabulary which the general public doesn't understand, to make clear what a ludicrous analogy the idea of pawning the national debt is. None of which would change the underlying economic essentials, which consist of borrowing the money to fund the national debt, and then taking out additional loans secured by the assets that had been bought with borrowed money, to buy still more assets and thereby fund still more of the national debt.

The Federal Reserve abruptly turning to a different market to raise the huge sums of cash needed in order to fund new Treasury purchases while paying down some other lines of credit a bit has tremendous information value when we understand that new money is created by borrowing money. This abrupt change in behavior, to seeking secured money from new borrowers on a massive scale, does mean that something major is going on.

Interpreting the information signal is a different matter than seeing the information signal. We do not know at this early point if this was a transitory move or a more permanent move when it comes to where the Fed will be getting its money from over the following months and years.

We also don't know how much of the motivation was tapping new sources of money, and how much was emergency maneuvers to try to pull money out of circulation and thereby pull down the inflation rate. The specifics of how this works may be the subject of another analysis, but reverse repos can serve a dual function for the Federal Reserve, being an emergency source of funds while also serving as an emergency inflation control measure.

Either way - the abrupt change in behavior is a powerful signal that there are major problems developing with the sources of funding for the national debt and / or rising inflation that the Fed is not willing to talk about. Actions do speak louder than words, and the actions show that beneath the Federal Reserve's projection of a calm surface, major and unprecedented actions are being taken for what are likely compelling reasons.

"Burnout" & Placing The Dollars In Perspective​


The numbers involved are so vast as to seem incomprehensible, but it seems like the reaction of the average person at this point - and average investor - is to say "so what?". OK, so it was yet another trillion dollars (yawn), that came from somewhere almost no one understands - who cares?

There have been so many numbers that are so vast as to seem incomprehensible, and yet the stock and housing markets just keep setting new highs, even while businesses across the nation have difficulty finding enough employees.

It is likely just human nature to burn out, shut down and stop worrying about the vast numbers.

DebtEconBD7.jpg



Yes, as explored in the analysis linked here, the national debt did grow by more dollars in a single year - even after adjusting for inflation - than it did in the first more than two centuries of the existence of the United States of America.

So what? The stock market is not just fine, it's great!

The balance sheet of the Federal Reserve, the sum of all of its assets, totaled less than $900 billion as of June of 2008, after the first 95 years of existence for the nation's central bank. Using an obscure borrowing method, the Fed just effectively "pawned" enough assets to raise more than $900 billion in just ten weeks. Ten weeks versus 95 years, for where the money is coming from to fund the surreal increases in the national debt.

Is anybody noticing? Does anyone care? Did you see what the housing market did last month? Let the party roll on!

The problem with living in the midst of the surreal is that it seems that reality in the normal sense of the word has been suspended. This perception then creates a paradox of sorts.

Reality is never suspended. It's there, waiting for us all, as it always has been, with the only question being the particulars of the when and the how for the reconciliation of the surreal with the real.

The paradox is that the more surreal things become - the more normal the surreal can appear to be, and the less important our former perceptions of what used to be reality can seem.

Of course, the time will come when with 20/20 hindsight it will be blindingly obvious just how crazy things got in the early 2020s. The time will come when any person with even a scrap of common sense should have seen that investment markets and currencies that are based on a central bank borrowing unprecedented - but limited - sums of money to finance unprecedented - but unlimited - increases in the national debt would turn out to be one of the worst financial mistakes of all time. It will be abundantly clear with hindsight that having all of one's retirement savings invested in assets that are dependent on the indefinite continuation of these artificial and highly elevated markets would eventually turn out to be the mistake of a lifetime.

The issue is that we aren't living in that time, we're living in the time we are in.

Human nature is that it is just really hard for the average person to go from the times we are currently in, to the place that we are likely going. Human nature and confirmation bias can make it almost impossible for an average person to see what could be called a mass financial illusion. Now, if that illusion is being very actively supported by the most powerful elements of the government and the banking system - as it is - and if it has been in place for long enough to seem normal - as it has - then piercing that facade is going to be very difficult, and therefore will not happen for most people.

An analogy for what has been explored in this analysis could be seeing a floor to ceiling crack develop on the back side of a concrete column, in the parking garage beneath a condominium complex - that hadn't been there the week before. Indeed, if we take another look at the "Fed Reverse Repos" graph, that is exactly what the recent weeks look like, an unprecedented crack leaping almost straight upwards.

The crack will not be seen by most. They may drive by it every day. Lives will be lived above it. It will seem entirely irrelevant. This could go on for quite a period of time, perhaps for years. But yet, major cracks like that shouldn't suddenly appear in a structurally sound building, and such a crack appearing has information value when it comes to the eventual future of the building.

The Federal Reserve effectively pawning about a trillion dollars of its ownership of the national debt in order to raise a trillion dollars in new money from new sources within about three months is a major new crack in the structural foundation of our financial system, that didn't exist before the spring of 2021. It simply didn't exist - but now it does. Hopefully this analysis has been useful for you when it comes to seeing the new crack, and some of the possible implications.
 

chieftain

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They're still "searching" off Tijuana:

1626585697492.png
 

Uglytruth

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^^^ Is there a time stamp I am missing? Is it the same time every day? Sub searches? They are moving around a little but same general area.
Yacht surveillance? Yacht to sub transfer?
 

chieftain

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They're screen captures from ADS-B Exchange:


Search for LAX and then click on Filters tab. You'll see the Military button. There's nothing happening now but it's interesting how a K35R is the usual suspect out of Washington state (Fairchild AFB).
 

Uglytruth

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K35R was on ground in Vegas then went off screen just now.
 

chieftain

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There's a K35R out of Travis AFB circling over the area right now, with a T22 out of Brown Auxiliary.
 

Scorpio

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JayD,

Here are 2 charts, one of the repo market and the other of the reverse repo

the repo spike was from the beginning of the boo hoo flu, before they went nutz with fed helicopter dough, or just prior


It stands to reason what goes up ie repo, must come down,
all fine, but the current reverse repo is double the peak of the repo,

so yes, what is really going on is a great question

REPO.jpg







REVERSE REPO.jpg
 

Scorpio

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REPO
A=borrower (needs dough to cover, needs cash)
B=lender (has or creates dough to fund A)

REVERSE REPO
B=borrower (needs or is pulling cash)
A=lender (has too much cash, sells it for bonds)

There are those who argue the Fed is draining excess cash in the system

Structure and other terminology[edit]​


Repurchase agreement or "Repo" transaction components. In step one, the investor provides $80 cash and receives $100 in collateral, typically bonds. In step two, the borrower buys back the collateral, paying the investor their initial cash plus an interest amount. The "repo rate" is the interest rate received by the investor, in this case (88-80)/80 = 10%, while the "Haircut" is a ratio of the cash loan to collateral (100-80)/100 = 20%.[3]
In a repo, the investor/lender provides cash to a borrower, with the loan secured by the collateral of the borrower, typically bonds. In the event the borrower defaults, the investor/lender gets the collateral. Investors are typically financial entities such as money market mutual funds, while borrowers are non-depository financial institutions such as investment banks and hedge funds. The investor/lender charges an interest rate called the "repo rate," lending $X and receiving back a greater amount $Y. Further, the investor/lender may demand collateral of greater value than the amount that they lend. This difference is the "haircut." These concepts are illustrated in the diagram and in the equations section. When investors perceive greater risks, they may charge higher repo rates and demand greater haircuts. A third party may be involved to facilitate the transaction; in this case, the transaction is referred to as a "tri-party repo."[3]

Specifically, in a repo the security-buying party B acts as a lender of cash, whereas the seller A is acting as a borrower of cash, using the security as collateral; in a reverse repo, security purchaser (A) is the lender of cash and (B) is the borrower of cash.[5] A repo is economically similar to a secured loan, with the buyer (effectively the lender or investor) receiving securities for collateral to protect himself against default by the seller. The party who initially sells the securities is effectively the borrower. Many types of institutional investors engage in repo transactions, including mutual funds and hedge funds.[6] Almost any security may be employed in a repo, though highly liquid securities are preferred as they are more easily disposed of in the event of a default and, more importantly, they can be easily obtained in the open market where the buyer has created a short position in the repo security by a reverse repo and market sale; by the same token, non liquid securities are discouraged.

 

Uglytruth

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Scorp can you explain that using real money like gold? :totally steamed:
 

Scorpio

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just substitute 'bond' for gold

cash traded for gold, then back again
 

Uglytruth

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just substitute 'bond' for gold

cash traded for gold, then back again
That's why I thought but a old friend told me long ago.................. every time money moves it gets skimmed.
 

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Just to follow up on this,

Maybe this same guy was screaming from the roof tops the sky is falling when the repo spike was going on,

and now again, with reverse repo's.

Point being, there are very large fiat machinations going on, and to freak out over every action/reaction doesn't really get us anywhere,

They sent out 6-9 Trillion, dependent on who you listen to, within a years time
That on top of what tramp and all the others were spending prior

This repo/reverse repo thing doesn't even hardly register on that scale,

We take it back to what we spoke of, the incredibly large creation, checks to slaves, to businesses, to poli's, to .govs, etc
That creation eventually ends up in the same place after it goes thru the system

Helicopter dough eventually makes its way home. Goes out to the slaves, they spend it at the corps, corps pile up the cash, then trade it back in at the fed level. Rinse repeat. Some banks were saying 'no more cash' as they were full up. Corp balance sheets sitting with trillions on the books in cash.

Besides the .govs of all levels, the created goes out, gets spent or sent into the markets. Either way, it ends up on some corp balance sheet somewhere whether td ameritade or joogle or chef boyareyouaslave

as you can see below, last time money was more scarce and velocity peaked was during klinton 1, when we had close to a supposed balanced fed budget,
since, they have all been spending and spending and spending, each greater than previous
which of course has driven velocity to all time lows
so much fiat created it has wiped out scarcity and the churn or velocity,
fiat piling up everywhere, stock accounts, balance sheets, .gov budgets and so on
but again, piling up, not on the move, too much of it to keep it all on the go so it sits

mon vel.jpg