So the FED have cut rates to 0% officially and want to buy 500 billion more worthless gov't bonds.
Insane! And Peter Schiff was right again.Originally Posted by Warlord
https://www.zerohedge.com/markets/fe...bal-swap-lines
Schiff said in his last podcast this was coming so yes, he's right again...
Don't forget the $200 billion ("at least") in worthless mortgage backed securities. They're also expanding the international dollar swap lines, like last time, to lend dollars to foreign companies, dropping the reserve ratio to 0%, and dropping the rate at the discount window. And this would be in addition to the already announced multi-trillion repo market facility.
What could go wrong...?
Last edited by r3volution 3.0; 03-15-2020 at 03:49 PM.
Am I correct that the Fed can only target the short end of the curve and that longer term interest rates could still rise?
What are Gold futures? anyone?
The Creature from Jekyll Island:
We're being governed ruled by a geriatric Alzheimer patient/puppet whose strings are being pulled by an elitist oligarchy who believe they can manage the world... imagine the utter maniacal, sociopathic hubris!
Futures open at 6 eastern.
If you really need to check in 15 minutes these will update every few minutes. https://finviz.com/futures.ashx
The Fed can manipulate long rates lower too, if it chooses to buy long bonds.
And its action at the short end indirectly affect the long end anyway.
Last edited by r3volution 3.0; 03-15-2020 at 03:48 PM.
+ rep
The Creature from Jekyll Island:
We're being governed ruled by a geriatric Alzheimer patient/puppet whose strings are being pulled by an elitist oligarchy who believe they can manage the world... imagine the utter maniacal, sociopathic hubris!
I think the Asian market opens in about 15 min
Do something Danke
Up 37.60 to start .
Do something Danke
Schiff was right... again. Incredible!
Gold and silver both up a little over 2%, Dow futures down about the same.
I take that to mean the market wanted more, which is pretty remarkable.
The one thing the Fed didn't do, which was widely expected, was start buying up commercial paper.
Look for that to be announced if tomorrow's ugly.
P.S. As I type, Dow drops to nearly -1000.
Last edited by r3volution 3.0; 03-15-2020 at 04:30 PM.
They want negative rates and a banana Republic.
-838.00
DAM! your kidding, are we going negative?
The Creature from Jekyll Island:
We're being governed ruled by a geriatric Alzheimer patient/puppet whose strings are being pulled by an elitist oligarchy who believe they can manage the world... imagine the utter maniacal, sociopathic hubris!
For those who want to check the futures markets, you can go to the link below and click the link near the top left that says "futures"
https://www.marketwatch.com
I don't think we go negative, at least not soon: first more short-term lending (as in commercial paper) and, especially, QE.
It wouldn't be surprising if that $700 billion turned into $7 trillion in the near future.
P.S. JP Morgan estimates the current need for "liquidity" (i.e. taxpayer subsidies) at around $12 trillion.
https://www.zerohedge.com/markets/pr...ar-margin-call
Last edited by r3volution 3.0; 03-15-2020 at 04:38 PM.
If you're watching the futures and wondering why the page isn't refreshing, fear not, your internet connection's fine.
Trouble is the Dow and S&P just went lock limit down.
Oops
On Sunday. Oy.
The Creature from Jekyll Island:
We're being governed ruled by a geriatric Alzheimer patient/puppet whose strings are being pulled by an elitist oligarchy who believe they can manage the world... imagine the utter maniacal, sociopathic hubris!
Serious question I have for the people I've trusted on this site for years: who all is going to be taking money out of their banks ASAP?
Welcome to the R3VOLUTION!
Uncle Fed's outlawed default; I'm not worried about bank failures.
This is the craziest thing I have ever seen. I would bet the market stops trading for a couple of weeks if it takes out last weeks lows and holds.
Every indicator imaginable says the market should go up right now. The dumb money/smart money thing I look has the widest spread in history going back to 1999. Dumb money is the most bearish in history. March tends to be one of the best months for stocks. March 15th is the best day of March for returns and the 16th 17th and 18th are good as well. The 200 week moving average has been support for this 11 year run and held last week but is trading at it right now. The market has usually opened up and tanked 7 of the 8 times when the Fed has had one of these emergency cuts. The one exception was the beginning of 2008 when it gapped down big like tonight and then rallied 7%.
I don't see how this doesn't rally with the Fed basically launching a nuclear weapon and Republicans going to pass the bill tomorrow. If this can't rally on this stuff, the market is $#@!ed.
What does that mean?
Never mind, I figured it out. I didn't know futures had an emergency halt.
I don't pay much attention to the futures. They seem to be wrong all the time. I'll just wait til tomorrow.
Last edited by Madison320; 03-15-2020 at 05:29 PM.
The market has dropped so fast, that they stopped trading.
The Creature from Jekyll Island:
We're being governed ruled by a geriatric Alzheimer patient/puppet whose strings are being pulled by an elitist oligarchy who believe they can manage the world... imagine the utter maniacal, sociopathic hubris!
Also 200 in mortgage securities .
Do something Danke
I really do not keep much there . Nobody should ever have more in any account that is not insured by the FDIC . I see no reason to keep money in the bank . You cannot earn money from it . I dumped all my stocks and bonds, oil etc when I retired , took the cash and put it in land , fruit trees , livestock , lead , nickel , copper , silver , guns , ammo and gold mostly .
Do something Danke
"Beware the Ides of March"
Gold futures dropping. Now only +14.
It would really be something else if gold opens negative tomorrow while the Fed destroys the USD
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