The Atlantis Report and SRU Monday Night 2-10-2020
Derivatives $147-Trillion Ticking Time Bomb Ready to Blow -- Be Ready !
The Atlantis Report: Premiered 59 minutes ago
Derivatives $147-Trillion Ticking Time Bomb Ready to Blow -- Be Ready !
The top U.S. banks had derivatives with a notional value of about $147.1 trillion backed by interest rates! (Source: “Quarterly Report on Bank Trading and Derivatives Activities: Third Quarter 2019,” Office of the Comptroller of the Currency, last accessed January 27, 2020.) https://www.occ.gov/publications-and-...
The next financial crisis will be bigger than the last one and will wipe out a lot of wealth across the board.
35 Trillion Pentagon accounting black hole. Announced quietly on the day of impeachment judgment. 35 Trillion, I kid you not!! Barely made the print. And let's not forget the mother of all bubbles, that is, the derivatives market, which is a ticking time bomb that no one seems to be talking about.
The top U.S. banks had derivatives with a notional value of about $147.1 trillion backed by interest rates. Source: The Quarterly Report on Bank Trading and Derivatives Activities: Third Quarter, 2019.
For ten years, the Central Banks have maintained the illusion that all is well. Meanwhile, global leverage has exploded to record highs, with the bond bubble now a staggering $147 trillion in size.
I can’t stress this enough; interest-rate derivatives are making a case for a financial crisis being ahead. Derivatives are dangerous, and they turn into a problem very quickly.
For example, the 2008–2009 financial crisis escalated because of derivatives. And now Derivatives, thanks to Dodd-Frank, are in line ahead of depositors of checking and savings accounts.
Yes, your checking account is FDIC insured. However, only about 10% of that can be covered by the FDIC. All FDIC insurance is not enough to cover even 1% of the derivatives that will claim it ahead of you.
This time around, there are more derivatives in the financial system. It’s not just the American banks that hold so many derivatives. Others around the world own a lot of them, too.
The Derivative Market is screaming, Financial Crisis Ahead.
Also, Consumer debt as a percentage of GDP is now at a record HIGH. We now are at 19% consumer debt to GDP. We were only around 17-18% prior to the last meltdown!
The debt doom loop continues. In the case of a financial crisis, you could bet that asset prices will tumble across the board.
For the full transcript go to https://financearmageddon.blogspot.com
Baltic Dry Index Plunges, Capesize Goes Negative For The First Time Ever! Shipping Collapse underway
Silver Report Uncut: Feb 10, 2020
A section of the Baltic dry index has now fallen into negative territory. The global shipping industry has taken the hardest hit from the production halt in China.
China is home to 7 of the 10 largest shipping ports in the world. Another issue they are having is shipping not being admitted.
The Capesize portion of the index would be large tankers carrying things like iron ore and raw commodities.
The Baltic dry index has long been viewed as a barometer for the health of the industrial economy. Undoubtedly this is as a result of the production halt at the "worlds manufacturer"