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Fed Reserve propping up Eurobanks


f7ben

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Sounds like European banks have essentially failed and the big US banks wont lend to them in the repo market and that is what is causing the issues in liquidity. 

The Fed is propping them up by essentially offering them term loans beyond 24hr repo

Also it looks like Goldman Sachs has a ton of exposure to these banks and could be on the hook for massive losses if say Deutsche Bank fails.

This is a fucking rotten as it gets

Privatize gains and socialize losses like always

 

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There isn't a lot of good things happening in Europe and the outlook isn't good either.  Negative interest rates are disaster for an economy.

Disclaimer, I'm long us based equity indexes.

And this brings me to where I think the acute problems lie, Deutsche Bank (NYSE:DB).  Deutsche Bank holds more than $50 trillion in interest-rate derivative swaps. All across Europe banks are struggling with negative rates killing their core business, especially Deutsche.

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21 minutes ago, teamgreen02 said:

There isn't a lot of good things happening in Europe and the outlook isn't good either.  Negative interest rates are disaster for an economy.

Disclaimer, I'm long us based equity indexes.

And this brings me to where I think the acute problems lie, Deutsche Bank (NYSE:DB).  Deutsche Bank holds more than $50 trillion in interest-rate derivative swaps. All across Europe banks are struggling with negative rates killing their core business, especially Deutsche.

Global equities did well this year.  My largest fund is up 25% with 80% of the portfolio outside the US and Canada.

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Just now, ArcticCrusher said:

Global equities did well this year.  My largest fund is up 25% with 80% of the portfolio outside the US and Canada.

What the fuck has that got to do with what he posted you fucking retard?

Are you a fucking spam bot???

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2 minutes ago, f7ben said:

What the fuck has that got to do with what he posted you fucking retard?

Are you a fucking spam bot???

They have been that way for a while and are still doing well.  Maybe they should just sell/short it all.:lol:

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4 minutes ago, ArcticCrusher said:

Global equities did well this year.  My largest fund is up 25% with 80% of the portfolio outside the US and Canada.

I’ve seen a few good global funds, but international and emerging markets still make me a little nervous.  I allocate most people at the bare minimum, so they’ll at least capture some upswing if those economies pick up, and benefit from dollar cost averaging.  Brexit will be interesting to watch.  Also why I’m a big believer in actively managed funds.  A good fund manager is worth their weight in gold.  Biggest problem I’m seeing now is the “irrational exhuberance”, we aren’t gonna have these kinds of years forever.  I have an 76 year old retired lady who’s a total shrew and a bitch, and was complaining to me about her paltry average 10.9% returns over the past 5 years, only up around 24% this year.  Wtf lady you should be thankful. :lol:   .  :bc: 

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1 minute ago, DriftBusta said:

Calm down Ben, you said you were going to work on this. :lol:  

Dude.....I tried so hard. Why the fuck cant he just comment on the op even a little. I dont give a good god damn about his portfolio. I posted an article and some thoughts on why the Fed has had to inject 1.5 trillion to prevent an economic collapse and he posts bullshit about his personal finance. It's like talking to a fucking doll with a pull string on the back

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Just now, f7ben said:

Dude.....I tried so hard. Why the fuck cant he just comment on the op even a little. I dont give a good god damn about his portfolio. I posted an article and some thoughts on why the Fed has had to inject 1.5 trillion to prevent an economic collapse and he posts bullshit about his personal finance. It's like talking to a fucking doll with a pull string on the back

I think his point is why get so emotionally invested in shit we have no control over.  I read arguments for and against all the time in Barrons or the WSJ, etc..,its over my friggin paygrade.  Has alot to do trade, maintaining the stability of it, inflation, etc..   That said,  I’m not much more positive than you are in the sense, that I don’t trust any of these globalist fucks and outside influences to fuck with our economy or anyone elses.  About all I have to say on the matter.

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2 minutes ago, DriftBusta said:

I think his point is why get so emotionally invested in shit we have no control over.  I read arguments for and against all the time in Barrons or the WSJ, etc..,its over my friggin paygrade.  Has alot to do trade, maintaining the stability of it, inflation, etc..   That said,  I’m not much more positive than you are in the sense, that I don’t trust any of these globalist fucks and outside influences to fuck with our economy or anyone elses.  About all I have to say on the matter.

Did you read about China letting that SOE default? That was billions of dollars they let them default on. Alot of these banks have major exposure to what amounts to junk bonds. 

It pisses me off that there is zero oversight and our debt could be propping up banks yet again who made risky decisions.

It's too big to fail all over again 

Edited by f7ben
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2 minutes ago, f7ben said:

Did you read about China letting that SOE default? That was billions of dollars they let them default on. Alot of these banks have major exposure to what amounts to junk bonds. 

It pisses me off that there is zero oversight and our debt could be propping up banks yet again who made risky decisions.

It's too big to fail all over again 

You’d think they’d learn their lesson on junk bonds after the last time but it was almost like there was no consequences 

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1 hour ago, f7ben said:

What the fuck has that got to do with what he posted you fucking retard?

Are you a fucking spam bot???

Nobody seeks out these doom and gloomers or gives two fucks about what they post.  It would be best to stick to basics.

 

If they were worth a shit, you would be impressed by their performance.

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Just now, ArcticCrusher said:

Nobody seeks out these doom and gloomers or gives two fucks about what they post.  It would be best to stick to basics.

 

If they were worth a shit, you would be impressed by their performance.

Sweet fuck you're dumber than I ever gave you credit for

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19 minutes ago, f7ben said:

Sweet fuck you're dumber than I ever gave you credit for

I deal with matters that are in my control.  

 

Have we moved passed the inverted yields yet?:lol:

 

Edited by ArcticCrusher
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