Bob Michele (JP Morgan's CIO) on Bloomberg this morning talking about the Fed's emergency BTFP interventions & the liquidity crisis in banks.
He also specifically mentioned Truist Bank π¬
Truist Bank has over $500 billion in assets & could be on the verge of failure along with Charles Schwab
(twitter.com)
π₯ BANK COLLAPSE π₯
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How is this different than 2008? My guess is we canβt have China bail is out? Strings cut?
US TREASURIES: China + Japan now holding just under 8% of the total, compared with a high of 25.4% in 2007
No more room to print more more money out. No foreign countries will buy our debt. Elites can only parasitically sacrifice regular people.
Also it is as bad (and many cases worse) than 2008 GFC or even Great Depression RIGHT NOW and the market hasn't crashed yet. Wait till the crash happens.
https://twitter.com/WallStreetSilv/status/1701337655886102874
Money contraction is biggest since Depression. From peak to trough, it's the worst since at least the 1860's.
https://twitter.com/profstonge/status/1690731628723576834
At some point, what you're seeing in San Francisco will spread to major cities throughout the country.
How much does blackrock own?
Of JP Morgan? That's a good question.
JP Morgan is on a similar level as Black rock in terms of assets owned and its been operating for well over 100 years. It is its own mothership though it'll be deeply connected with Blackrock.
JP Morgan has 40-50 trillion in derivatives contracts.
United States Office of the Comptroller of the Currency (OCC) - March 31, 2023
Quarterly Report on Bank Trading and Derivatives Activities - Fourth Quarter 2022 - PAGE 12 & PAGE 22
https://www.occ.gov/publications-and-resources/publications/quarterly-report-on-bank-trading-and-derivatives-activities/files/pub-derivatives-quarterly-qtr4-2022.pdf
PAGE 22 - NOTIONAL AMOUNTS OF DERIVATIVE CONTRACTS HELD FOR TRADING:
TOTAL ALL COMMERCIAL BANKS, SAVINGS ASSOCIATIONS, AND TRUST COMPANIES ASSETS ~$21.1 Trillion
TOTAL DERIVATIVES ~$191 Trillion
TOTAL HELD FOR TRADING AND MARK TO MARKET (MTM) ~$181.9 TRILLION
An over leverage of entire deposits to derivatives of about 9:1
Or did you mean US Treasuries? They are mostly owned by the Fed.
Reverse Repo is getting drained to buy US Treasuries and keep interest rates low. Set to run out by January. Peaked at over 2 trillion earlier this year, now 1.5 trillion in a few weeks.
The Dollar Endgame Part 2.5- The Derivatives Monster | Peruvian Bull
https://www.youtube.com/watch?v=0WarjNUN3tk