This is a bailout, plain and simple. Pictured below are the term loans offered by the fed during the 2008 financial crisis. As you can see, they are virtually indistinguishable from what is going on today.
In fact, following today’s unprecedented announcement from the New York Fed, these repo loans are actually starting to look worse..
“Today, March 12, 2020, the Desk will offer $500 billion in a three-month repo operation at 1:30 pm ET that will settle on March 13, 2020. Tomorrow, the Desk will further offer $500 billion in a three-month repo operation and $500 billion in a one-month repo operation for same day settlement. Three-month and one-month repo operations for $500 billion will be offered on a weekly basis for the remainder of the monthly schedule. The Desk will continue to offer at least $175 billion in daily overnight repo operations and at least $45 billion in two-week term repo operations twice per week over this period”. Link
$1.5 trillion in two days?…
As I predicted months ago, social media censorship has enabled these mega-banks to secretly bail themselves out. Anybody who voices an opinion that defers from the established norm is either deboosted or even outright banned, and now they can say whatever they want without having to worry about a barrage of viral messages, memes, and videos flooding the internet with evidence that refutes their self-serving lies.
Look no further than the President of the Minneapolis Fed, who actually tried to suggest that anybody who questions the Federal Reserve’s recent balance sheet growth is nothing more than a “conspiracist”…not “conspiracy theorist”, but “conspiracist”. You see, they can even make up their own words now.
He knows what he’s saying is complete BS, but because of all this draconian censorship on social media, the establishment can simply get away with it now..
Good job Mark Zuckerberg.
You gonna ban him too?
Just an FYI, you don’t buy equities with T-Bills by the way, you buy them with cash…and he knows this very well.