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Socio-Economics & History Commentary

The Global Liquidity Squeeze Has Begun!

Global Super Storm meltdown??

Global Super Storm meltdown??

  • The Global Liquidity Squeeze Has Begun!
    by Michael Snyder, http://theeconomiccollapseblog.com/
    Get ready for another major worldwide credit crunch.  Today, the entire global financial system resembles a colossal spiral of debt.  Just about all economic activity involves the flow of credit in some way, and so the only way to have “economic growth” is to introduce even more debt into the system.  When the system started to fail back in 2008, global authorities responded by pumping this debt spiral back up and getting it to spin even faster than ever.  If you can believe it, the total amount of global debt has risen by $35 trillion since the last crisis.  Unfortunately, any system based on debt is going to break down eventually, and there are signs that it is starting to happen once again.  For example, just a few days ago the IMF warned regulators to prepare for a global “liquidity shock“.  And on Friday, Chinese authorities announced a ban on certain types of financing for margin trades on over-the-counter stocks, and we learned that preparations are being made behind the scenes in Europe for a Greek debt default and a Greek exit from the eurozone.  On top of everything else, we just witnessed the biggest spike in credit application rejections ever recorded in the United States.  All of these are signs that credit conditions are tightening, and once a “liquidity squeeze” begins, it can create a lot of fear.

    Over the past six months, the Chinese stock market has exploded upward even as the overall Chinese economy has started to slow down.  Investors have been using something called “umbrella trusts” to finance a lot of these stock purchases, and these umbrella trusts have given them the ability to have much more leverage than normal brokerage financing would allow.  This works great as long as stocks go up.  Once they start going down, the losses can be absolutely staggering.

    That is why Chinese authorities are stepping in before this bubble gets even worse.  Here is more about what has been going on in China from Bloomberg… 

    read more!

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April 20, 2015 Posted by | Economics, Social Trends | , , , , , , , , , , , | Leave a comment

IMF Tells Regulators to Brace for Global ‘Liquidity Shock’!

http://www.telegraph.co.uk/finance/economics/11538509/IMF-tells-regulators-to-brace-for-global-liquidity-shock.html

Click on image for article!

April 18, 2015 Posted by | Economics | , , , , , , , , , , , | 1 Comment

50-Year Veteran Warns Today’s Plunge In Global Stock Markets May Be The Beginning Of A Much Bigger Disaster!

Global financial system Titanic hits iceberg!

Global financial system Titanic hits iceberg!

Global currency, economic and financial storm coming!

Global currency, economic and financial storm coming!

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April 18, 2015 Posted by | Economics | , , , , , , | 1 Comment

Dow Dumps 400 Points, Gives Up All Post-Payrolls Gains!

DJIA-20150417

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April 18, 2015 Posted by | Economics | , | Leave a comment

“There Will Be a More Volatile Crisis”: JPMorgan Chief Signals Coming Financial Tsunami!

Global financial tsunami coming??!

Global financial tsunami coming??!

  • Serpents warning about a coming financial tsunami they are engineering. A Satanic cabal rules this world. Wall Street is a financial operation of the Synagogue of Satan. Got physical gold yet?
  • “There Will Be a More Volatile Crisis”: JPMorgan Chief Signals Coming Financial Tsunami!
    by Mac Slavo, SHTFplan.com  
    Earth shaking words from a giant on Wall Street.
    The insiders know the next collapse is coming. What form it takes may remain a surprise to account holders and investors who are not on guard.

    But JPMorgan Chase chairman and CEO Jamie Dimon is positioning his firm to pick up the pieces after it hits. A loud warning from a person who may be considered a de facto spokesman for the insiders who prevail on Wall Street, Dimon’s comments are more than just precautionary and foreboding – they spell out the mechanism with which the big banks and the technocratic controllers will seize and concentrate power during the next crisis.

    Problem-reaction-solution… and the new rules of the game.

    Another crisis event is coming in the financial markets. That much is clear. How bad it will be depends upon how well you withstand the new rules of engagement.

    Dimon writes in his April 8, 2015 shareholder letter:

    Some things never change — there will be another crisis, and its impact will be felt by the financial market.

    The trigger to the next crisis will not be the same as the trigger to the last one – but there will be another crisis. Triggering events could be geopolitical (the 1973 Middle East crisis), a recession where the Fed rapidly increases interest rates (the 1980-1982 recession), a commodities price collapse (oil in the late 1980s), the commercial real estate crisis (in the early 1990s), the Asian crisis (in 1997), so-called “bubbles” (the 2000 Internet bubble and the 2008 mortgage/housing bubble), etc.
    While the past crises had different roots (you could spend a lot of time arguing the degree to which geopolitical, economic or purely financial factors caused each crisis), they generally had a strong effect across the financial markets


    read more!

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April 14, 2015 Posted by | Economics, GeoPolitics | , , , , , , , , , , , , , , , , | Leave a comment

Bill Holter: Global Black Hole of Derivatives! Fed Rate Rise Would Smoke Derivatives!

  • Fed Rate Rise Would Smoke Derivatives!
    by Greg Hunter’s USAWatchdog.com
    Financial writer Bill Holter says don’t expect the economy to get better anytime soon.  Holter says, “We’re probably in recession again . . . the economy has been quite weak.  It looks to me we could be breaking down in the stock market.  This is going to be a really critical week.”


    On the Federal Reserve raising interest rates, Holter contends, “From a credibility standpoint, the Fed has to raise rates.  In a real world, I don’t think they can raise rates.  If they raise rates, my guess within two weeks you will see all the markets close.  A rate rise, even a quarter of a point in Fed Funds, would smoke derivatives.  You would see a chain reaction, and we would probably see a chain reaction even before they raise rates.”

    Holter contends the banking system is interconnected and very weak and explains his point by saying, “Look at what happened when the Swiss dropped their peg to the euro.  That basically has tanked the Austrian banking system.  The Austrian banking system is on the verge of collapse because they lent in Swiss Francs.  The strength in the Swiss Franc makes those loans much more difficult to pay back.  That’s thrown the entire (Austrian) banking system out of kilter.  If you do that with the dollar and you raise rates, and the dollar gets strong or spikes up 5% or 10% overnight, what’s that going to do to banks all over the world?  That’s going to create a smoking black hole of derivatives.”

    On the possibility banks bailing themselves out with depositor money, or so-called bank bail-ins, Holter predicts, “I think it’s highly likely.  Once this goes, it’s going to go really quickly.  I’ve said this before, this will go completely around the world within 48 hours.  Would they bail-in the banks within 48 hours?  Probably not, but our banks would not be open, and we would probably have a banking holiday.  That means your credit card, ATM or nothing works.”

    read more!

Vulcan-planet-implosion-blackhole

WarrenBuffet-Financial_Derivatives_r_WMD_n_time_bombs_for_the_economic_system

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April 7, 2015 Posted by | Economics, Social Trends | , , , , , , , , , , , , , , , , | 1 Comment

Both SEC And FINRA Admit That The Market Is Rigged (And They Are Powerless To Fix It)!

FedRes_banksters_looting_cartoon_Amateurs

  • Both SEC And FINRA Admit That The Market Is Rigged (And They Are Powerless To Fix It)! 
    by Tyler Durden, http://www.zerohedge.com
    Curious why investors are bailing out of the market, or rather “market” – which trades a few basis points away from its all time highs on nothing but central-bank liquidity and multiple expansion fumes – at a pace unseen since 2009? Well, the fact that not only an SEC commissioner, but the Chairman of Finre himself admit the market is rigged may have something to do with it…

    First, here is SEC commissioner Luis A. Aguilar, who unlike his former CFTC peer Bart Chilton hasn’t been purchased by the HFT lobby yet, with “Enhancing Oversight of Our Equities and Options Markets.” An excerpt:

    A Rule Better Aligned with the Current Marketplace
    Being able to identify and respond to emerging trends is the hallmark of any effective regulator. Although long overdue, the proposed amendments are intended to bring Rule 15b9-1 in line with the realities of today’s securities markets. Specifically, the proposed amendments, if adopted, would achieve three things:


    read more!

Illuminist_banksters_creating_money_out_of_nothing_lending_n_charging_interest

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March 30, 2015 Posted by | Economics | , , , , , , | Leave a comment

Stock Market Rigging is No Longer a ‘Conspiracy Theory’!

http://nypost.com/2015/03/25/us-stock-market-is-just-way-too-riggin-easy/

Click on image for article!

March 30, 2015 Posted by | Economics | , , , , , , , | Leave a comment

Our Financial Market Are ALL Connected, NONE Will Be Spared !

  • Published on Mar 26, 2015
    Gary Christenson of the Deviant Investor joins the podcast to discuss the impending economic collapse of the US economy and the demise of the Dollar.


    Quoting a recent blog entry by Bill Holter, Christenson says, “What we have coming is a collapse of everything we have worked for and everything we’ve built and saved over our lifetimes and that of our ancestors.”

    Gary’s empirical model for precious metals suggests a $10,000 price for gold by 2021 and that’s IF the Dollar doesn’t collapse by that time and IF we don’t hit hyperinflation first. In those two scenarios the price for gold could easily rise orders of magnitude higher than $10,000 per ounce when priced is Dollars.

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March 27, 2015 Posted by | Economics | , , , , , , , , , , , , | 1 Comment

Even Ed Yardeni Admits “This Is Not Investing… The Markets Are All Rigged”!

  • Even Ed Yardeni Admits “This Is Not Investing… The Markets Are All Rigged”! 
    by Tyler Durden, http://www.zerohedge.com
    “This is not investing,” exclaims Ed Yardeni in this brief clip, “it is all about central bankers… these markets are all rigged.” That is not a criticism he notes, “I just say that factually… I love these central bankers, they’ve been very good to the stock market.” The clip is then followed by a defense of this pumping by central banks, because “we are a 401(k) society.” Which apparently ignores the whole “massive inequality gap” issue that is staring America right in the eyes… But for now stocks are up so “shut up and enjoy it” as Larry Kudlow said yesterday.

    read more!

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March 20, 2015 Posted by | Economics | , , , , , , , , , , , | 1 Comment

Super-Bubbles And Unprecedented Global Collapse – Time Is Running Out!

White_House_US_Flag_Burning

  • Super-Bubbles And Unprecedented Global Collapse – Time Is Running Out! 
    by http://www.kingworldnews.com
    Today the man who remarkably predicted the collapse of the euro against the Swiss franc warned King World News that we are now living in world of super-bubbles that has the planet headed toward an unprecedented global collapse and, importantly, time is now running out.

    Egon von Greyerz:  “Eric, we are now at the endgame and this is the biggest economic and financial bubble in history.  Virtually every country in the world is under enormous pressure.  But one country believes it is immune to all these problems around the world and that is, of course, the United States.


    With both U.S. stocks and bonds near the highs and the dollar (recently) surging, it seems that the U.S. is still an invincible superpower.  But sadly, Eric, the U.S. will just be the last country to fall and that fall is imminent….

    read more!

Global_Economic_Crisis

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March 17, 2015 Posted by | Economics | , , , , , , , , , , , | Comments Off on Super-Bubbles And Unprecedented Global Collapse – Time Is Running Out!

Michael Lewis is Right “Spoofing” Proves Market Rigged on Daily Basis!

FedRes_banksters_looting_cartoon_Amateurs

  • Michael Lewis is Right “Spoofing” Proves Market Rigged on Daily Basis
    by EconMatters 
    Brent Spoofing & HFT
    As the European Market closes today and oil has some bearish sentiment to the trading day, one of the common techniques is to bang the European close in the Brent contract which being a much less liquid contract than WTI can be quite profitable. Usually this takes place around 10:00 to 10:30 am CST but with the time changes this week everything is pushed back an hour here in the US with the European close now being 11:00 to 11:30 am CST.


    Specific Example of Spoofing
    Well as this bang the close strategy is happening in Brent pushing the futures contract down $56.50 to $55.50 in 10 minutes a nice illustration of HFT Algo strategy plays out, in other words blatant market manipulation also called spoofing was conducted by some large firm. Here is the case and this isn`t specific to Brent, Oil, or an unusual event this happens in all markets throughout the trading day. So as Brent is going lower some firm wants it to go lower some more so around the $55.75-80 area they park a large order around 900 futures contracts. Now this isn`t a real order, the seller isn`t really going to sit there and take in 900 buyers, it is meant to manipulate the other trading algos and buyers in general from stepping in and buying oil with the idea of pushing the contract lower. In essence “Scare” the market lower! This usually works and today it worked pushing the Brent contract down to $55.51, and needlessly to say this firm benefited from this technique and covered before eventually pulling the entire order once a couple of contracts hit on the price that the seller parked this large fake sell order.


    read more!

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March 14, 2015 Posted by | Economics | , , , , , , | 1 Comment

“We Have Front-Row Seats To An Imminent Market Shock”, Hedge Fund Billionaire Warns!

Global economic, financial and currency collapse fast approaching!

Global economic, financial and currency collapse fast approaching!

  • “We Have Front-Row Seats To An Imminent Market Shock”, Hedge Fund Billionaire Warns! 
    by Tyler Durden, http://www.zerohedge.com
    Having previously noted that “this is the best shorting opportunity since 2007-9,” Billionaire hedge fund manager Cripsin Odey warns that (just as Goldman has noted) the global economy is h”eaded for recession and central banks will not be able to able to come to the rescue because they have exhausted the arsenal of policy weapons.” No matter what happens, he chides, the market shrugs it off as they are “kind of relying on central banks pulling a rabbit out of a hat.” They will not, “Central banks are not all singing and all dancing,” and cannot avoid the consequences of what they are doing, concluding, “you and I have got grandstand seats here [to an imminent market shock],” and investors are about to “find out just how illiquid it really is out there.”

    One of the world’s leading hedge fund managers has warned that global economies are headed for recession and central banks will not be able to able to come to the rescue because they have exhausted the arsenal of policy weapons. As The Sydney Morning Herald reports,


    read more!

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March 13, 2015 Posted by | Economics | , , , , , , , , , | 1 Comment

Plunge Protection Exposed: Bank Of Japan Stepped In A Stunning 143 Times To Buy Stocks, Prevent Drop!

WSJ: Analysts say the bank’s action has been a significant driver of Japan’s stock-market rally in recent months, combined with hefty purchases by the $1.1 trillion Government Pension Investment Fund.

WSJ: Analysts say the bank’s action has been a significant driver of Japan’s stock-market rally in recent months, combined with hefty purchases by the $1.1 trillion Government Pension Investment Fund.

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March 12, 2015 Posted by | Economics | , , , , | 1 Comment

Six Days Until Bond Market Crash Begins?

FOMC-FedRes_meeting

  • I do not submit to the view that “Cash is King”. All paper assets will collapse in value. The safe haven is physical gold and silver.
  • Six Days Until Bond Market Crash Begins?! 
    by EconMatters 
    Run for the Exits
    Today early in the morning,  realizing this was going to be a robust selloff in equities, the ‘smart money’, i.e., the big banks, investments banks, hedge funds and the like, ran to the old staple of buying bonds hand over fist with little regard for the yield they are getting paid for stepping in front of the freight train of rate rises coming down the tracks. FOMC Meeting & Press Conference

    Just six days away from the most important FOMC meeting in the last seven years, and another 300k employment report in the rear view mirror, this looks like an excellent place to hide for nervous investors who have far more money than they have grains of common sense. Newsflash for these investors, yes markets are over-valued, and you need to get out of Apple, and about 100 other high flying overpriced momentum stocks, but you can`t hide out in bonds this time.  That party is over, and next Wednesday`s FOMC meeting is going to make this point abundantly clear.


    Cash is King
    There is no place to hide except cash.  You should have thought about that before you gorged yourself on ZIRP to the point where you have pushed stocks and bonds to unsupportable price levels, and you keep begging for the Fed to stall just another six months, so you can continue to buy more stocks and bonds. Well you have done an excellent job hoodwinking the Fed to wait until June, you should thank your lucky stars you have done such a good job manipulating the Federal Reserve; but just like the boy crying wolf, this strategy loses its effectiveness over time.

    read more!

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March 11, 2015 Posted by | Economics | , , , , , , , , , , , | 1 Comment

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