RED ALERT -- The Fed to Dump $53 Billion PER DAY Into Repo Market Until Oct. 10th

financearmageddon.blogspot.com

The Federal Reserve conducted a repurchase operation involving $53 billion worth of various debt instruments as it seeks to control the level of its benchmark interest rate. It was the first such move in a decade. So, it took a decade for the banks to blow through trillions of dollars on hookers and blow and other mal-investment. Today the junkie is looking for his next fix, it only took $53 Billion to calm him down.

The “repo” move, comes a day after market turmoil in which rates spiked at record levels and worries grew that the Fed was losing control of its benchmark rate. The repo markets serve as short-term plumbing that runs the financial market’s operating systems. In extreme cases, breakdowns can lead to financial crises such as the one that engulfed Wall Street in 2008 when overnight lending dried up between big Wall Street institutions. Banks and Banksters get free money, we have to go to work for our money .

And for those wondering why the Fed did a repo, the answer is simple: it did not want to launch QE just yet. But make no mistake, once repo is insufficient, the Fed will have no choice but to escalate to the next step which is open market purchases. Which brings us to the bigger question of how long such overnight repos will satisfy the market, and how long before the next repo rate spike prompts the Fed to do the inevitable, and restart QE. Apparently they can't print enough to solve Triffin dilemma. That is why rehypothecation and repo exist.

Going back to a gold standard would eliminate millions of useless banking jobs ( and military supplier jobs too. it will be the greatest QE ever! Much better than Obama's QEs. and we'll have rate cuts. the most beautiful rate cuts and QE you have ever seen for the greatest economy in the history of mankind ,or even longer. And so it begins . This is the first step toward an ever increasing series of desperate measures by the FED and the major banks ,the FED's owners , to stave off the consequences of their market manipulations (e.g. theft, fraud, racketeering) over the past 12 years (and more).

Expect it all, ZIRP, NIRP, whatever they can think of. In 30 minutes they printed an amount of currency actually able to buy all the existent investable physical silver. That's the craziness of present times. I keep imagining that this is the first small leak in a temporary dam that has been holding back way too much water for way too long ,the deluge is surely coming. This could be the first dribble of water flowing out of the crack in the damn of our Financial system.

I also remember the FED saying, very recently, all the banks were in great shape after doing some type of liquidity test Actually, via US Dollar Reserve Currency status, every country with a Reserve Bank is fucked. Repo ripples will be tectonic across all countries, unfortunately, not all reserve banks have the reserves or ability to print to infinity.

Our inflation levels are already through the roof. By exporting US inflation relentlessly to the world via exchange rate manipulations, weaker currencies and economies will fall first. Going to be a hell of a week . Make debt great again!

By the time I finished this video, the national debt increased a few billion. Just throw it on the pile as it will never be repaid so just run up the bar tab while you can.