>>8405101 LLB
like i was saying this to a 5 year old…
Derivatives = GAMBLING ON INTEREST!!!
What are interest derivatives based on? Bonds that pay interest every 6 months. The Banks issue the bonds, which are sometimes backed by the government. If there is 1 bond on earth that costs $10,000,000 and pays 3.00% interest every 6 months. One bank will bet the rate will go up and the other will bet the rate will go down. Here is the crazy part. Banks are betting on the interest of that 1 bond, but they can bet the interest of more than the actual amount, which is the "imaginary" or "notional" amount. Which allows banks to bet on the interest of much more than the actual existing amount of bonds. I will sell interest of 3.02% on 5 Billion of bonds and another bank will buy interest of 3.02% on 5 Billion of bonds. Based on the movement of the actual interest, which moves to 3.03% on the 1 bond. The guy who bought the interest at 3.02% made .01% profit on interest on 5 billion "imaginary" bonds. But the guy who sold the 3.02% position of interest lost .01% interest on 5 Billion "worth" of bonds.
The earths GDP is 85 Trillion Dollars.
https://en.wikipedia.org/wiki/Gross_world_product
The banks and investment houses have derivative positions's gambling the interest on 800 Trillion in imaginary bonds. That is a lot of interest. 1 Quadrillion is 200 trillion away. How does this relate to the last bailout. In 2008 they claim the notional amount of the mortgage backed securities was 600 Trillion. Last crash was Mortgage backed Bonds. This one is just on different Bonds.
Now they told everyone the 2009 Bailout was 787 Billion. In 2011/12 the real bailout happened and from 14 to 29 trillion was given to banks to clean up all their bad positions gambling on Interest. They told people this bailout was done by the Fed, but the money came from the US Government.
https://www.forbes.com/sites/mikecollins/2015/07/14/the-big-bank-bailout/#74a77d1b2d83
POTUS is telling the FED to do their own bailout. So the Fed pumped 1.4 Trillion into the bond market the last two days and another 4 Trillion the next two weeks.
Corporate Lending Bubble = Banks loan money to corporations. These loans are made by salespeople at banks who make $$$ based on the loans they give out. "We are too big to fail" = banks mantra since last bailout. These people need to meet goals to get bigger bonus's. So they give out money to everyone and anyone who asks. MOST OF THESE LOANS ARE TO SHIT BUSINESSES WHO ARE NOT PROFITABLE. But they just take more money out to keep running. 9 Trillion in total loans. 5 Trillion may be B A D loans!!!
People used to worry about future generations. Now they all try to make ends meet and ownership just drains communities dry. Government Regulation is needed in order to keep an eye on ownership AND workers. Regulation was laws like The Glass-Steagall Act which ended in 1999. Some say it started to end in 1950. This act prevented Investment Banking from interacting with Retail Banking.
Economists claim the only answer is to make banks be responsible for their actions. Let them go under if they are unable to operate. POTUS is making the FED prop up all the bad derivative positions banks hold and loans the banks have given out. This is the reason the FED is giving 5.4 Trillion the next two weeks to Banks on Wall Street. This is not enough to stop the crash that is coming. POTUS met 8 bank CEO's yesterday before the market tanked. I honestly believe they all know POTUS is concerned with saving this country, not having a foundation with 200 million in it when he leaves office. Bailouts are done. He made a point of saying the banks have a 20 Trillion cash surplus. Retail Banking will not be held hostage by Investment banks bad practices. I think the banking industry is at the Patrick Swayze Roadhouse moment…It will get worse before it gets better. But eventually…..
Let us dream:
PRODUCTION is the key to set US free. Many of us are going to be working by rebuilding this Country’s infrastructure. Or at Tesla or Boeing or Detroit. Machinists supporting these industries. My Pillows! Stuff made here that people use. Teaching and vocational schools. College with a purpose and goal. Not a place to hang for 4 years and be indoctrinated into the Frankfurt / Oxford mantra of DESTROY THE USA! FORGET WEED AND GAMBLING as businesses. Bad things that do not lead to a healthy society. Weed is like ibuprofen. It is awesome at first but it mask’s your real issues. Deal with them.
and listen to your parents and eat your vegetables.