Does Bernanke REALLY Think QE Will Boost Home Prices

Zero Hedge ^ | 11/09/2010 | Phoenix Capital Research

[ASOC]

(snip) According to the Office of the Comptroller of the Currency’s Quarterly Report on Bank Trading and Derivatives Activities for the Second Quarter 2010 (most recent), the notional value of derivatives held by U.S. commercial banks is around $223.4 TRILLION.

Five banks account for 95% of this. Can you guess which five?

(snip)

[ASOC]

Read the full piece at the link - not for the faint of heart - but offers a possible reason for the recent QE2 that seems to fly in the face of "conventional wisdom"

IOW - Bail'n Ben is taking care of his buds - at your expense.

[Rich21IE]

Page not found
The requested page could not be found.

[DustyMoment]

Does Bernanke REALLY Think QE Will Boost Home Prices

Probably. He isn't the sharpest knife in the drawer.

[ASOC]

The posting software seems to have truncated the URL

http://www.zerohedge.com/article/debt-bubble-chronicles-does-bernanke-really-think-qe-will-boost-home-prices%E2%80%A6-or-he-simply-tr

Cut and paste this URL into your browser - the article appears just below the headliners./.... Just checked and works for me.

[Toddsterpatriot]

the notional value of derivatives held by U.S. commercial banks is around $223.4 TRILLION

I bet $10 on the Bears game. The notional value of my bet is almost $2 billion. Do I need a bailout?

[RckyRaCoCo]

Does Bernanke REALLY Think QE Will Boost Home Prices

Of course not...he just wants the serfs to think it will.

[patton]

The premise makes no sense to me. If a loaf of bread is $42, how much is a wheel barrow - more less a house?

[ASOC]

I believe the ZH poster was trying to make the point that the Fed is saying this QE is to ‘help’ housing prices
but in reality, it is another bailout of the Big 5 banks.

What struck me was the sheer size of the derivative markets.

And some think Vegas is the hub of gambling....

[Toddsterpatriot]

What struck me was the sheer size of the derivative markets.

And the tiny number of people who understand what it means.

[ASOC]

It's all paper anyway - eh?

Read and enjoy.

[Toddsterpatriot]

If you don't understand what notional means, you probably shouldn't say anything about derivatives.

And if you understand that a loser for one is a winner for the counterparty, you'll be less likely to get your panties in a wad.

Thanks for the link, let me know if you learn anything from it.

[ASOC]

I publicly bow to your godlike knowledge of all things money related.

Now, how is it that the latest QE is not a bailout of the big 5 banks?

[Rich21IE]

Thanks; chilling articl and spot on I fear.