Do be aware, the Federal Reserve was making up to $20 billion a night in short term overnight market loans that started in the summer/ fall of 2019, well before the market crash in March-April 2020. A Freedom of Information Act was filed as to who they were ( and still are) making these loans to, their official reply was we will not disclose that information, the Federal Reserve is a private organization. Expect our current financial situation to accelerate and exceed the meltdown of 2008, in severity, intensity and duration. Information I have is to expect extreme “ market dislocations and illiquidity” into 2024.
Checking on the amounts I found a huge surprise, much greater than thought. Keep in mind the huge overnight repo loans started 6 months before this current crisis, and as the recipients are “ undisclosed”, we can assume a huge, historic crash WAS NOT averted, but covered up / delayed by the huge loans and grants issued by the Fed to “ cover” the “ Covid” crisis. It appears this crisis is not even close to shaking out, prepare accordingly, as the secrecy is damning.
“The New York Times reported in September 2019 that an estimated $1 trillion per day in collateral value is transacted in the U.S. repo markets.[1] The Federal Reserve Bank of New York reports daily repo collateral volume for different types of repo arrangements. As of 10/24/2019, volumes were: secured overnight financing rate (SOFR) $1,086 billion; broad general collateral rate (BGCR) $453 billion, and tri-party general collateral rate (TGCR) $425 billion”
Information I have is to expect extreme “ market dislocations and illiquidity” into 2024.
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Just after OR just in time for the medical nonsense(medical cartel not required to follow anti-trust laws + Medicaid/Medicare) to do its belly-up dance.
Those were repos, most paid back by morning or by two weeks. It was not a cumulative amount of money.