Fed Pivot Coming? See this tweet from Charlie Gasparino

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Fed Pivot Coming?

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Mid terms getting close.
It may be time to start buying

I would expect 70-80% of investors would say no Fed pivot. That it comes Q1 or later.

So an early pivot would surely be the outcome

The problem in Britain was the drop in Bond values. The plunge was so sharp, the pension funds began getting margin calls, and those pension funds ( which have much of their assets tied up in ILLIQUID investments like real estate and private equity) were forced to sell off their liquid assets (equities) at a loss .... panicking the markets. The UK govt stepped in and reversed course. They went from an "all-in" QT environment ....to an unlimited QE environment ...overnight

.... a massive shock to the markets. Printing presses subsequently go Brrrrrr .... and the global impact and the shock waves are still reverberating.

What it really says it that global inflation is going to be a lot higher and be around a lot longer than what economists have been previously projecting, and that includes the US.

A similar Bond event is not unlikely for China or the US ... but the impact will be much greater I suspect. Something that bears close observation ....

Interesting tidbit .... Winn Resorts (casino gambling) reported a 91% decline in revenues from Chinese gambling operations ... -91%. What do you suppose that says about the state of the Chinese economy ? .... and what that means for the global economy? .... Pain.

What the pundits won’t tell you:

Central banks will have to monetize all the debt they are about to issue under the cover of WWIII. When all else fails, they take ya to war. Endless wars, crises, pandemics, etc. are all excuses to issue debt. Without being able to issue debt, not only do central banks have no power but the system caves in on itself.

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The problem in Britain was the drop in Bond values. The plunge was so sharp, the pension funds began getting margin calls, and those pension funds ( which have much of their assets tied up in ILLIQUID investments like real estate and private equity) were forced to sell off their liquid assets (equities) at a loss .

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I don’t know what all pensions own in the UK but I know the ones in the US own mostly Alts, Private Equity/RE, Treasuries as well.

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Market will tank after midterms regardless of who wins

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This. We might see a bump if the GOP wins, but it won't be much different than any other bump. Durable goods, GDP, Unemployment, Wages, Earnings... they are all going to be going in the wrong direction and every one of those reports will send the market down once again.

The Bank of England flip from QT to QE was telling. I could see our Fed doing the same. They lack resolve and they’re getting imperfect information

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Fed growing worried about possible "Lehman Moment" w a 4% FF rate as Bonds and derivatives (2/2) tied to them crash

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Can someone explain the purpose of said derivatives and who owns them?

This is like treating a fricking heroine addict.

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Interesting tidbit .... Winn Resorts (casino gambling) reported a 91% decline in revenues from Chinese gambling operations ... -91%. What do you suppose that says about the state of the Chinese economy ?

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It's been closed dude.


WTF are you spouting?

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