"We risk becoming the best informed society that has ever died of ignorance"
- Rubén Blades

"You can't make up anything anymore. The world itself is a satire. All you're doing is recording it"
- Art Buchwald

"It's getting exciting now, two and one-half. Think of everything we've accomplished, man. Out these windows, we will view the collapse of financial history. One step closer to economic equilibrium"
- Tyler Durden

"It is your corrupt we claim. It is your evil that will be sought by us. With every breath, we shall hunt them down."
- Boondock Saints

Thursday, January 12, 2012

Is The Fire Out?

The spreadsheet we posted a few days ago is meant to be used along with what is posted below.  As the picture clears up for most, many of us have been keen to the rapid increase in awareness to the bogus financial system.  Big money is leaving the known pockets in the Eurozone but most are using their assets as collateral for reverse repo's with the Swiss National Bank.  People, I've found, make a habit of saying things like "global confusion" or "too risky" without really understanding it.  Find out yourself what the confusion is and it makes things a hell of a lot easier.  The FRBNY is issuing extreme amounts of USD to the Europeans.  Same with the Japanese but not as much.  The money is already parked worldwide in places like the US, Africa, Asia.  It's not in the equity markets, it's not in the etf market (Victor Lazlo said today on Bloomberg TV that "I'd rather buy the guys who SELL ETF's rather than those who buy 'em"), it's not in the mutual fund market and it's not in a traceable bond market (I'm talking the real money).  The really smart money, is working in the shadow system turn phony value into real assets.

These swap facilities respond to the re-emergence of strains in short term funding markets in Europe. They are designed to improve liquidity conditions in global money markets and to minimize the risk that strains abroad could spread to U.S. markets, by providing foreign central banks with the capacity to deliver U.S. dollar funding to institutions in their jurisdictions. (Link)
US Treasury Eurozone FX Liquidity Swap Usage

From ECB:
These data contain ex post data (in EUR millions) on volumes of: 1) open market operations; 2) recourse to the marginal lending facility; 3) use of the deposit facility; 4) autonomous liquidity factors; 5) current account holdings; and 6) reserve requirements.
ECB Daily Liquidity Conditions

Day-to-Day Percent Change
ECB Deposit Facility

These data contain benchmark allotment amount (in EUR billions) which is the allotment amount in the main refinancing operations that allows counterparties to smoothly fulfil their reserve requirements, taking into account the expected liquidity supply through other open market operations and the ECB's forecast of autonomous factors and excess reserves.
ECB Benchmark Allotment