WWW: Wrong Tools, Wrong Targets, Wrong Diagnoses
The world economy may be entering into treacherous territory. Central Banks and policy makers seem to have misdiagnosed the credit problems and applied the wrong medication. We are referring of course to that fact that toxic assets such as derivatives and the...The Plumbing of the Financial System: Debt Markets and Structured Products
Over the course of the last few months official foreign accounts have been selling US Treasuries. At the same time, the US Fed has been selling Treasuries to its primary dealers whose inventory of government bonds is rising. Moreover, newly issued paper (a.k.a....Financial Conditions and Helicopter Money: Generational Public Ethos and Norms Greet Mr. Market
We are experiencing a transformational change from post-modernity to meta-modernity. As that transformation takes place public philosophy, customs, policies and norms also change. The metamorphosis which is now at works may soon resemble the one described by Kafka in...Counterparty Risks and the Gathering Storm: Inadequate Solutions and Absurd Voices
In a recent commentary we pointed out that one of the largest clearing houses asked for a $50 billion capital contribution from member institutions, (see https://blacksummitfg.com/3375 ). We have also been pointing out that collateral deficits undermine the stability...Sign Up for Our Publications
