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Liquidity drought could spark market bloodbath!

serfserf Member Posts: 9,217 ✭✭✭✭
edited May 2015 in Politics
Sure looks like this Fall is going to be the big crash time for The Silly West and it's banks! War will come soon after in The Middle East.

serf

http://www.telegraph.co.uk/finance/markets/11581820/Liquidity-drought-could-spark-market-bloodbath-warns-IIF.html

We've rewired and re-engineered the global financial regulatory system and as a result we're having profound impacts on institutional arrangements. At the same time we've had this rapid change in benchmark prices such as a 50pc drop in the price of oil, a rapid change in the dollar and other exchange rates and another drop in commodity prices," he said.

"Once you bring the rapid change in major benchmark prices and a change in the architecture of the global financial system together, you could end up with outcomes that are pretty painful, and certainly unknowable."

Mr Adams warned that the US Federal Reserve's first interest rate rise in almost a decade would also cause disruption, and that the "the most transparent and telegraphed move in monetary history" was unlikely to prevent some dollar denominated debts from "blowing up" in emerging markets.

Comments

  • fordsixfordsix Member Posts: 8,554 ✭✭
    edited November -1
    intrest rate drop to 0 is causing the rich to get richer and the regular joe gets no interst on any funds he has bank pays .03 yet charges 4% on loans
  • serfserf Member Posts: 9,217 ✭✭✭✭
    edited November -1
    quote:Originally posted by fordsix
    intrest rate drop to 0 is causing the rich to get richer and the regular joe gets no interst on any funds he has bank pays .03 yet charges 4% on loans


    Yeah I had Discover card try to loan me 25,000 at 7.00 percent this week,what a joke! They hinted there was no collateral however I bet if I went and file bankruptcy that The Feds Court would hold my feet to the fire. [:D] Unlike the big banks to big to fail with billions forgiven!

    serf
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