IRAN – SWAP MARKETS AND FAT BOY NARCO KING -NORTH KOREA NARCO STATE
What do Rogue States that refuse to cooperate in rule of law, in terrorizing the entire world, or in human rights look like? They look like police states. They look like North Korea and Iran. Iran was pumping 2.5 million barrels A DAY when Trump pulled out of the Agreement which only temporarily stopped Iran from a Nuke. Now Iran marches full blast into nuke weapons. They are passing a state budget down by 80% to 38 billion – the USA is a budget of say 13 trillion. By Comparison we spend 770 billion on Military Defense. Iran spends 38 billion on its entire country budget. Down down down the rabbit hole for lack of a 100 page item of paper to create a solid wealth and prosperity agreement. To stay in power the leaders need hatred to bind their people and fear. The Hatred and fear are super focused by leadership on the USA and the WEST. Over two years Iran has fallen off an economic cliff. Its people have zero hope and promise at 38 billion. As Iran seeks a nuke and has lied to the world the world is about to react. The pressure on Iran is going to move along until Iran leadership see the future is 100 pages of paper not the current model.
Fat Boy in North Korea ( I shudder ever time he gets that ego on a poor horse ) never intended to de-nuke North Korea just as we reported here. Fat Boy accuses the USA of TIME DELAY when it was FAT BOY who needed that time delay. Why? First to develop his inter continental missiles from plans he and Putin stole from the USA defense machine. Next to by pass sanctions in a the worlds most successful NARCO STATE – flooding the markets with opium- heroin, Meth, Ecstasy and designer drugs. The Capitol of the global Drug Trade is not a CARTEL TODAY – rather it is the NARCO NATION NORTH KOREA well run by FAT BOY. This flooding the world with drugs as a rogue nation in commerce the world will not allow for much longer. FAT BOY has so many options that are invisible to him, all of which do not end well for his people or himself, which he can’t see and does not know. Meanwhile like some child with a serious learning disorder he ACTS OUT IN PUBLIC as if he had the mental defect of Turrets. North Korea with 100 page of paper could be a wealth estate for FAT BOY beyond his imagination and certainly not matched in his fatal choice to be head of NARCO NATION and NARCO STATE – NORTH KOREA. The worst thing about FAT BOY….he is so predictable.
SWAP MARKETS – WHY DO THEY MATTER:
Banks around the entire world have to settle client asset trades ( daily ) by the trillions – in US DOLLARS the world reserve currency required to settle all asset class trades world wide. As tens of thousands of banks run out of DOLLARS to their settlement responsibilities these banks increasingly turn to the swap markets. Assets the bank holds are secured to loans to get dollars – in a SWAP that has a time term ( short time ) and interest payments ( soaring in cost ) as the SWAP MARKET is becoming unstable.
Regulations do not help. Post GREAT RECESSION ERA regulations globally require banks at year end to report reserves that meet regulatory over sight for system wide liquidity. The Swap market can not handle unlimited growth in swap demands which is taking place now as the SWAP GAP is estimated to be as high as 1.5 trillion in dollar shortage overall. Consider that SWAP GAP is after the Fed put in 76 BILLION US DOLLARS to assure the swap market did not freeze up – again – as it did this September when it ran out of dollars are close of quarter and again now in December. The stress due to year end reporting regulations is enormous as banks lend out less dollars to one another and the dollars in circulation even with the FED constant infusion of 100’s of billions is 1.5 trillion short in dollars. This means the SWAP MARKET could seize up. The central banks of the world are watching this one thing in real time. SWAP INTEREST to get dollars has doubled in 24 months. The cost to get dollars is soaring.
Trump has complained the FED are idiots. Trump has complained that the FED IS:
- Obsolete antique and is out of touch with modern economics.
- That the market has become a NEW AI ECONOMY the Fed lacks any tools to regulate in any context
- That the FED ARE out of TOUCH WITH SUPER CHANGE ECONOMICS and are in effect IDIOTS – Powell is an IDIOT
- That the FED should be merged into US Treasury – and we agree with that one
- That the FED applying old models to an entirely new AI ECONOMY is toxic and hurts rather than helps stability
The FED is market forced to issue 100’s of billions of new dollars into the global system to assure enough dollars are in circulation to preclude LIQUIDITY EVAPORATION DAY. LED DAY. When banks close as they have in Argentina more than once – as they have lat month in Lebanon and depositors can’t get their deposits out – same for Chinese banks seized recently and big banks from Italy to Spain are insolvent and any click runs would deplete the bank liquidity as is the case with criminal Deutsche Bank of Germany now a fraction of its size five years ago as it sells its assets to keep enough money to stay open day to day and the runs out of the bank – NEW CLICK RUNS are a plague from Criminal Wells Fargo to major EU banks in on the LIBOR Criminal price fixing for profit.
Today in a down turn in world trading activity and total growth volumes- in the GAP in the LULL – the banks of the world in December 2019 are running out of dollars ( entirely ) in the global SWAP MARKETS. The Fed is fire hosing dollars into the system sufficient to lubricate the GAP for that ONE CLOSING DAY – say Friday – 76 billion new US DOLLARS.
What does panic look like ?
Oh you’re in panic as a central banker. You are trying to assure the house filled with gas fumes ( Super Debt Bubbles ) does not explode from the oven’s pilot lite your trying to isolate from the gas fumes ( Super Debt ) if only for a day – at 76 billion US DOLLARS flooded into the system to protect the SWAP MARKETS from freezing up running out of dollars as they did in 2007 and the global system CRASHED in stunning economic shock and awe.
So as we kids play and Holiday Shop for our loved ones we wish to acknowledge and appreciate, the GROWN UPS are using butterfly bandages to try and emergency hold the entire system together. The Sequence;
- The bank overnight repo markets ( trillions ) ran out of dollars completely to lubricate the NORMAL market space
- The banks went to the higher priced premium dollar SWAP MARKET and now the demand for dollars is 1.5 trillion and higher than that SHORT – the DOLLAR GAP – the SWAP GAP on dollars to keep the entire system afloat.
- The Fed is leaking dollars at 76 billion ( no small sum ) on FRIDAY ALONE to assure the SWAP Market GAP did not freeze up
- Untold more DOLLARS must flood into the system to keep the lubrication flowing as SYSTEM LIQUIDITY IS THE CRISES
- Liquidity Evaporation Day is a consequence of old failed out of date polices being applied to a new AI economy human beings have never not ever experienced before. To date the Fed and system managers are in full on denial a NEW AI ECONOMY as set forth in my new best seller SUPER CHANGE – exists at all. AI economics is new beyond any prior human experience and AI economics is evolving its all rule based system at speeds unknown to human beings and all without human being involvement. For the first time the economic systems of the entire world are in the control of AI not human beings. That is a fact.
Regulatory agencies fail when they apply obsolete policies into a new AI economy. As regulatory agencies lack the AI required to regulate AI ECONOMICS the markets are out of all human oversight and control.
The Risk in the rapidly evolving AI economic on going experiment = without any double lines or controls of any kind – is LIQUIDITY as we have written about for years now. LIQUIDITY now showing systemic stress loading is a consequence of nations failing to operate collectively. The interdependent economic web of today requires the G 100 nations to RE-REGULATE THE AI ECONOMY using AI to do just that. The plan to RE REGULATE requires all of us ( the full G 100 ) and the step by step method to host a conference an ECONOMIC CONSTITUTIONAL CONVENTION for the entire world is outlined as a blue print for leaders in my book REDEMPTION THE COOPERATION REVOLUTION. The problem is clearly presented. The solution frame work is clearly presented.
Without that solution the SUPER DEBT BUBBLES OF TODAY will move beyond systemic liquidity dynamics demanded of AI economics and the system will self destruct as liquidity evaporates.
Fat Boy could easily be he trigger ( to his own demise as well ) as the NARCO LEADER is as mentally ill as KING MBS and both are sociopaths. This means they have zero conscious on the harm they create to others. Their cruelty say ordering Khashoggi’s head be wrapped and brought back to the Palace – as one – or shooting your uncle with anti aircraft guns for FAT BOY – these are brains that are not normal. Don’t ask WHY THEY DO IT. They do it because they are clinically NUTS.
That is their why.
SO FAT BOY always seeking attention will lob off a hydrogen bomb to show us all how really tough he is. That will trigger then end of FAT BOY. But not before Iran gets a Nuke from Pakistan or China and that points at Saudi right away and King MBS gets a Nuke from Modi or Fat Boy. Which points right at Iran the missile fields are launch pad ready all the one or the other needs is a nuke i a race to FIRST STRIKE WITH NUKES – Saudi to Iran without a deal. Is that insane? Is that normal brains?
They do it because they are NUTS.
Will moving the needle on nations with Nukes lead to an LED DAY a Super Crash in markets ( THE EVENT ) and no recovery because there is no liquidity. AI day after day sells and no buying. NO humans involved. AI sell – sell – sell. When that triggers out how do you bounce back as the core liquidity evaporated in seconds. Panic takes place world wide. Everyone goes for cash out of banks and banks close. They won’t have liquidity to pay even 5% of its depositors. Your money is not sitting in a bank. Its leant out i SUPER DEBT BUBBLES.
Super Debt Defaulting tips the system liquidity over the top.
Nuke events could tip the market over the top.
Crazy brains are the risk as they always have been – Hitler for one.
Today its the head of Iran and the head of Saudi and Fat Boy in North Korea – pure on crazy brains. What could have unfolded by today is global peace stability and prosperity no nation left behind. We do not have this outcome because the crazy brains want power and need an enemy to hate to bind their people together against the GREAT SATAN or the focus of hatred as a uniting glue for mass populations.
The forces working to keep the system stable and liquid are doing the best they know how.
The forces working against exploiting weakness in the system are criminal master minds not to be under estimatated.
World War III began with a first ever DIGITAL WEAPONIZED ATTACK ON OUR MARKETS in 2007 by the axis of evil – who made fortunes almost destroying our core system backbone via liquidity. CEO SPACE worked with regulatory advisers at the time working to save the financial system of the entire world to:
A) Document this was a DIGITAL WEAPONIZED ATTACK
B) Define the only course of action to DEFEAT THE WEAPON
C) The cost was far greater than it needed to be because of denial by leadership we were under a real economic World War III asymmetrical warfare attack.
Today all this history is well documented in Kevin Freeman ( hedge fund manger and DOD consultant ) two books THE SECRET WEAPON ( that is eye opening ) and GAME PLAN – discussing tomorrow so you have your GAME PLAN as no one OUT THERE Is protecting you today nor do our leaders who well know the problem have a game plan.
So the entire system globally is at risk of THE EVENT and Liquidity Evaporation Day.
Congress should take no action that signals instability to the world markets.
We are in WORLD WAR III which is asymmetrical warfare under Putin’s master plan and XI in full execution.
Trump is the elephant in the room to the Putin War Plan and Trump has rolled back territory for USA economic strength in war time.
Congress rather than protect stability confidence and liquidity to the global system is using the political theater of IMPEACHMENT. Impeachment is adding another impossible stress to day to day dollar liquidity in the world. The Dollar has soared in value making US goods impossibly more costly – which TRUMP has stated the trade WAR Is now a full on currency war with every nation manipulating for ITSELF. Lower its currency raise the dollar. Without FED joining the WORLD WAR III which is still economic only the battles are being lost – not due to the USA POLICY but due to FED failed obsolete antique policy. AI economics is FED INTOLERANT for errors.
Congress could help to win the war decisively.
However Congress now locked in impeachment theatrics provides leverage to our enemies in war time to gut the the WEST.
The real risk to the west today.
Will our enemies seize the congressional dysfunction – WAR OPPORTUNITY MOMENT AND:
- Move trade deals off the table signaling we don’t believe TRUMP will even BE President in 2021.
- Attack our market liquidity with digital war fare that could evaporate market liquidity entirely.
- Act out – say Saudi – Iran or North Korea – with China protecting them all – as proxy in the Putin War Plan?
These moves by enemies can destabilize unstable economic AI new markets.
It our conclusion we have never not ever been so vulnerable.
If you where Putin winning the war since 2014 what would you actually do? You have achieved:
- World premier stature as the POWER leader offsetting USA power in the world today
- You won in Syria and secured your med ports for military out reach to all of the EU
- You won in Ukraine punishing the USA for moving NATO EAST breaking your promise to Russia – now Russia has more port power into the entire EU and land foothold to the Soviet Union trading territories
- EU gets its energy from Russian Pipelines through Ukraine – NEW PIPELINES Through Germany make the EU utterly dependant on Russia for the cost of everything else – energy itself. Putin wins.
- Putin is partners with China on SILK ROAD COMMERCE the largest new trading zone every created and the USA is out and Putin has won the economics.
- AI – Putin has hacked the world and is rushing with China far ahead of the West in AI for military for monitoring everyone all the time like no nation outside science fiction movies. Taking place today. Right now.
- Putin has fractured Nato that France says is BRAIN DEAD drawing attention a highly divided NATO does not wish to pay for common defense nor do members agree they will act as NATO CHARTER sets forth. NATO IS SHATTERED by Putin winning – in asymmetrical warfare – divide NATIO – Turkey to Balkans PUTIN WINS.
As PUTIN watches Market liquidity vulnerability to ( US NOT HIM ) he and XI can prepare for what they DIGITALLY COOK UP in what comes next in asymmetrical warfare – THE EVENT – in which XI and PUTIN create a great economic winter – WINTER IS COMING – where the west see’s all systems freeze into bankruptcy and a super depression sweeps the world.. The new leaders in world order and power arise CHINA AND RUSSIA. Putin game plan wins.
Kevin Freemans work outlines THE SECRET WEAPON game plan of Putin and XI as we do in REDEMPTION THE COOPERATION REVOLUTION. Redemption presents the solution. THE KILLING OF UNCLE SAM is another great researched read on the facts and data you never learn in school or news anywhere – but the solutions are not workable compared to the economics set forth by REDEMPTION. Economists and SEC commissioners created the solutions in Redemption journalists did the best they knew hour in THE KILLING OF UNCLE SAM ( Tampa Bay journalist by the way ).
CONSOLIDATION OF WEALTH – DEATH TO ECONOMICS GLOBALLY DUE TO LIQUIDITY CIRCULATIONS
Today four banks control the majority of the liquidity. This has become dangerous. These SUPER BANKS are controlling investment banks hedge funds and private equity and family corporations. The SUPER BANKS are short on dollars for their own business liquidity in dollars. So they PULL BACK From lending in over night repo and swap markets. Because the concentration of 100’s of billions of US dollars is so concentrated in SUPER BANKS now the base or diversity of dollar flows has reached a tipping point. The SUPER BANKS are really investment banks. They have engineered new instruments tampering with traditionals repo and swap markets. REPO’s are assets banks put up to get DOLLARS overnight and then repossess their assets in the normal course of their business. Except when they don’t have enough dollars. The NEW AI modeling has now created a first on many levels in economics. What are these firsts?
- The repo market dried up and had no dollars AT ALL in September.
- The SWAP market dried up and had zero dollars.
- The interest set by the Fed for overnight borrowing – say 1.5% soared to over 10% and still no dollars
- The Fed flooded the market with almost 100 billion of US dollars to restore market liquidity that evaporated. Right again.
- The Fed is still flooding the market with US DOLLARS as the SUPER BANKS are investing in higher profits than REPO.
AI is allocating dollars not human beings. The AI new economics is allocating dollars in ways that fail to support market required flow dynamics into core instability due to liquidity. PUTIN and XI can exploit this rising crises during the Holidays into mid January and may ;yet do so. The outcome would be panic – Super Crashes – and massive insatiability globally. Impeachment would be the farthest things from anyone’s mind.
Congress failing to re-regulate the new AI ECONOMY has developed a global crises. The FED Has made it so much worse in their policy errors that dried up dollar liquidity prematurely – which they know looking back. They are steering in the rear vision mirror. Right again.
The liquidity problem is actually a crises because the old rules on how to moderate liquidity evaporation do not apply to new AI ECONOMICS when AI for the first time allocates dollar flows and locations and profit positioning – not human beings. The outcome to the rising new AI economy is as we have reported a LIQUIDITY EVAPORATION DAY RISK of systemic failure. The canary in the mine may just well be the REPO and SWAP Market outcomes daily globally where liquidity of dollars is vaporizing. Market players have no option if the central banks or the SUPER BANKS remove any further dollar dynamic from the flow overall. The liquidity crises is new in economics because we are now well into AI ECONOMICS and those making policy are clueless that the economy they knew is gone as yesterdays breeze. Try and find that…….
The risk is liquidity.
How long can liquidity stress loads being experienced right now in Dec 2019 be moderated by institutional managers ( The FED and US TREASURY ) ?
Answer – unknown.
Will Putin and allies attack the west again digitally to tip liquidity into evaporation?
Harder as we now have AI monitoring PUTINS AI. But we may lose the AI wars. Putins and China’s AI may be smarter and more effective at desired outcome ( they win the war ) than our AI. It remains all unknown.
Why does Putin rush into 20 minute nuke delivery systems world wide?
Because if he attacks and murders our economics ( asymmetrical war plan ) and our AI in real time defines it is China and Putin though they both attack through Iran and North Korea as if THAT FOOLS OUR GROWN UPS IN THE PENTAGON. There risk if they AI attack us today is WHAT WILL WE DO. Will we nuke them? Probably not if they can nuke us in 20 minutes which they can’t yet.
So will Putin wait till he can nuke us in 20 minutes so we don’t nuke him if Putin brings down the WEST in WORLD WAR III that is being fought digitally in battles every week world wide. Oh you did not know that? Well now you know THAT ! Space Force is another level of telling PUTIN – time is not on your side.
So yes we think Putin waits till the election is over and or he gets those 20 minute delivery weapon systems – which we frankly have now and Putin will be some time before he and China have them together. Keep in mind they are ONE in the WAR – they are fast allies and Xi said on is 66 Birthday eating Russian Cake and Champagne that – PUTIN WAS HIS MENTOR OF MENTORS.
If we are in a real war – DIGITAL WORLD WAR III – then never forget CHINA and RUSSIA are ONE !
Also if are fighting to our own death WORLD WAR III why is congress who knows this war is GAME ON helping our enemies with impeachment which substantially weakens AMERICA from within in 2020. In war time.
Congress – and Nancy Hater – you are a liar. Civilization and our Republica are not at risk from Donald Trump or any serving President sweetie. The United States of America is at risk because you in WAR TIME have failed to:
- Pass a US BUDGET as required by law or fund our military before you leave on Christmas Holiday
- Pass infrastructure while our ports bridges transportation and power grids are all in decay and no longer modern
- Pass immigration reform asked for over four years now so that 10 million in terror in America could know peace this Holiday
- Pass entitlement reform so 35 million American’s do not risk their health care and their social security because of you Nancy
- Merge the Fed back into USA treasury and we win the AI economic war with that emergency act of congress by itself
This weekend you fiddle while at WORLD WAR III Rome ( THE US AND ALL OUR ALLIES WORLD WIDE ) burn while you and congress fiddle all weekend in WORLD WAR III. Your drafting articles as nasty as you know how to assure President Trump has that item shoved up his personal ass for his Family Holidays this year – MERRY FUCKING CHRISTMAS before the entire Congress goes home for Holiday break into Mid January. One party after another. Everyone patting you on the back saying – wow you got him.
Which is a total fraud and lie.
IN WORLD WAR III it is the CONGRESS that is losing the war.
- Not the department of defense working now on 770 billion in funding for 2020 with no assurance congress will not default to authorize the approved sum to allocations – exactly – so the DOD can run in fact in war time – they are all working round the clock while Congress hammers out impeachment indictments – so they are funded in WAR TIME versus having to stop activity due to congress – first breach on military funding if NANCY doesn’t close this completion – in 60 years. A first Nancy not to be proud of in war time.
- Congress weakens the USA in World War III by not passing a USA BUDGET Required by law in September and not passed for years as now the budget is a political foot ball – weaponized for politics and failing to pass a budget is impeachable to congress and is ILLEGAL under the US CONSTITUTION. Nancy fiddles while Rome burns ( all of us ) as the risk rises to the EVENT. From Nancy .
- Congress weakens the USA with impeachment and failure to pass the 7 items of WAR WINNING legislation required to decisively win the war.
- The Fed idiots keep the US dollar way to high as over two years Powell has made sure Trump and the USA lose the CURRENCY WARS which we are now losing due to the dollars high cost.
The dollar soaring cost ( the FED IS HURTING THE USA IN WAR TIME ) creates i the swap markets ungodly higher cost just to get US dollars – in overnight SWAPS by the trillions folks. 76 billion short on Friday due to failed Powell and Fed policies we have well documented here. RIGHT AGAIN.
The RISK IS LIQUIDITY. The ball is round and round on the WORLD WAR III ECONOMIC roulette table spinning. Where that ball drops is any one’s guess and Putin IS trying to RIG THE TABLE and our elections. Make no mistake about that in war time.
So the world is divided between Putin riots and socialism and conservative population voters.
As never before.
There are reasons to be optimistic about 2020 and 2021. I outline them all in my book SUPER CHANGE.
There are reasons to be risk observant to THE EVENT in economic war time because you KNOW MORE THAN OTHERS KNOW. My recommendation:
- Own your own business or professional practice be entreprneeurial in the AGE OF THE ENTREPRENEUR
- As you part time or full time build your entrepreneur muscles you will prosper in every and all markets
For over thirty years we have suggested how.
We will continue to guide our readers into the future. Please share this blog with your tribe and subscribe it is free and privacy is extreme protected.
Berny Dohrmann – Serving you this Holiday is our only reasons and our only WHY thank YOU for the privialge
LIVE AT CEO SPACE DALLAS
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