Das sollten wir vielleicht auch noch mal diskutieren ...

weissgarnix , Freitag, 14.03.2008, 18:11 (vor 6534 Tagen)

Hi,

ich lese des öfteren auf einer "FEDwatcher"-site namens "wwww.wallstreetexaminer.com".

Dort habe ich im Nachgang an einen Beitrag von Lee Adler, einem FEDWatcher seit mehreren Jahren, der die einzelnen moves im Detail erklären kann, folgende Frage eines Lesers/Antwort von Lee aufgeschnappt:

DefBear wrote:

If the primary dealers were making new loans and expanding business, the Fed could not be so neutral. They would be fighting the upward pressure in interest rates. So I think the maneuvers are just buying breathing room.

However, I cannot understand how the MZM measure of money keeps expanding so rapidly. Margin calls on Carlyle and other hedge funds and corporate tightening should have been showing a multiplier decline effect on money by now assuming SIV collapse is finished.

Can you clarify that aspect? I need some help in that area.

Posted on 14-Mar-08 at 2:13 pm | Permalink
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Lee Adler wrote:

Yes, I have addressed this in the Macroliquidity reports which I occasionally right. I’m overdue, but events are happening so fast and furious, the daily reporting has been overwhelming.

In short, the MZM explosion is entirely due to the massive influx of available cash into institutional money funds. It’s all counted in MZM.

This is the end of the cash panic bubble because a huge portion of the holdings is backed by worthless fictitious capital- short term debt that will never be repaid. The funds are able to hide it because instead of a run ON the funds there’s been a run INTO the funds.

Once that reverses, look the hell out. It’s going to make what’s going on today with Bear Stains look like a Sunday School picnic. It will be like the bank runs of the 1930s, only worse.

Klingt schön schaurig, huh?