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@RaoulGMI I have no idea. My questions are not rhetorical.
Just think the market dynamics so bizarre that Eurobanks were able to squeeze US banks *so hard* that
UST O/N repo rate was 300bps higher than junk bond yield at one point.
Just think the market dynamics so bizarre that Eurobanks were able to squeeze US banks *so hard* that
UST O/N repo rate was 300bps higher than junk bond yield at one point.
@RaoulGMI A bit of clarification, PD survey and Fed data are both global aggregate, I.e. domestic + foreign.
So there has to be some $80-120bn reserve being rapidly pushed from US banks to foreign Banks earlier this week to cause such stress. Intentional or coincidental.
So there has to be some $80-120bn reserve being rapidly pushed from US banks to foreign Banks earlier this week to cause such stress. Intentional or coincidental.
@RaoulGMI 9/30 could be ugly if NYFed does not step up their repo capacity..
Now, who is going to be forced to unwind?
Now, who is going to be forced to unwind?
