from Financial Survival Network
John Rubino is back… Remember just a few months ago when repo rates went from 1 percent to 10 percent overnight. The Fed assured us that it was because of quarterly tax payments, or who knows may it was a YouTube video that caused the meltdown. Well, we speculated from the get go that it was one or more major banks going bust. We were close to the truth, at least according to the BIS (Bank for International Settlements) it was hedge funds hocking their treasuries to stay liquid. But the main funding big banks pulled the plug. Seems they were rattled by the sudden surge in demand and were trying to reign in their risk. But we’re convinced this is only part of the story and the net result is still the same, QE3.5 or better is with us forever.
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from Kerry Lutz Podcasts – Financial Survival Network https://ift.tt/2YBctyf
