When central banks make sure all companies are special by ensuring all survive, then none are special. The discipline of financial rectitude and the fear of default count for naught...
"... the near-term supply of bills is too much and can push bills yields higher from here, risking a reversal to the improved funding conditions the Fed worked so hard to achieve. "
"Lower absolute vol levels have led to a phantom perception that market liquidity has recovered from last month’s stress. Nothing could be farther from the truth."
Ash Bennington hosts Ed Harrison, Real Vision’s Managing Editor, to break down the day’s events. Today, the pair take a deep dive into the chaos of the profoundly fractured oil markets. Bennington and Harrison also discuss the long-term prognosis for the eurozone in a post-coronavirus world. In the intro, Jack Farley discusses the teetering CLO market and analyzes a short play that has paid off big time.
"It’s definitely a bad mistake, especially as it impacts various ETF trades -- what will happen to those trades placed at misleading prices? No one knows as it’s never happened before."
China cut the 1 and 5-Year Prime rate - the benchmark rate local financial institutions charge for new loans - from 4.05% to 3.85%, and from 4.75% to 4.65%.
"24 Hour Fitness has been working with restructuring advisors including Lazard and law firm Weil, Gotshal & Manges to weigh options including a bankruptcy that could come as soon as the next few months."
Nasdaq green for the year. What crisis? The Fed’s got this. Only took $2 trillion in balance sheet expansion in four weeks and all is well again... Non...Sense.
While the government response to the coronavirus may serve as a catalyst for the next crisis, it is the irresponsible actions of central bankers, governments, and globalist institutions that will make the pain so much more intense...
