Posts Tagged ‘Bailout Fund’

I.M.F Expands Lending Capacity by Another $0.5T

As Karl Denninger noted in "If We’re Dismantling Too Big To Fail…" this news is not a confidence builder, but the stock market doesn’t seem to mind. – Ilene  

I.M.F Expands Lending Capacity by Another $0.5T

Courtesy of The Shocked Investor 

This news came directly from the I.M.F. today. It approved a ten-fold expansion of the Fund’s New Arrangements to Borrow (NAB), or between $500B and $550B. About $100B will come from the U.S. (just $0.1T, pocket change for the printing presses).

And we thought the economic crisis had been fixed.

The I.M.F also annoucned that the ‘credit arrangement’ will also change into into ‘a more flexible and effective tool of crisis management’. One also wonders what this means.

This represents a major increase in the resources available for the Fund’s lending to its members.

According to the P.R,. 13 new participants, many emerging countries, indicated their desire to join 26 current participants in the NAB.

Dominique Strauss-Kahn, IMF Managing Director says 

“The expansion and enlargement of the NAB borrowing arrangements provides a very strong multilateral foundation for the Fund’s efforts in crisis prevention and resolution, as an essential back-stop to the Fund’s quota resources. This will help ensure that the Fund has access to adequate resources to help members that are vulnerable to financial crises,”

"The NAB is a standing set of credit arrangements under which participants commit resources to IMF lending when these are needed to supplement quota resources. The expanded NAB will become operational when it receives formal acceptances from the required proportion of current and potential participants, which will require legislative backing in some cases.

The expansion of the NAB will make an important contribution to global financial stability, but it is not a substitute for a general increase in the Fund’s quota resources. The Fund is, and shall remain, a quota-based institution. It is important now that member countries rapidly take the necessary steps to make the increased resources available,” Mr. Strauss-Kahn underscored."  I.M.F. today

 *****

In The Know: Should The Government Stop Dumping Money Into A Giant Hole?, The Onion 


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If We’re Dismantling Too Big To Fail…

If We’re Dismantling Too Big To Fail…

Courtesy of Karl Denninger, The Market Ticker 

… why are we creating a huge international bailout fund?

The Executive Board of the International Monetary Fund (IMF) today approved a ten-fold expansion of the Fund’s New Arrangements to Borrow (NAB) and the transformation of the Fund’s premier standing credit arrangement into a more flexible and effective tool of crisis management. The NAB will be increased by SDR 333.5 billion (about US$500 billion) to SDR 367.5 billion (about US$550 billion), representing a major increase in the resources available for the Fund’s lending to its members.

For a nation that claims to be ending "too big to fail" sticking our people with $100 billion of the cost of this new bailout fund – a fund that we allegedly will never need because we’re going to fix the "too big to fail" problem – is rather interesting, no?

More importantly, what’s the rush?

If the financial system has been "stabilized", if everything is ok, if the stock market is going up because the economy and financial system is healthy, why does the IMF suddenly need $500 billion, with 1/5th of it, roughly, provided by American tax money?

Or is the little ugly here that they know the problems haven’t been and won’t be fixed, and that at any time – all it takes is a trigger – there will be yet another rush for the exits, and this one no single sovereign government will be able to stop?

 


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Phil's Favorites

Theresa May resigns as British prime minister - here's where it all went wrong

 

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Theresa May resigns as British prime minister – here's where it all went wrong

Courtesy of Nicholas Allen, Royal Holloway

Europe has claimed the career of yet another Conservative prime minister. After less than three years in office, Theresa May has suffered a catastrophic loss of confidence in her leadership among MPs and cabinet ministers. She has finally faced up to the demands from within her party and announced her resignation.

Indicating her intention to step down, May said she ha...



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Zero Hedge

Mississippi Floodway May Be Opened, Unleashing 17 Million Liters Of Water Per Second

Courtesy of ZeroHedge. View original post here.

One of the major barriers that keeps the Mississippi River on its course could be opened for only the third time in its history. The opening would be the result of rising river levels and could also flood parts of Louisiana, which would affect businesses in the region, according to Bloomberg.

The Army Corps of Engineers may be forced to open the ...



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Kimble Charting Solutions

DAX (Germany) About To Send A Bearish Message To The S&P 500?

Courtesy of Chris Kimble.

Is the DAX index from Germany about to send a bearish message to stocks in Europe and the States? Sure could!

This chart looks at the DAX over the past 9-years. It’s spent the majority of the past 8-years inside of rising channel (1), creating a series of higher lows and higher highs.

It looks to have created a “Double Top” as it was kissing the underside of the rising channel last year at (2).

After creating the potential double top, the DAX index has continued to create a series of lower highs, while experiencing a bearish divergence with the S...



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Chart School

Brexit Joke - Cant be serious all the time

Courtesy of Read the Ticker.

Alistair Williams comedian nails it, thank god for good humour! Prime Minister May the negotiator. Not!


Alistair Williams Comedian youtube

This is a classic! ha!







Fundamentals are important, and so is market timing, here at readtheticker.com we believe a combination of Gann Angles, ...

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Insider Scoop

55 Biggest Movers From Yesterday

Courtesy of Benzinga.

Gainers
  • Obalon Therapeutics, Inc. (NASDAQ: OBLN) shares jumped 233.3 percent to close at $1.30 on Wednesday after the company reported expanded data from a large scale commercial use study that was presented at the Digestive Disease Week.
  • Ascent Capital Group, Inc. (NASDAQ: ASCMA) shares jumped 51.4 percent to close at $1.37 after the company announced a restructuring support agreement with Monitronics International.
  • Valeritas Holdings, Inc. (NASDAQ: VLRX) shares dippe...


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Digital Currencies

Cryptocurrencies are finally going mainstream - the battle is on to bring them under global control

 

Cryptocurrencies are finally going mainstream – the battle is on to bring them under global control

The high seas are getting lower. dianemeise

Courtesy of Iwa Salami, University of East London

The 21st-century revolutionaries who have dominated cryptocurrencies are having to move over. Mainstream financial institutions are adopting these assets and the blockchain technology that enables them, in what ...



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Biotech

DNA as you've never seen it before, thanks to a new nanotechnology imaging method

Reminder: We are available to chat with Members, comments are found below each post.

 

DNA as you've never seen it before, thanks to a new nanotechnology imaging method

A map of DNA with the double helix colored blue, the landmarks in green, and the start points for copying the molecule in red. David Gilbert/Kyle Klein, CC BY-ND

Courtesy of David M. Gilbert, Florida State University

...



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ValueWalk

More Examples Of "Typical Tesla "wise-guy scamminess"

By Jacob Wolinsky. Originally published at ValueWalk.

Stanphyl Capital’s letter to investors for the month of March 2019.

rawpixel / Pixabay

Friends and Fellow Investors:

For March 2019 the fund was up approximately 5.5% net of all fees and expenses. By way of comparison, the S&P 500 was up approximately 1.9% while the Russell 2000 was down approximately 2.1%. Year-to-date 2019 the fund is up approximately 12.8% while the S&P 500 is up approximately 13.6% and the ...



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Members' Corner

Despacito - How to Make Money the Old-Fashioned Way - SLOWLY!

Are you ready to retire?  

For most people, the purpose of investing is to build up enough wealth to allow you to retire.  In general, that's usually enough money to reliably generate a year's worth of your average income, each year into your retirement so that that, plus you Social Security, should be enough to pay your bills without having to draw down on your principle.

Unfortunately, as the last decade has shown us, we can't count on bonds to pay us more than 3% and the average return from the stock market over the past 20 years has been erratic - to say the least - with 4 negative years (2000, 2001, 2002 and 2008) and 14 positives, though mostly in the 10% range on the positives.  A string of losses like we had from 2000-02 could easily wipe out a decades worth of gains.

Still, the stock market has been better over the last 10 (7%) an...



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Mapping The Market

It's Not Capitalism, it's Crony Capitalism

A good start from :

It's Not Capitalism, it's Crony Capitalism

Excerpt:

The threat to America is this: we have abandoned our core philosophy. Our first principle of this nation as a meritocracy, a free-market economy, where competition drives economic decision-making. In its place, we have allowed a malignancy to fester, a virulent pus-filled bastardized form of economics so corrosive in nature, so dangerously pestilent, that it presents an extinction-level threat to America – both the actual nation and the “idea” of America.

This all-encompassing mutant corruption saps men’s souls, crushes opportunities, and destroys economic mobility. Its a Smash & Grab system of ill-gotten re...



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OpTrader

Swing trading portfolio - week of September 11th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Promotions

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In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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