Wednesday April 2, 2014
Banks are Broke
Netanyahu a Direct Enemy of the U.S. Constitution and the American People
by Tom Heneghan, International Intelligence Expert
UNITED States of America - Tonight we bring you the latest report from ZeroHedge.com on the insolvent worldwide banks, which beckons financial Armageddon.
At this hour we can report that Russian Federation President Vladimir Putin, with the assistance of German Bundesbank President Jens Weidmann, has withdrawn all Russian investment funds from the now insolvent German Deutsche Bank.
Weidmann has ordered that the insolvent Deutsche Bank derivatives will be passed on to the counter parties criminal U.S. banking giants JPMorgan Chase and the U.S. Bank of America.
Putin is now backing the Russian ruble with their massive gold reserve as to protect the Russian currency from the criminal algorithms and derivatives that are used on a nightly basis in financial worldwide markets.
$242 Billion: That Is How Much Record "Window Dressing" Banks Got Today Thanks To The Fed
Submitted by Tyler Durden on 03/31/2014
The last time banks scrambled to pad their books into the quarter end, and come begging at the front door of the NY Fed's Liberty 33 office, was on the last day of Q4 and 2013, when nearly $200 billion in Treasurys were handed out by the Fed to over 100 counterparties in what was the largest reverse repo operation conducted by Ben Bernanke, and his brand new Fixed-Rate Reverse Repo operation, in history.
That was the record until today, when just over an hour ago the Fed disclosed that as part of its most recent reverse repo operation, it had handed out to 93 dealer banks and other financial intermediaries, both foreign and domestic, some $242 billion in Treasurys in what is now the biggest reverse repo operation in history, a privilege for which the collateral-starved banks paid the Fed the king's ransom of 0.05% in annual interest, i.e., nothing.
So while hedge funds, speculators and assorted vacuum tubes are rushing all day to bid up all the overvalued stocks they can find in order to make their quarter end P&Ls appear more attractive to LPs even as the early ramp and late selloff is again set to resume tomorrow, the megabanks too were rushing to the "window dressed" safety of Treasurys in order to make their balance sheets appear more attractive to regulators and supervisors, in a world in which high quality collateral is much more valuable than the Fed's fungible reserves, and which helps indicate much higher capitalization ratios than otherwise would be observed at the collateral-starved banks.
But what today's off the charts reverse repo really shows us, aside from the fact that all the reverse repo operation really is, is a way for the Fed to make bank balance sheets appear far better than in reality (for all those still confused), is that the collateral shortage we have been warning about for the past several years, and which is getting only more acute the longer the Fed soaks up all 10 year equivalents from the Treasury market (of which it now holds 35% and rapidly rising), is getting worse for banks.
And in related news, one should consider that tomorrow - with their books well padded for the March 31 daily security "holdings" - the banks will almost certainly unwind over $100 billion if not more of today's reverse repo, an amount that is now equal to nearly two full months of QE. Where that money will go, only the (NY) Fed and a few bank CEOs know.
Then again none of this should come as a surprise - we said precisely this during our last such window dressing observation, to wit:
In short: collateral window dressing on; collateral window dressing off, all with the blessing of the banks' overarching regulator, the Federal Reserve. What is most disturbing is that both the world's largest financial firms, and by implication the Fed, just admitted there is a massive collateral shortage currently if banks are forced to pad their books to the tune of nearly $200 billion in "high quality collateral" just to pass year-end auditor muster.
Today's record quarterly window dressing merely confirmed precisely this.
So while the Fed can provide on both an orderly and on an emergency basis up to the total amount of Treasurys it holds on its entire balance sheet amounting to $2.3 trillion (as of today), what will happen if banks find themselves needing to urgently satisfy $2.4 trillion, or $2.5 trillion, or $5 trillion, or more in Treasury deliverable demands, as collateral chains suddenly collapse on themselves as they did the day after Lehman's bankruptcy and rehypothecated Treasurys, not to mention re-re-re-rehypothecated Treasurys have to be delivered once those infamous "off the books" repo and reverse-repo operations suddenly find they aren't quite netting each other off, as we have also been warning for years.
We hope not to have to find out, at least not for some time, because the outcome would make the Lehman aftermath seem like a walk in the park.
P.S. The second shooting incident at the Fort Hood, Texas military base is no coincidence.
Fort Hood is a noted outpost for the training of U.S. Gary Best Inc. assassins tied to the rogue Israeli Mossad and the Bush-Clinton Crime Family Syndicate.
Reference: A majority of the personnel at Fort Hood, Texas military base are under medication and are trained in Nazi Paperclip NSA mind control operations designed to attack the American People.
P.S.S. Direct message to neo-Nazi (never elected) right wing Jew Israeli Prime Minister Benjamin Netanyahu.
Stand down NOW, punk!
Netanyahu is currently blackmailing alleged U.S. President Barack Obama in trying to gain the release of HIGH TREASON U.S. traitor convicted spy Jonathan Pollard.
Reference: Pollard is an American citizen born in the United States is also a tribalistic Jew who sold out his country on the behalf of a foreign state.
Jonathan Pollard not only sold U.S. national security secrets to Israel (with Netanyahu as the bagman) and then sold the same U.S. national security secrets to the then Soviet Union.
What was sold to the Soviet Union were U.S. computer codes on a U.S. nuclear first strike vs the USSR, which now the government of Israel possesses making the United States Military a guinea pig for Israel's own nuclear arsenal.
ANNALS OF ESPIONAGE
The case against Jonathan Pollard.
BY SEYMOUR M. HERSH
In closing, another direct message to Nazi Jew Netanyahu:
Pollard is going to be executed for his HIGH TREASON endangering the American People.
Note: Netanyahu was a 9/11 co-conspirator in Nazi George W. BushFRAUD's 9/11 FALSE FLAG BLACK OP aka BushFRAUD's Reichstag fire (Hitler) and now Netanyahu is directly linked to evidence soon to be released by NSA whistleblower Edward Snowden to the Bay Point Schools-NSA-Israeli AMDOCS overthrow of the year 2000 presidential election.
This coup de etat led to the destruction and shredding of the U.S. Constitution.
Accordingly, final message to Nazi Jew Benjamin Netanyahu:
Quit using your Republican Jewish lobby to threaten U.S. Senator Rand Paul, Republican of Kentucky.
You will stop NOW!
. . .
Trouble copying this briefing? Highlight, copy and paste text into a word document, enlarge the font size from a size 1 font to 12, 14, or 16 font then copy and paste into any email, blog, forum, document, etc.
. . .
As we live free or die, Lafayette remains at Brandywine and Albert Gore Jr. remains the year 2000 duly elected, non inaugurated, natural born REAL President of the United States.
Duly elected non-inaugurated, natural born
Albert Gore Jr.,
the REAL President of the United States
The Bush-Cheney-Clinton junta used the criminal Nazi Paperclip NSA to steal five (5) states: Florida, Tennessee, West Virginia, Missouri and New Hampshire from then Vice President now year 2000 duly elected natural born Albert Gore Jr.
This criminal elite used the Voters News Service with the assistance of the CNN cable news network to place a computer virus in the Voters News Service in Gore's home state of Tennessee, which has a massive CIA outpost to complete the Bush-Cheney-Clinton coup d'état versus the American People.
SAVE THE U.S. CONSTITUTION,
OUR AMERICAN REPUBLIC
AND WE, THE PEOPLE
PATRIOT U.S. MILITARY
DEFENDERS OF THE U.S. CONSTITUTION,
OUR BILL OF RIGHTS, OUR FREEDOMS AND OUR LIBERTIES
WE ASK OUR CREATOR
TO SAVE OUR AMERICAN REPUBLIC
AND RESTORE THESE UNITED STATES TO
CONSTITUTIONAL 'RULE OF LAW'
The Statue of Liberty Enlightening the World
In its international aspect the statue, which was a gift from the people of France to the people of the United States, commemorates the long friendship between the peoples of the two Nations—a friendship that has continued since the American Revolution when, implemented by the French with sinews of war, it helped turn the tide of victory to the side of the Colonies.
By Benjamin Levine and Isabelle F. Story, National Park Service 1961
image source wethepeopleoftheus.org