This derivatives mess, it is a big worry, or worse. I am concerned it will damage the faith in placing money in the US. Of course, where else is there? Nowhere, and soon not even here!
This derivatives mess, it is a big worry, or worse. I am concerned it will damage the faith in placing money in the US. Of course, where else is there? Nowhere, and soon not even here!
The GLOBAL derivatives market (mess) is estimated to be $1Quadrillion. The US share is merely $200Trillion.
The problem isn't the currency, it's the derivative. Derivatives are ultimately synthetic securities that amount to little more than a side bet on an underlying transaction. Somehow, by having a few side bets at long odds is supposed to "hedge" one's risk on a transaction.
The derivatives mess is lighting up this time in the UK first. Will it spread to the US? At some point, probably. Whether through pension funds or more likely hedge funds has yet to be played out.
Where else will it spread? Pretty much everywhere. Think of it as an economic pandemic.
This derivatives mess, it is a big worry, or worse. I am concerned it will damage the faith in placing money in the US. Of course, where else is there? Nowhere, and soon not even here!
The "money" isn't IN the US.
The GLOBAL derivatives market (mess) is estimated to be $1Quadrillion. The US share is merely $200Trillion.
The problem isn't the currency, it's the derivative. Derivatives are ultimately synthetic securities that amount to little more than a side bet on an underlying transaction. Somehow, by having a few side bets at long odds is supposed to "hedge" one's risk on a transaction.
The derivatives mess is lighting up this time in the UK first. Will it spread to the US? At some point, probably. Whether through pension funds or more likely hedge funds has yet to be played out.
Where else will it spread? Pretty much everywhere. Think of it as an economic pandemic.
What is the "economic vaccine?"
I'm not sure I'm ready to hear this.
There is no "vaccine". This is one contagion that just has to burn itself out.
1 Quadrillion dollars should make on Hell of a bonfire, yes?