The FED's and the other Central Banks currency swap 'deal' makes available HUGE amounts of US Dollars to non-US banks (who have immediate Dollar liabilities...payments that are NOT being funded by their crummy assets). [read: they are insolvent; broke; el busto]
It is very likely that one or more VERY large EUropean banks were close to collapsing, and the FED (back-stopped by the US taxpayer) has just bailed them out.
What we are being told is a 'liquidity' problem isn't. It is a solvency problem.
Broke is broke.
Thursday, 1 December 2011
Dire straits. Dire need. Dire.................from Rico
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