/biz/ - Business & Finance

[Anonymous No.28588191]

https://www.federalreserve.gov/newsevents/pressreleases/bcreg20210212a.htm

https://www.federalreserve.gov/newsevents/pressreleases/files/bcreg20210212a1.pdf

https://www.bloomberg.com/news/articles/2021-02-11/bitcoin-holds-gains-from-tesla-as-mastercard-twitter-weigh-in

https://www.cnbc.com/2021/02/11/bny-mellon-to-offer-bitcoin-services-a-validation-of-crypto-from-a-key-bank-in-the-financial-system.html

What's going on /biz/bros, when does a hypothetical become reality?

[Anonymous No.28588955]

>>28588191

I have to sage because none of you faggots are replying.

[Anonymous No.28589013]

>>28588955
I ain't reading all that shit. Give me the basic gestalt.

[Anonymous No.28589030]

>>28588191
fuck you man some fucker stole 13k in ETH and the markets are dumping we're a little busy

[Anonymous No.28589083]

>>28589030
idk about you but im pretty comfy
>>28589013
the fed is preparing for when the money machine breaks

[Anonymous No.28589106]

>>28588191
>hypothetical scenarios
oh shit anon. This gives me flashbacks to Bill Gate's hypothetical global virus simulation convention. oh fuck

[Anonymous No.28589114]

bump
im scared

[Anonymous No.28589154]

>>28588191
how the fuck do you find this shit?

[Anonymous No.28589158]

>>28589013
its happening

[Anonymous No.28589209]

>>28589106

This is why I posted this shit and saged, everyone should see it, yet no one is talking about it.

>>28589154

I don't follow retards, and I do the research.

[Anonymous No.28589318]

Bump before I read

[Anonymous No.28589466]

>>28588191
well OP, consider the following
>spanish flu 1918-1920
>roaring 20's
>great depression 1929-1934

present
>covid 2020-2021
>roaring 20's
>2nd great depression?

maybe the gov is spooked this might happen again and are preparing for it now

[Anonymous No.28589577]

Thanks for sharing anon, solid information from REAL sources for once.
>Severely adverse
>Roughly 36m unemployed Americans

Shit.

[Anonymous No.28589608]

>>28589466
The parallels don't end there.
>Rampant degeneracy with trannies and gays
>New methods of warfare potentially disrupting existing norms (machine guns and trenches vs cyberwarfare)
>Inflation at all time high
>Populist candidates picking up steam and being suppressed after failed "coup" attempt (Reichstag fire, Capitol storming)
Shit is fucked

[Anonymous No.28589649]

>>28589466

the fed =/= government

[Anonymous No.28589946]

>>28589649
why do they have a .gov domain then?

[Anonymous No.28589996]

>>28589946

because they are 'regulated' by the government

[Anonymous No.28590052]

>>28589946
they own the government

[Anonymous No.28590102]

>>28589649
>Created by the Government's order
>Created to fulfill orders from the Government

Sure

[Anonymous No.28590144]

>>28590102

it was created due to private interest you absolute dunce

[Anonymous No.28590268]

>>28590102
>created as an agreement
the US gov did not make the fed. just agreed to sell out the world to it in 1913

[Anonymous No.28590412]

>>28588191
First link is intriguing, I grant you that. Is this a regular occurrence, or is the Fed talking about this unprompted and out of the blue?

[Anonymous No.28590505]

>>28590412

lemme spoon feed you some more since i'm such a nice guy

https://www.investopedia.com/terms/b/bank-stress-test.asp

[Anonymous No.28591141]

>>28590505
>Critics claim that stress tests are often overly demanding. By requiring banks to be able to withstand once-in-a-century financial disruptions, regulators force them to retain too much capital.
>The timing of stress testing can sometimes be difficult to predict, which makes banks wary of extending credit during normal fluctuations in business. On the other hand, disclosing too much information could let banks artificially boost reserves in time for tests.
Doesn't the test being out mean that now these banks and the rest will need to stop whatever the shit they were doing (including buying bitcoin) and hold "money"?

[Anonymous No.28591305]

>>28590505
what's their to worry about if stress tests are done on a regular basis? isn't it just business as usual?

[Anonymous No.28591594]

>>28591305
After looking at the PDF, it seems that they're anticipating some very bad outcomes. I think the basic takeaway is that they're saying if things go south this year, they go south in a big way.

[Anonymous No.28591598]

>>28591141
>>28591305

[Anonymous No.28591605]

>>28589083
im a brainlet, what happens when money machine breaks?

is crypto tied to stonks (as seen in march) or will crypto/defi (math based guaranteed returns + trustlessness) be a viable alternative?

[Anonymous No.28591662]

>>28591598
i mean it just makes it sound less serious than it already is, then what happens anon, government prepares bailout plans? banks sell their houses and cause a housing crash? i dont see the scenario here where they would "buy bitcoin"

[Anonymous No.28592007]

Just reading now, severely adverse scenario seems plausible.

>The 2021 global market shock component for the severely adverse scenario is characterized by a sharp curtailment in global economic activity as financial conditions tighten. In particular, with ratings agencies downgrading large swaths of outstanding debt, corporate bond spreads widen sharply as ratingssensitive investors sell assets. The effect on investment-grade debt is somewhat mitigated by safe-haven flows, but non-investment-grade debt experiences high default rates and record low recovery rates. Price declines in the leveraged loan market are exacerbated by selling from open-end mutual funds and exchange-traded funds.

>With fiscal conditions that are already stretched, U.S. state and local governments face additional stress. Revenue declines, combined with significant spending increases, lead to a widening in municipal bond spreads and increased risk of defaults. Mutual funds holding municipal debt face redemptions and outflows exceeding historical experience.

>Commercial real estate prices—particularly for the retail and hospitality sectors—fall sharply in this scenario. Rapid selling of CMBS by nonbank commercial real estate lenders to meet margin calls puts considerable downward pressure on CMBS prices. Private-equity asset values experience sizable declines as leveraged firms face lower earnings and a weak economic outlook.

[Anonymous No.28592206]

>Short-term Treasury rates decrease only slightly given the current low level of short-term interest rates. Longer-term Treasury yields fall modestly, consistent with lower expected short-term rates and flight-to-safety considerations. Short-term U.S. inter-bank lending rates rise sharply, reflecting a pullback in overnight lending. At the same time, longer-term swap rates fall in line with the decreases in long-term Treasury yields.

>Flight-to-safety considerations result in U.S. public equity price declines that are relatively mild compared to other developed markets, and cause the U.S. dollar to appreciate somewhat against the currencies of most developed economies. The yen appreciates against the U.S. dollar as investors unwind positions. Safe-haven considerations cause precious metal prices to increase, while prices for non-precious metals and oil decline, as a result of the broader economic weakness.

I believe the recent research indicating serious interest and consideration into DeFi may also be of some relevance in this case.

https://research.stlouisfed.org/publications/review/2021/02/05/decentralized-finance-on-blockchain-and-smart-contract-based-financial-markets

[Anonymous No.28592319]

>>28588191
Tell me like I'm a retard. Is it a bad time to get a mortgage for a rental property? Will the bank raise the interest rate I pay?

[Anonymous No.28592687]

>>28591662
>government prepares bailout plans
Probably. There will be handpicked winners and losers. Everyone will most likely also start selling off their assets in search of liquidity.
>>28592319
Even asking this question should give you a clear answer.

[Anonymous No.28592715]

>>28591605

[Anonymous No.28593726]

>>28592319
its fine if you have a fixed rate mortgage on a house in a historically strong municipal area. and if you have income to cover payments, assuming $0 rental income

In the US, SoCal, texas triangle, greater NYC, greater CHI, greater ATL, some parts of FL look safe

[Anonymous No.28594090]

This is my final bump for awhile. I will be thoroughly disappointed with /biz/ it it dies while I'm away.

[Anonymous No.28594146]

ill bump it for you fren

[Anonymous No.28594816]

bampu

[Anonymous No.28594892]

>>28594090
Don't worry about it fren, this is just like when the repo operations started in sep 2019, the first thread on the subject was basically ignored. biz moves too fast these days with all the spammers and newfags due to the bull market. Hopefully this thread lasts long enough for some more thoughtful anons to weigh in. Also leaving the thread for a while but will definitely read the rest later.

[Anonymous No.28595439]

last bamp forreals this time

[Anonymous No.28595440]

>>28594892
im a huge brainlet to these sort of stuff but i've always had the sneaking suspicion that all this funny money thing was going to bust one day

was covid just a cover up for the eventual economic downturn? idk

also could you elaborate more about this repo thing? thanks fren

[Anonymous No.28595451]

bump for interest

[Anonymous No.28595538]

>>28595440
leaving rn sorry, check archive mid september 2019 search repo, lots of good threads back then, there's also a classic biz crack rock nigganalogy if someone's got

[Anonymous No.28595754]

>>28595538
cheers anon will take a look.

[Anonymous No.28595846]

bump, less indians and more interesting thread please

[Anonymous No.28596006]

>>28589608
>actually thinking that the Capitol Hill 'storming' was anything more than a LARP day out for Trump supporters

[Anonymous No.28596204]

The transition to clown world has been progressing for a while now. Memes becoming a reality is part and parcel with that. I don't care. The world is a circus, we will be the ringleaders.

[Anonymous No.28596207]

>>28588191
>>28595440
fellow brainlet here, isn't it more a matter of when the next recession will start than if it will start? I'm also worried about being in a bubble right now, but I don't see any strong indicators in the OP that the recession will actually take place this year. I believe another factor would be necessary to trigger the recession, since we seem to have made it through the pandemic just fine.

[Anonymous No.28596990]

OK I'll bump this just once but /biz/ is way too fast for shit like this now.

[Anonymous No.28597054]

bumping because reading about the roaring 20's in comparison today has been pretty mind blowing

[Anonymous No.28597061]

>>28596207
fed has gone full out brrr to offset covid and pandemic, i don't think this will go on forever. either there is a deflationary crash or we enter a hyperinflationary scenario.

[Anonymous No.28597175]

>>28588191
tldr; please

[Anonymous No.28597398]

Bump niggers

[Anonymous No.28597800]

bumperino

[Anonymous No.28597981]

Don't they do this for every year?

[Anonymous No.28598831]

have another bump because brainlet

[Anonymous No.28599479]

Isn't bad shit for the feds a good thing for crypto?

[Anonymous No.28599608]

>>28588191
where the fuck is the monetary policy report for 2021?
and where the fuck is the monetary policy report for july 2020?
what the fuck is going on over at the fed?

[Anonymous No.28599746]

Come to /pmg and at least 20% of your portfolio to buy boomer rocks.
Silver for accelerationism or gold for gay safety.

[Anonymous No.28599752]

fuck gay repetitive ass threads this is actually captivating, bumpy