/biz/ - Business & Finance

[Anonymous No.50490033]

The Transmission Protection Instrument

Examplary bullshit-speak article from the ECB:
https://www.ecb.europa.eu/press/pr/date/2022/html/ecb.pr220721~973e6e7273.en.html

>The TPI will be an addition to our toolkit and can be activated to counter unwarranted, disorderly market dynamics that pose a serious threat to the transmission of monetary policy across the euro area. By safeguarding the transmission mechanism, the TPI will allow the Governing Council to more effectively deliver on its price stability mandate.
*Violin sets in*

>Subject to fulfilling established criteria, *the Eurosystem will be able to make secondary market purchases of securities* issued in jurisdictions experiencing a deterioration in financing conditions not warranted by country-specific fundamentals, to counter risks to the transmission mechanism to the extent necessary. The scale of TPI purchases would depend on the severity of the risks facing monetary policy transmission. Purchases are not restricted ex ante.

>TPI purchases would be focused on public sector securities (marketable debt securities issued by central and regional governments as well as agencies, as defined by the ECB) with a remaining maturity of between one and ten years. Purchases of private sector securities could be considered, if appropriate.
Ah, even the private securities, magnifico

Do you hear that sound ? that's the sound of the BRRRRRRRRR

[Anonymous No.50490244]

>>50490033
Your empires are falling parasites. How long till your parasitic stock markets turn? How long can you print and hope to maintain control? You will die parasites and we will be free

[Anonymous No.50490287]

>>50490033
EU will make Japan economy looks like powerhouse

[Anonymous No.50490314]

>>50490033
why are we told what to do by half in the grave criminal lizardfaces?

[Anonymous No.50490355]

>>50490033
Why is ECB so retarded. They have one goal they are required to achieve and that is keeping the prices the same ergo inflation low. Instead their main goal seems to be to finance the debt of certain countries/safe them from bankruptcy. And this is the main problem with the euro, its impossible to have a currency for 19 countries with different economic policies.

[Anonymous No.50490447]

Shorting the euro against the dollar is a cheat code this year desu. Beats chart checking crypto/stocks and sweating over when the dead cat stops bouncing.

[Anonymous No.50490566]

It's amazing, they are offering economic protection for countries to basically implement any kind of reckless social spending program they want and the ECB will just suck up all the junk bonds at low interest rates to finance it for the sake of stability. It's a race to the bottom in a sense, since it doesn't kick in until your economy is particularly worse than the general economy of the region.

[Anonymous No.50491349]

>>50490244
They live on your tax money. You will die first.

[Anonymous No.50491355]

>>50490033
This bitch is getting blacker every time I see her

[Anonymous No.50491479]

>>50490355
>And this is the main problem with the euro, its impossible to have a currency for 19 countries with different economic policies.
It's nonsense. Money should be neutral. Either you should have a debt free fixed supply fiat money or you should have money backed by goods with stable price. It would be much better than the Euro for every country.

[Anonymous No.50491545]

>>50490355
>Asks a question
>Answers it himself
Affirmations exist for a reason you know.

>>50491479
No, money is representative of the wealth and power of a nation. Like the USD or the Yuan. But Europe is not a nation, therefore the Euro is meaningless and was doomed to fail since the beginning. It really was the original shitcoin, and already had near death experiences several times in 20 years. Let it die already.

[Anonymous No.50491557]

>>50491479
>debt free fixed supply fiat money
Congratulation your economy now has no loans and the only people who can start a business are people who are already rich. Fast-forward 10 years and those people control the country as oligarchs
>money backed by goods with stable price
I don't even know what the fuck that means, there are no goods on this planet with a stable price, that's kind of the problem. If you're referring to gold/silver well your country better have a large amount and a steady supply of those

[Anonymous No.50491731]

>>50491545
>money is representative of the wealth and power of a nation therefore the Euro
You observed an incidental thing and try to use it as a rule.

[Anonymous No.50491773]

>>50491557
>Congratulation your economy now has no loans
We had loans thousands of years before money printing you dumb commie faggot.

>I don't even know what the fuck that means
Did you ever heard of the gold standard?

Please go back to twitter. You don't belong here!

[Anonymous No.50491816]

>>50490033
isn't this what the Federal Resrerve did shortly following the Covid crash?

[Anonymous No.50491867]

"we allow ourself to buy shit with printed money so that that interest rates in different Euro countries don't diverge"

This is what this means, right?

I think they already had announced that they don't want the market to give economic powerhouse countries in Europe a vastly better conditions than the shit economic countries.
I guess this means the stuff underlying the Euro will inevitably go to shit, just because they can't to Europewide autocracy of of money management at fave value. They play around it to keep the facade

[Anonymous No.50491868]

>>50491773
>We had loans thousands of years before money printing
You shouldn't be here if you don't understand that creating a loan = creating money.

[Anonymous No.50491908]

>>50490566
Supposedly there is some sort of "fiscal policy requirement" where countries are required to meet fiscal policy standards of the ECB to be eligible for the tool

What does that mean when the 1 country the tool was clearly designed to bail out, just kicked out their ECB puppet government and is likely to elect an anti EU, anti ECB right wing government? who knows but at least they're not likely to get too carried away on the social spending...

>>50491773
kys goldbug faggot
>muh stable store of value
>dumps 9% with the stock market
>dumps just as hard as the USD only you gimped your economy bc no one can make loans
great fucking currency system

[Anonymous No.50491929]

>>50491773
>Did you ever heard of the gold standard?
Have you tried reading the rest of my post before replying?

[Anonymous No.50491937]

>>50491731
But it was the point of the money in every civilization since it existed. It's supposed to be a tool of power.

[Anonymous No.50491943]

>>50491868
>a loan = creating money.

Ok.
"John gave 100 $ to Peter as a loan."
Who printed dollar in this case?
Can you answer?
No?
You will start talking about something unrelated?
Of course!

[Anonymous No.50491947]

>>50490033
They have tried to pump Greek bonds for the past 2 weeks, failed

[Anonymous No.50491952]

Is this going to pump my crypto bags or no

[Anonymous No.50491963]

>>50491816
The FED started loading money to non-banks (Blackrock, etc.) in 2008

In Europe, a lot is about "fair" treatment of all countries. But to keep the Euro alive they don't do that, they sponsor the breaking-apart countries effectively at the expense of others. Here they say "we allow ourselves to now officially"
Make buys selectively
>in jurisdictions experiencing a deterioration in financing conditions not warranted by country-specific fundamentals, to counter risks to the transmission mechanism to the extent necessary

[Anonymous No.50491971]

WHY DOES SHE LOOK LIKE A NIGGER

THIS IS WHO CONTROLS EUROPE

[Anonymous No.50492032]

>>50491908
I said "money backed by goods with stable price".
Gold was just a historical example. And it still worked for hundreds of years before the political elite started to fuck up the market with unbacked ETF-s. This scam would die in short time but they keep it alive from your tax money. Cheer for it!

[Anonymous No.50492101]

>>50491943
In a fantasy world where people just give each other money for free, loans totally don't create new money bro. In real world people only give away money because they expect some profit. I'm not giving you shit if you only return me exactly as much as I gave you, why would I do that. John gave Peter 100 bucks, Peter will return 101. He will get that 1 somewhere.

[Anonymous No.50492144]

>>50491937
>But it was the point of the money in every civilization since it existed.
No. Money is intermediary for exchanging goods and services. Nothing more.
If they add new features to it then it is done to steal your goods and services.

[Anonymous No.50492172]

>>50492101
That's not the money creation mechanic though, that's just an inflationary force. Money creation mechanic is this: John gave Peter a loan, John takes a piece of paper signed by Peter and he can now resell it. W'allah

[Anonymous No.50492344]

>>50492101
I am a fucking oracle. I told that you will talk about something unrelated.

So:
"John gave 100 $ to Peter as a loan. Peter has to pay back 101 $ one month later."
Who printed dollar in this case?

You will avoid the answer again because you are a unprincipled faggot leftist so I just jump to the end: You can have loans without printing money. Like we had loans for thousands of years. So you can have stable money supply.
When you create loans from thin air you rob everyone who use the same currency. It's immoral and harmful. Mass robbery on systemic level will result in a shitty market like what we have today.

If you still don't want to understand this you should just end yourself!

[Anonymous No.50492346]

>>50490033
>Subject to fulfilling established criteria, *the Eurosystem will be able to make secondary market purchases of securities* issued in jurisdictions experiencing a deterioration in financing conditions not warranted by country-specific fundamentals, to counter risks to the transmission mechanism to the extent necessary. The scale of TPI purchases would depend on the severity of the risks facing monetary policy transmission. Purchases are not restricted ex ante.

sounds like they're copying the fed's playbook, but late by 10 years. i dunno if they can, ECB isn't a central bank, it's a currency review board.


>>50490566
>It's amazing, they are offering economic protection for countries to basically implement any kind of reckless social spending program they want and the ECB will just suck up all the junk bonds at low interest rates to finance it for the sake of stability.

what do you think happened in the US? US central bank independence has been compromised for a while, but It Just Works (tm) because as it turns out, swapping bad assets onto central bank sheets and allowing repcapitalizing/capital injections keeps things moving along. the ECB has finally realized austerity is stupid and dangerous. but i cant believe it took hyperinflation and a pandemic recession for them to act just in time for the world to end.

[Anonymous No.50492657]

>>50492144
Learn history. Money was a pretty big deal for kings, and USD is a pretty big deal for the US. It's a political tool by nature, why are you denying it ?

[Anonymous No.50492772]

>>50492657
Misusing tools for power is common but it's not ideal. Your are incapable of creating abstractions.

[Anonymous No.50492822]

>>50492772
I'm just realist. If a tool can give you power, it will get used for that purpose. Are you a crypto idealist ?

[Anonymous No.50492998]

>>50492822
>If a tool can give you power, it will get used for that purpose.

>X created for one thing.
>Someone use X for another thing.
>X is created for that other thing.

This is your deduction.
It's like when you put your dick in a vacuum cleaner and smugly state out it is created to give you orgasm.

[Anonymous No.50493116]

>>50490033
Never underestimate the retardation of a convicted criminal.

[Anonymous No.50493294]

>>50492998
>It's like when you put your dick in a vacuum cleaner and smugly state out it is created to give you orgasm.
What if every single vacuum cleaner in the world were used as sex toys ? Then people would call them vacuum blower, and their definition would be affected.

[Anonymous No.50493455]

>>50492657
Its not political by nature, it is merely abused this way

[Anonymous No.50493477]

>>50493294
You would still need vacuum cleaners for cleaning.

[Anonymous No.50493550]

>>50493294
that just means everyone is retarded

[Anonymous No.50493882]

>>50491868
You shouldnt be here if you think the monetary system we have had since 1971 is „just how the world works bro, its just how it IS!!!1!1!1!1!“

[Anonymous No.50493939]

>>50493550
Or that's it's efficient for that usage

>>50493477
Yes, both usages aren't exclusive

[Anonymous No.50493989]

>>50493882
You shouldn't be here if you think credit money creation started in 1971.

[Anonymous No.50494163]

>>50493989
You shouldn't be here if you reframe other's statements..

[Anonymous No.50494221]

>>50493939
>Yes, both usages aren't exclusive
Who the fuck said that? Why are you all fucking dense? Why suddenly dozens of people advocating for inflationary monetary system in this thread? Where are you faggots coming from? Why is this good for you?

[Anonymous No.50494245]

>>50490033
Where have all the schizos gone? Nobody is checking these masonic dubs

[Anonymous No.50494375]

>>50490033
>the Eurosystem will be able to make secondary market purchases of securities* issued in jurisdictions experiencing a deterioration in financing conditions not warranted by country-specific fundamentals
elohel

[Anonymous No.50494464]

>>50491908
>who knows but at least they're not likely to get too carried away on the social spending...
oh you

[Anonymous No.50494699]

>>50490244
this guy lost his life savings on crypto

[Anonymous No.50494768]

>>50491479
we do still have that monetary good, it just isn't "monetized." you literally can collect it and just wait. whenever you need a credit currency, which is monetized, you go exchange for some.
if you want to live true and pure like that, you're going to be punished by the tax man for doing it. the issue is that there is government AT ALL, not that people won't cooperate. they will, you just have to accept the distant historical failure of even the lightest-touch monetary regime in the history of the world -- the US constitution's law on coinage -- and accept that you want to privatize all banks and all money again, and live in a world where your bank can fail and lose your life savings.

[Anonymous No.50494949]

>>50494768
>accept that you want to privatize all banks and all money again, and live in a world where your bank can fail and lose your life savings.
The government doesn't solve that. It just collectivize losses and creates situations where every bank fails at once.

[Anonymous No.50494979]

>>50494768
>>50494949
the "government" is a consortium of market actors, their laws are a contract and their agencies are their employees. it doesn't exist in a vacuum, it is created by the market in its totality

[Anonymous No.50495055]

>>50494221
>Why suddenly dozens of people advocating for inflationary monetary system in this thread?
am I "advocating" for hurricanes and earthquakes when I accept that they cannot be controlled and their effects can only be mitigated? there are thousands of years of economic history demonstrating that monetary regimes trend unstoppably toward inflation. gold can't change this. your favorite pet system of government and economic theory can't change this. only technology can change this

[Anonymous No.50495072]

>>50494979
Holy fucking retardation.
You can't just swap definitions behind words and conflate everything with everything. Different words have different meanings.
Government is not a group of market actors.
A law is not a contract.

[Anonymous No.50495127]

>>50495072
t. does not understand cause and effect and believes words are magic and social structures are fixed. ironic

[Anonymous No.50495185]

>>50495055
More fallacies and nonsense.

Theft is bad. Thefts in history doesn't make theft good or acceptable. Arguing against theft doesn't make me an idealist or wrong.
Money has a role and purpose. History of misuse doesn't invalidate it. Arguing against misuse doesn't make me an idealist or wrong.

[Anonymous No.50495222]

>>50495127
No, you don't have principles. You don't follow rules and logic. Everything you type is some kind of fallacy.

[Anonymous No.50495225]

>>50490355
>its impossible to have a currency for 19 countries with different economic policies
the incentive is literally pandering more than your neighbors

[Anonymous No.50495243]

Hi Arthur, keep em coming

[Anonymous No.50495265]

>>50491952
Euro is going to zero against BTC, that’s all you need to know