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Here we go again:
The Bank of England is developing a new facility to lend to insurers and pension funds, aiming to prevent future bond market disturbances. This move comes as there's no established provision to assist non-bank financial institutions during market stress, unlike banks.
Credit is suffering and they know they already made a policy error by raising interests too fast and made credit too expensive.
Now expect the next step from the Euro commies to come soon...
The U.S. will be there soon. There's already talk of a mystery buyer with "deep pockets" buying treasuries. I wonder who that could be?
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I really have noooo idea. By the way: tourism here in the south of Crete lost at least a third compared to last year. We are sitting here with 4 guys having a beer. All locals. Maybe 3 or 4 families in the village. Nice for me having my own beach but devastating for the locals... hard times coming
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Think of Jeff Booth's phrase: all the debt (social insurance included) is already insolvent.... they need to pump against deflation like crazy!
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Since the most recent disruption to bond markets was entirely the fault of a disaster of an economic policy ‘Truss-enomics’ they cannot trust the politician to give the BoE the adhoc tools to solve crises of the politicians making (policy & tax laws) or their own (interest rates etc). As an aside there are 2 policies coming in next year; the UK will lower capital-gains tax thresholds (from £6k to £3k) and increase the threshold for investment and retail banks need to be separated (£250m to £350m). Shows which side policy is on….
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