Derivatives Chain Breaking; Market Collapse Soon; 2016 Election Suspension? – Bill Holter Interview.
[CrushTheStreet] In the following interview, Bill Holter joins CrushTheStreet.com to discuss what to expect from global financial markets in coming weeks. If you’re someone who’s followed my economic blog posts on a regular basis, then much of what Holter talks about in the interview should not be things you’ve never heard of. Quite the contrary! Much of what Holter says coincides with information that people like Dr. Jim Willie, Peter Schiff, and Michael Snyder have been saying for the better part of a year.
For example, Dr. Jim Willie has been talking about the Exchange Stabilization Fund (ESF) that Bill Holter mentions since at least as early as January 2016, probably earlier. I first mentioned it in a post titled: Dr. Jim Willie – U.S. Dollar Now a Matter of National Security Due to Poor U.S. Decisions. What is the Exchange Stabilization Fund (ESF)?
In essence, the ESF is a “Top Secret” US slush fund used to deliberately hide the true impact of when there are massive selloffs of US Treasuries on the global market. Because the fund is “Top Secret,” and a matter of national security, all we know that it is used to buy the Treasuries being sold off (at God only knows what price), but since the details are kept Top Secret, it allows the bond market not to react to the glut in global supply. In turn, that allows prices to remain stable, rather causing a total panic. Similar to how the Dow is at an all time high, it’s all an illusion based on manipulation, and it’s NOT going to end well to put it mildly.
In a later portion of the interview, Bill Holter talks about the looming derivative crisis that if not triggered directly by the collapse of Deutsche Bank, will be set off nonetheless when Deutsche Bank does collapse. In another recent interview, it was revealed that Deutsche Bank is feared to be valued at almost -$1 TRILLION Dollars. AS if Europe doesn’t have enough financial chaos with Brexit. Deutsche Bank is estimated to be sitting on over $70 TRILLION in derivatives, and of those, over $30 TRILLION of them in currency swaps alone.
Bill Holter goes on to echo more of the sentiments we’ve heard from Dr. Willie when he says that not IF, but WHEN Deutsche Bank goes under, the global markets will be forced to shut down just like when Lehman collapse because the effect will be so catastrophic. Part of the chaos will be based on pure emotion and panic, the rest on reality: The collapse of Deutsche Bank has been estimated to be potentially up to 40x bigger than the Lehman Brothers collapse was, and recall how that ended up with an entire American generation getting wiped out financially.