Fed’s secret repo loans to Megabanks in 2020 overshadowed 2008 rescue packages, landfill shows $ 48 trillion in hidden funding – Bitcoin News

Fed’s secret repo loans to Megabanks in 2020 overshadowed 2008 rescue packages, landfill shows $ 48 trillion in hidden funding – Bitcoin News

Following controversial bank bailouts and the TARP Program in 2008, reports show in late 2019 and 2020, the US Federal Reserve was involved in providing trillions of dollars in secret repo loans to megabanks. In late March, investigative reporters, Pam and Russ Martens of Wall Street on Parade, uncovered $ 3.84 trillion in hidden Fed repo loans to French financial institution BNP Paribas in the first quarter of 2020. Additional data shows that the US Federal Reserve used secret repo loans to provide a whopping $ 48 trillion to megabanks in late 2019 and 2020.

Reports show that the Fed has directed tens of billions to Megabanks in 2019 and 2020.

While Wall Street eagerly awaits the Federal Reserve’s next decision to raise the reference interest rate, numerous investigative reports show that the US Federal Reserve was involved in massive bailouts of banks of biblical proportions. First report stems from Wall Street’s Parade’s Pam and Russ Martens, which accuses the Fed of secretly lending $ 3.84 trillion to French megabank BNP Paribas in the first quarter of 2020.

Martens’ findings highlight many more secret loans coming from a dump data derived from a branch of the New York Federal Reserve. The data dump shows the Fed’s secret repo loans to megabanks from September 17, 2019 to July 2, 2020. The authors of Wall Street on Parade say the media did not report on the data dump at all.

Fed’s secret repo loans to Megabanks in 2020 overshadowed 2008 rescue packages, landfill shows $ 48 trillion in hidden funding – Bitcoin News
Data from the Wall Street on Parade report, published on April 3, 2022 by investigative journalists, Pam and Russ Martens.

“The mainstream media has so far started a blackout in the news about the names of the banks that received the rescue of repo loans and the release of Fed data,” Martens reveals details. “As of 4pm today, we see no other news about this critical information that the American people need to see,” the authors said on March 31, 2022. As of today, April 13, 2022, no mainstream media outlets have followed this news. after Bitcoin.com News sought more information.

The findings of Pam and Russ Martens are scathing, and the data dump numbers seem almost elusive. The report states:

Fed data released this morning show that the trading units of six global banks received $ 17.66 trillion of $ 28.06 trillion in cumulative loans adjusted for maturities, or 63 percent of the total for all 25 trading houses (primary dealers) that borrowed through the Fed’s repo loan program in the first quarter of 2020.

Rescue aid given to banks on the verge of collapse and institutions holding mountains of ‘risky derivatives’

Others report posted on substack.com wrote “Occupy the Fed movement”Also highlights a Wall Street report on the Parade, as it explains how“ the NY Fed is quietly throwing data on tens of trillions of repo loans to save Wall Street ”.

The researcher notes that Wall Street wants to keep the Fed’s “$ 48 trillion repo rescue” a secret. The author of Occupy the Fed asks why the Fed did it and notes that the central bank explains that it was supposed to “support the liquidity of overnight lending”. The research adds:

The data tells a completely different story. In the fall of 2019, over 60 percent of repo loans went to just 6 retailers: “Nomura Securities International ($ 3.7 trillion); JP Morgan Securities ($ 2.59 trillion); Goldman Sachs ($ 1.67 trillion); Barclays Capital ($ 1.48 trillion); Citigroup Global Markets ($ 1.43 trillion); and Deutsche Bank Securities ($ 1.39 trillion). All these companies are massively exposed to risky derivatives, especially the Japanese Nomura. Moreover, the German Deutsche Bank was literally on the edge total failure in that time.

The famous economist told Wall Street at a press parade that secret Fed records ‘broke the law’

In addition to massive secret repo loans, another one report highlights the statements of a renowned economist Michael Hudson it says the Fed’s secret loans may have been illegal. Hudson argues that “there was no liquidity crisis” and “urgent repo lending operations for the liquidity crisis that has yet to be credibly explained.”

The economist explains that the rescue should have been stopped by the Dodd-Frank act, but the US Minister of Finance Janet Yellen helped change that. “Well, what happened, obviously, is that while the Dodd-Frank Act was revising Congress, Janet Yellen changed the wording and said, ‘Well, how do we define a general liquidity crisis?’ Hudson told Martens during a phone interview. “Well, that doesn’t mean what you and I mean by a liquidity crisis, which means the whole economy is illiquid,” Hudson added.

The professor of economics at the University of Missouri-Kansas City continued:

[Dodd-Frank] he was supposed to say, “Okay, we’re not going to let banks have their own facilities for trading, gambling, derivatives and just betting on the financial markets – we shouldn’t help banks get out of these problems at all.” So I think the reason why the newspapers are silent about this is that the Fed has broken the law. And he wants to continue breaking the law.

Fed members are divided over whether U.S. inflation will be permanent or not

Meanwhile, as people await the Federal Reserve’s decision to raise the bank’s reference rate for the second time in 2022, several Members of the Federal Reserve are divided about whether inflation will be a big problem in the future and whether it is needed through rate increases or not.

Two split members include Federal Reserve Governor Lael Brainard and Fed Richmond President Thomas Barkin. Brainard told the Wall Street Journal that reducing inflation to 2% is “the Fed’s most important task.” Brainard expects inflation to cool and Barkin agrees.

The president of the Richmond Fed branch explained that corporate entities must make supply chains resistant to all possible problems, and Barkin is aiming for a more conservative inflation rate of around 2.4%.

“The best short-term path for us is to quickly move to a neutral range and then test whether inflationary pressures from the pandemic era are easing and how persistent inflation has become,” Barkin told an audience at the Money Marketers conference in New York. “If necessary, we can move on,” added branch president Richmond Fed.

Labels in this story

Rescue, Bailouts Bank, Barclays Capital, bnp paribas, CitiGroup, Deutsche Bank Securities, Dodd-Frank law, famous economist, Fed secret loans, Goldman Sachs, investigative journalists, investigative reports, JP Morgan Securities, Lael Brainard, Liquidity crisis, Main media, Martens, Michael Hudson, there is no liquidity crisis, Nomura Securities, Take the Fed, Occupy the Fed movement, Pam and Russ Martens, repo loan program, Thomas Barkin, Wall Street, Wall Street at the Parade

What do you think of reports claiming that the Fed was involved in covert rescues that were illegal against economist Michael Hudson? Do you think this is something the American people should pay attention to? Tell us what you think about this topic in the comments section below.

Fed’s secret repo loans to Megabanks in 2020 overshadowed 2008 rescue packages, landfill shows $ 48 trillion in hidden funding – Bitcoin News

Jamie Redman

Jamie Redman is a news anchor on Bitcoin.com News and a financial technology journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source code and decentralized applications. Since September 2015, Redman has written more than 5,000 articles for Bitcoin.com News about disruptive protocols appearing today.

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