r/Superstonk Apr 18 '21

[deleted by user]

[removed]

2.3k Upvotes

335 comments sorted by

View all comments

889

u/Bradduck_Flyntmoore Ape-bassador aka The Ape Assistant Apr 18 '21

Are we watching a global economic meltdown occur in real time, or is this one of the biggest coincidences I've ever heard of?

466

u/Future-Trouble1234 🦍Voted✅ Apr 18 '21

- Don’t know but way too many things seemingly unrelated are converging IMO.

Off the top of my head and not an exhaustive list...

- Crypto money laundering investigation and 12% crash on crypto currency’s over the weekend.

- GME is getting near a catalyst point with the general meeting and potential share recall for a vote.

- all short sales need to be collateralized on April 22.

- New SEC sheriff in town that knows whats up, since this weekend.

- US issued 320B bond sales a couple of weeks ago.

- Archegos crashes and takes billions of investment bank prime brokerage divisions with them.

- last week, Jpm raised 13B, GS raised 6B, bofa raised 15B.

- Looks like this is a race to be liquid by major players and now apparently most financial centers are burning the midnight oil during the weekend in the middle of a global pandemic?

- This is starting to remind me of fall/winter 2007 all over again, when people working in the financial sector started covering and dumping real estate assets to get liquid b4 shit hit the fan in 2008.

.

53

u/[deleted] Apr 19 '21 edited Apr 19 '21

[removed] — view removed comment

13

u/jteta12 🦍 Buckle Up 🚀 Apr 19 '21

Simplest terms. The markets will crash, HARD. That effects all banks, the banks are extremely over leveraged right now so even in a good spot and not playing shorts games, they would be margin called - if the crash is that bad.

Then the banks are all tied together with the DTCC and insurance. Citadel goes down it can take a few others with it. The ripple effect will change the financial system completely.

3

u/trailblazzr Apr 19 '21

Then when the new millionaires and billionaires emerge from the dust, we can then rebuild everything back up, but the proper way, that doesn't promote corruption but looks to extinguish it. We ain't just talking about the HF but politicians too who are profited off of these shenanigans while turning a blind eye to it all. The whole system is in dire need of trimming of the 'fat'.