Overburdened Repo Market caused Ten Year Bond yield curve inversion

Discussion in 'Markets & Economies' started by 66rounds, Dec 14, 2019.

  1. 66rounds

    66rounds Well-Known Member Silver Stacker

    Joined:
    Jun 22, 2019
    Messages:
    1,736
    Likes Received:
    1,711
    Trophy Points:
    113
    Location:
    Melbourne



    What do you guys think? A clear connection or coincidence?
     
    sgbuyer likes this.
  2. sgbuyer

    sgbuyer Well-Known Member Silver Stacker

    Joined:
    May 25, 2018
    Messages:
    2,203
    Likes Received:
    1,256
    Trophy Points:
    113
    Location:
    Singapore
    I haven’t really studied this in detail. if I’ve not understood incorrectly, it appears to be a USD liquidity problem with commercial banks. For some reason they don’t have the cash, or are unwilling to come out with the cash. The collateral don’t matter if banks don’t want to lend.
     
    66rounds likes this.

Share This Page