I work at a major non-depository mortgage lender (top five) in the secondary markets department where we do a number of things like hedge our forward positions, assign blocks of loans for sales to various market participants and address best practices to the op and sales teams. We regularly interface with the GSEs and a ton of federal/state regulators but last week the Fed Reserve scheduled a meeting and layed down the following:
The MBS market is a primary driver of market liquidity for home financing and is tethered to similar US bond yields plus a spread. That spread has been increasing the last few years partially because the organic market for MBS isn't as strong as it was but also the feds were purchasing most of the issuance.
As it turns out the Chinese and Russians have been selling their treasuries like madmen but they owned a lot more treasuries than was known due to some hidden purchase paths that had been going on for quite some time. The Feds have been buying all this paper to keep the yields low which is its own lengthy story.
Well... apparently MBS is the same but Saudi is also involved - selling like crazy. So to keep up appearances we have been instructed to sell our loans into entities that are set up as short term holders for the end purchaser being the Fed. We are ameanable as it keeps our product priced well (keeping housing strong) but we get a sliding 12 - 19 bps spiff as an additional incentive to follow the plan.
So feds are buying tooooons of debt on the sly to keep up market appearances but in reality the is a single buyer. If we had a clean market this would crush the dollar but we haven't had that in decades.
Bump OP >NEW VIDEO ON #GDL and Celebrities naming the Jew, 911 and USS liberty youtu.be/YoIqN6cMAqI Here is an opportunity to learn some unique redpills from The Based Man >the nature of Chaotic-Good and Jow Forums youtu.be/vYTbxpSLMUw
And LOTS MORE, here is a small window into a world you might not know...
Ethan Foster
I'm not smart enough to understand your words, but have a bump
Mason Anderson
What do I short
Michael Diaz
this is hilarious. the fed creates money out of thin air, and banks issue shit loans. then the banks package the loans and the fed buys it back with more money from thin air. am i hearing that right?
and we have the balls to call chinese "currency manipulators."
Charles Sanchez
the known world
society
just start killing people and it will work itself out. I'm not kidding. It's called natural selection.
Brody Brown
>Feds are entire MBS market OP is entire shit thread
Nicholas Gonzalez
so dollar is very very very weak right now and propped up by a fake market. not really news, but thanks for confirming anyways.
Cat coming out of the bag when? Then how hard is the bounce, or is it a dead cat splatter
Dylan Ward
hoping for a splatter. then we can speed track a return to the gold standard and lynch rothschilds.
Juan Butler
Does this mean the dollar could be about to drop in value? Or that the housing markets might collapse?
Samuel Jenkins
I think it means that it will hold together as long as there's faith in it. If that slips, this means we'll be well and truly fucked. So if no one notices, the ship should float until there's a new way to shift money around and fix it. If people notice, the panic wrecks everything.
Dominic Bell
You say word salad. I hear “burn the fed and stock market”
Matthew Clark
I'll help explain some of this as well as I know but I have some questions too.
The federal reserve = the fed. They print money out of thin air, effectively taxing everyone and everything automatically. The kicker is that certain people know how much is being printed and which industries its being funnelled into and they position their investments accordingly, so they actually profit from the devaluation of the currency. Also this is used to shift the balance of power and engineer society, basically to target the white middle class.
Non-depository mortgage lender = a bank that somehow just gives out money without actually having any, I'm guessing the Federal Reserve ('the fed') more or less just gives them cash it printed out of thin air. (correct me if I'm wrong) These lenders run LOAN AFFIRMATIVE ACTION PROGRAMS which essentially give minorities free loans (no down payment, very flexible repayment) for houses and cars, essentially just giving them free shit. This is what caused the 2008 financial crash. Instead of the big banks not doing it anymore, they simply contracted these non-depository mortgage lenders to do it for them.
MBS = mortgage-backed securities - a contract where the investor assumes some liability for a loan (like from a non-depository mortgage lender) in return for some of the interest, more or less (correct me if I'm wrong)
treasuries = treasury bonds - buying a slip of paper from the government with the promise they'll pay you back with interest later (with money they printed out of thin air that devalues the currency so who knows if you actually made anything). The government sells these to foreign countries to try to keep good relations.
>12 - 19 bps spiff I don't know what this means, I'm guessing it's some percentage of the money loaned out thats kept as bonuses for high-up people in the non-depository mortgage lenders.
basically the entire economy is a huge scam. Start killing elites or you're gonna die.
Let me summarize: The fed is printing tons of free money, giving it out to minorities through these non-depository mortgage lenders, giving it to the saudis, russians, whoever, and giving it to the mortgage lender to stay quiet.
They are giving free money to everyone except US and doing it in our name
Christian Cook
Big if you had anyway to prove it. Just put smaller text with a sad looking trump will get normies to click on it thinking its a anti trump meme. Guarantee'd way to gain traction on facebook and twitter to spread the word.
Best advice on here. You can buy gold, food, guns, etc. All important stuff. But the most important thing is your mental, emotional, social and physical preparedness. When SHTF, the first people to realize it's literally kill or be killed will have the immediate first mover advantage.
>bps Those are basis points. He is saying they are making between 0.12% and 0.19% for basically no risk. It seems to be basically a payoff to the company to keep the executives of the company quiet. Yes, the whole economy is a scam. Yes it has been that way for some time. Yes, we are at the end of the cycle. What comes next? After the violence, something better.
Angel Edwards
bump fuck this board
Luis Bailey
I work in real estate private equity and have also heard some extremely troubling things. Regional VP at Lennar mentioned that new home absorption has slowed dramatically and they are backing out of lot purchase contracts forgoing their deposits. Bank of the Ozarks is starting to write down Big construction loans too - they are a great candidate to short sell.
Adam Barnes
where can you get hard info about bank activities like that?
Brody Rodriguez
oh yeah. GSE = government sponsored enterprise. A mortgage broker that's funded by the government
Nicholas Campbell
Guys, I've started getting looks of interest from young women at grocery stores. This after a long lull of being completely ignored. I think the market for nubile women is crashing. Sell short! The market for young women is crashing hard. The bubble has burst and it's now a seller's market. Everyone's staying home and wacking off. Sell! Sell! Sell!
Andrew Ward
When you said MBS I thought you meant (((Mohammed bin Salman)))
Julian Fisher
What about put options? Is there any liquidity in the nubile option market?
Through my network... Also, car companies in trouble because many of them are making the majority of their profit off of lending. Rates are going up and demand is going down. Auto will get duallly hit by increased borrowing costs and lower loan yields.
So short USD then... Against what? EUR is fucked too. Gold comes to mind.
Cooper Powell
just think about how mass surveillance positions the top players with insider info....
Wyatt Mitchell
short SOCIETY
there is no solution there is no safety net it's going down and they've been planning it
start fighting now before the collapse and maybe we can break our fall. Literally start civil war now, or probably die, and pretty much the world ends.
the pollution this economic system generates is going to cause several catastrophes. Everyone gets cancer, everyone's kids are autistic, the ozone layer will literally be destroyed, etc.
Joseph Evans
>gold we're looking at possible civilization collapse. Invest in POWER.
also they might have been secretly mining tons of gold in antarctica that could crash it as a currency. You never know.
John Hughes
>China >Russia Ok, maybe this isn't that bad >Kazakhstan >Pakistan >Kyrgyzstan >etc -stans Ok maybe the territory would be difficult to occupy but we could still handle them >India
Superpooper 2020 aside these are 3 of the nations with the largest populations, next largest markets, and largest/best trained militaries compared to the US
We could contain them in their continent with the Navy but any economic warfare is going to hit the US hard as they leverage a continent and a half's worth of manpower and resources.
Don't make the same mistake Hitler did. Keep your enemies apart from each other.
Ryan Brown
Good thread. When will the crash occur, OP, and how do us make money on it.
Adam Nelson
>2018 >didn't connect the dots with the jews >still talking like your government isn't trying to kill you and piece out your country to anyone who will pay them a penny on the dollar
Michael Baker
swiss franc
Liam Edwards
>+jews! my sides
Dominic Myers
Thanks just bought 1000
Easton Jenkins
woman have no value fag, they're just a glorified fleshlight
