And we have this story today from Zerohedge think about this story when you hear people talk about raising the interest rate...the FED is between a rock and a derivative hard placed and they will be damned if they do and damned if they don't.....
If even 0.1% of this money is “at risk” it would wipe out 10% of the big banks equity. If 1% were “at risk” it would wipe out ALL of the big banks’ equity.
Suffice to say, the Fed cannot afford a spike in interest rates without imploding the big banks: the very banks it has funneled TRILLIONS of dollars to in an effort to prop up.
At some point this whole mess will come crashing down just as it did in 2008. The derivatives market remains a $600 TRILLION Ticking Time Bomb.