by stylishskunk
I dropped $5k into UVXY last week.
This could be a big crisis. European banks are not very stable and when markets open tomorrow look for them to take a hit. Goodluck to UBS taking over Credit Suisse who will need significant liquidity, even without any run on the bank.
At 75% less than market, that is a nice f*ck you to shareholders, and bond holders really sends a message of stability in the financial market.
Deutsche Bank has been garbage for a decade along with so many EU banks.
The high debt and over leveraged EU is already in a difficult position with rising rates and inflation. Now instability in the financial market.
The crisis in the US with the regional banks is deep. Who tf knows how bad it is?
China foreclosures are soaring.
This mess was created by the central banks’ garbage policies since 2008. Free money everywhere. The suffering started with the “transitory” inflation. Raising rates, job losses, and now we have a financial crisis made by none other than governments and central banks.
What’s next, printer go brr? How the f*ck with rates increasing and high inflation? It makes no sense….they do not go together. It’s like the stupidest tug-o-war….less liquidity vs more liquidity.
Anyway, I have no idea wtf will happen. But I don’t think this will be good.
The VIX liquidity profile
30 wall is getting bigger which means traders keep accumulating gamma but also creates a stronger resistance as dealers are short gamma at 30. pic.twitter.com/vTa2fXaK5q
— 🅰🅻🅴🆂🆂🅸🅾 (@AlessioUrban) March 19, 2023