$150B in Treasury Settlements hitting this week – liquidity about to get squeezed hard

    https://i.redd.it/e3hvuxixt23g1.jpeg

    Posted by SubstantialRock821

    11 Comments

    1. Hmmm. I wonder if this will make for another pump and dump this week. Might see a hard rally tomorrow so they can sell more assets off higher the rest of the week. Or it might just keep dumping out of the gate Monday morning.

    2. LightOverWater on

      1. Removing $19B in capital is a drop in the bucket for markets (US equity volume is about $2T-$3T per week). This also assumes that the bond redemption is fully funded by equity liquidation, which is not true. Even, then, a lot of that equity was probably liquidated already if they needed to.
      2. It’s offset by a capital injection of $131B into investor pockets. A portion of this will go into equities.

      Overall this is a nothingness event, just normal financial markets and the numbers/ratios aren’t scary at all.

    3. thatavengersguy on

      Don’t give me this wall street jargon. Just tell me where to throw $10k because I trust random redditors a lot

    4. Well, assuming this chart is accurate, on SPY we had a +2.94 move October 15, 2.93 October 31, and -6.26 point move November 17th, sooooo, I don’t see any useful correlation 🤷🏾‍♂️

    5. Those Sunday evening “market is about to tank or rip tomorrow” post have been poor entertainment as of late.

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