The Repo Crisis for year-end has had the Fed pumping in a staggering amount of about $234 billion into the repo markets. They are exchanging high-quality capital for cash to suppress market volatility and maintain the central bank’s overnight funds level, which is used as a benchmark for multiple other short-term interest rates within […]

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COMMENT #1: Hi, Marty if you can, let the readers know if the “mother of all financial crisis” is the big bang. You talk al lot about the REPO crisis and some might wonder if these are two separate events. N COMMENT #2: Wow. I am left speechless. I think your title Repo Crisis is […]

This is a special urgent report available to clients only. We have detailed the progression of the Liquidity Crisis we had forecast would erupt at our Rome World Economic Conference come September 2019. The early warning signs were right there in a our face if you just looked. The next stage emerged into the Repo Crisis and the third stage will unfold as the Mother of all Financial Crises. We are not publishing this for everyone to see because it is too sensitive and we must keep in mind that while the crisis is set in motion by governments, they will never accept responsibility and will always try to hang someone in the private sector for their own mistakes.

This report is part of the Institutional Service. We have opened this report for all clients regard of the level despite this fact that the Repo Market is an institutional playground and that the impact of this will eventually spill-over into the other markets just as the foreign exchange chaos of 1985-1987 resulted in the 1987 Crash. The Plaza Accord in 1985 set in motion the birth of the G5 as they announced the wanted to see the dollar 40% lower. When the dollar fell too much, then then formed the G7 in Paris to halt the dollar's decline. When the dollar fell even further, they lost confidence in the central banks being in charge and that led to the 1987 Crash.

This report will be update next year when Phase III of the Mother of all Financial Crises begins to unfold.

COMMENT: Marty; I want to thank you for a great conference. It is clear you are the only true institutional adviser. Our board is very impressed. The FT reported that there is still no  single factor that caused the dislocations in the repo market in mid-September. You are the only one who explains the event […]

QUESTION: Marty; The goldbugs are back and claiming the Repo Crisis is MMT and this is again just printing money endlessly to cover up a major banking crisis in the USA so buy gold of course. You said at the WEC cocktail party this would happen because these people never understand the world economy. Is […]

COMMENT: Marty, thank you for a great conference. The comments out there on the liquidity crisis have been just domestically focused. Thank you for keeping my eyes focused on international events and your analysis about the crisis at Deutsche Bank GH REPLY: The raid on Deutsche Bank in Germany back in September over the money […]

QUESTION: Martin, I heard an interesting argument recently about the Fed injecting money into the repo market. This person said that Dodd-Frank allows the fed to inject money directly into the banking system as in the case of the repo market, and this makes another 2008 impossible because all of the risk is now transferred […]

QUESTION: Mr. Armstrong; I want to thank you and your staff for a great conference. It was the best ever. Your detailed review of the Repo Crisis demonstrates why mainstream media tries so hard to ignore you while there were more institutions there than at any conference I have ever attended. When the Fed announced […]

This is the first installment for our Institutional Clients concerning the two countries at the greatest risk of DEFAULT - Japan and Germany. We have provided the forecast for Japan's default and explained in detail the internal battle between the Government, the Bank of Japan, and the Private Sector. This report exposes the truth about who holds what and the threat to instability as Japan also tries to cozy up close to NATO as a diversion for its fiscal mismanagement.

Investors have long fretted about the sustainability of Japan’s government debt as other nations, including Germany, are facing unsustainable fiscal mismanagement across the developed world. Japan has garnered the most attention due to its highest debt load relative to economic output and the heaviest debt-service burden. At the same time, the excuse has been that they are mostly self-funded, and as such, appearances are deceptive. Still, all Western nations are on a collision course with a sovereign debt crisis that will bring them all crashing down when the line at the door stops buying the new debt to roll over the old.

Japan’s fiscal mismanagement is not significantly worse than that of others. The pandemic, climate change, sluggish growth, and financial crises, accompanied by a lack of confidence, have led to an increase in government debt for many wealthy countries. At more than 250% of GDP, Japan’s gross debt stands out. Combined with sluggish growth and a shrinking population, many financiers and economists see it as an existential risk. The real question this report addresses is the real story behind the curtain, and when does this come to a head?