Dtcc needs more money to pay for their amc squeeze. Today. I want to talk talk about why. The dtcc needs more money and whether their request is likely to approved so stay tuned.

And let's make some money and now i want to dive straight in with the key information. So victoria tweeted. Saying. The dpcc says they don't have enough money to cover this is a filing requesting permission to borrow more money from banks and non bank institutions.

So as a description of the proposed change it says as the sole clearing agency for standardized us securities options listed on national stock exchanges register with the commission the occ is obligated to make certain payments in the event of a clearing member default. The occ would be obligated to make payments on time related to that member's clear transactions to meet such payment obligations. The occ maintains access to cash from a variety of sources including a requirement for members to pledge cash collateral to the occ and various agreements with banks and other counterparties to provide occ with cash in exchange for. Collateral such as us.

Government securities. It says the occ routinely considers stress test scenarios and based on such considerations. The occ now believes that it should seek to expand its liquidity facility to increase the occ's access to cash to manage a member default clearly. The occ is expecting a member default or a number of member defaults on a massive massive scale and they want more cash to backstop this default so far the members of the dtcc are pledging cash collateral and pledging their assets.

And they also have other agreements with banks to swap cash in exchange for collateral. But they're saying. That's not enough they need additional liquidity facilities to be able to cover these coming member defaults and this is specifically this advanced notice contains a change to occ's operations to execute a master repurchase agreement aka another repo facility they're basically copying another bank repo facility program that occurred back in 2020. Except in this occasion.

They want up to one billion dollars as opposed to only 500 million against yet just another billion dollars. That's available to pay for the amg squeeze another billion dollars for us amc apes during the mother of all short. Squeezes. Now obviously under this agreement.

The dtcc can request more money at a later date and they can also request additional funding on top of that what i do think. This shows is the dtcc recognizes the need for additional cash liquidity and additional cash requirements. They recognize the real risk that soon many counterparties or a singular large counterparty will almost certainly default therefore. The dtcc are planning for this coming default or for these coming defaults and they need additional cash to make up those member default liabilities.

Okay the dtcc recognizes the squeeze is coming they recognize that some counterparties in hedge. Funds will default and therefore. The dtcc needs more cash to pay for the squeeze. Now user already asked the question as to why these hedge funds actually have to cover obviously these hedges can create billions of synthetic shares.

So what exactly is going to force them to close out of their positions and stop creating more synthetics. They said if hedgies can really do what they want and bypass rules hide figures and such like what's stopping them from kicking the can down the road indefinitely. There's no enforcement from the sec to say otherwise well jedi master. Tom said.

The reality is is that it cost them a ton of money to keep their short positions open every single. Day he. Said that's why you see headlines about blackrock totaling 17. Trillion dollars in unrealised losses in only the first half of 2022 alone on top of that we're seeing many other hedge funds on the brink of a collapse.

Many other banks losing billions credit suites. Potentially about to default and collapse as well and many other hedge funds about to fall after he said that money belongs to the investors who trusted these crooks to deliver profits for them not gamble. It away on naked shorting american companies that have since been saved from bankruptcy and destroyed their short thesis. Obviously these heavily over leveraged hedge funds have been making bad bets through the entire of 2021 and 2022 and have been losing their investors.

Billions and actually trillions. These investors are continuing to take out money. While these. Hedge funds and major banks are suffering penalties fees and interest costs every single day.

He said that's why ken griffin has limited his own clients quarterly withdrawals. So that he could effectively buy himself one more day just like in 2008. He said simply put the shorts are in a death spiral with no way out. And it's only a matter of time before the music stops and their house of cards comes falling down.

You may say tom won't the dtcc just once again waive. Margin calls like they did back in january of 2021 and guys. If you haven't already be sure to send it to moomoo right now using the link in the description. Below you can currently get 10.

Free stocks worth up to a total of 25 000. Mumu is very easy to use it's incredibly customizable they've got tons of technical indicators and advanced charting tools from moomoo's latest customer agreement they officially state they do not benefit from order flow and they do not sell your order flow to market makers like citadel. Or declaring houses like apex clearing in fact moomoo clears their trades on their own through their own clearing broker photo incorporated. Which does also not benefit from your order.

Flow and therefore moomoo is brilliant for buying those amc shares. But don't forget when a mass default happens on this kind of scale. The dtcc can't just waive these margin calls back in 2008. When these banks collapsed.

The dtcc didn't just waive these collapses in fact these banks had to be bailed out by us. Taxpayers. When a default and a collapse on this scale. Actually happens it won't be the dtcc.

Just waiving. Margin. Calls. And saying that everything is fine.

These hedge funds will actually collapse. And only some of the major banks will end up being bailed out the smaller heavily overleveraged hedge funds that are shorting american companies will be forgotten and left to collapse and only some of the major banks will be saved. And don't forget even though you may think some funds like blackrock are currently long on amc. That's only their reported long positions.

Obviously. These funds don't have to report their legit short positions. And they also don't have to report a number of total return swaps married and divorced puts failed delivers and everything else to do with their short positions. But you may have seen this tweet or this gift tweeted towards adam aaron of somebody playing chess against many multiples of opponents.

All at the same time. Adam aaron replied. Saying by the way to those in the twitterverse. Just in case.

You're unaware i like to play chess like this guy. He said. My guess is that he wins far far far more games than he loses. This is again another reference to adam aaron.

Playing three dimensional chess against the shorts. Playing checkers back in october. He tweeted saying some of you have suggested that as the ceo of amc. I've been playing chess while detractors and shorts have played checkers.

He said on the weekend that james bond's no time to die opens in the us. It feels more like amc is playing three dimensional chess to the naysayers. I say it loud hashtag choke on that adam aaron seems to now have upgraded from playing three dimensional chess to playing 10 13. Or even 15 dimensional chess.

Clearly. Adam. Aaron does have a master plan for the shorts. And i'm very very interested to see him execute.

Charles payne was also on fox business late last night talking about how the institutions desperately want us to cover and sell our shares pk lance tweeted saying charles payne is back at it again. He said you only lose if you sell hedge funds are banking that retail doesn't have the stamina to hold and he said it costs apes nothing to hold. But it does cost the hedge funds to hold their shorts. So let's hear what charles payne had to say from the map.

Itself. Many investors have reached out to me about this wall street journal headline from last week. A new bull market can't start until investors give up you know i gotta tell you it's one thing to say people have overreacted you try to take trades on the other side of theirs. But this is an all out campaign to push individual investors out to make them sell everything and move to the sidelines.

You know they love to see though soak for a few months. The market comes back gets the new all time highs. And guess what they want to see you come right back in as they bought the low right here's the thing. Some of this retail selling has happened already in fact uh when it comes to uh margin accounts.

Where it's down 27 wall street. Said you want to see it down even more because it was down 50 for the dot com bubble and a credit bubble. But the point is is ain't those meanwhile jp morgan uh retail. Just said that they saw the heaviest selling since september 2020.

So that tells me that some people are beginning to take a loss here. Some people are getting frustrated maybe selling into a bounce to try to break even a little bit. But here's the problem folks be careful right if you're going to be in this for a lifetime make sure that you're in it for a lifetime. Because wall street is banking on you to sell everything learning a lesson much like prometheus did when it shared fire with mankind and then they just want you to sort of shut up and buy passive funds.

I want you to remain focused on staying in this market you have to continue to learn continue to adapt also make sure you keep looking for your own self because on the other side of all these trades as a buyer and if you're a seller. Guess who's gonna be fine you're selling less climbing and i think there you have charles payne really hitting the nail on the head these institutions are desperate for us to sell so they can cover their shorts and buy shares at a low low price. But obviously what we shouldn't do is we shouldn't sell we should continue holding our shares and make. These.

Hedge funds. Buy our shares at whatever price. We. Won.

Xero. Hedge. Also tweeted. Saying.

The fed will have to ease back on their interest rate. Hikes. Unless. It wants to create real panic across markets and hellspawn crypto.

Tweeted. Saying well that's kind of what happens. When you create fake demand. What the fed is doing is seeking for the bottom of real demand.

Father cabezilla. Tweeted. Saying. The fed has no option.

But to continue full speed ahead with hawkish policy. This week. They said they know the only way to control inflation is to send us into a recession. He said.

It's time to rip the bandage off and raise rates at an even faster pace short term pain for long term. Gain. Obviously if the fed doesn't raise rates fast enough inflation will continue to spiral out of control last month the fed raised rates by 75. Basis points but yet inflation increased from.

86 all the way to 91 in a singular month. Obviously if the fed does raise rates too fast. It will create the economy and cause a recession. But a recession is a fairly short term short lived event and there will be gain in the long term.

Now. I think really regardless of what happens. The economy will crash. Either.

The fed raises rates. Too fast causing the economy to crash and causing a recession or they don't raise rates inflation continues to spiral until it just explodes. But regardless of what the fed decides to do the economy will crash. The stock market will crash and will eventually bottom out and when it does bottom out it will cause big banks to be liquidated.

It will cause small banks to be liquidated. It will cause hedge funds to be liquidated and most importantly. It will cause these overexposed over risk short hedge funds to be liquidated as well don't forget. These.

Short. Hedge. Funds are only shorting. A small group or a small basket of stocks with a fairly small portion of their portfolio.

The majority of their portfolio is still long on the market and irresponsibly long at that the majority of their portfolio is still heavily over leveraged and they are overexposed on the market as a whole in both directions. And they are indeed trapped. These. Hedge funds are continuing to pay costs to borrow fees at 131 for gamestop.

Every single day on a daily basis. They're paying the nscc failed to deliver fee every single day on a daily basis as well they're paying their can kicking costs on their total return swaps their married and divorce puts and everything else they're using to continue pushing the price of amc and gamestop back down. But as i said it can't happen forever one day they will run out of money especially. When the economy craters and they fail to meet those margin calls and end up being liquidated.

But guys be sure to let me know what you think down in the comments. Below and as always guys be sure to ding that notification bell. Because that way you'll be alerted when i upload a new video cheers.