Could the markets, as we know them, disappear?

Joe Ross

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Absolutely YES! It has already happened in my own lifetime as a trader. The markets today are no longer as they were when I began trading. They are hardly recognizable today compared with what they were then. It is as though trading, as I knew it originally, has disappeared. But there's more, as you will see.

As traders, we tend to build our lives around our trading without giving much thought to what we would do if trading and markets were not available to us.

Recently, the question was asked:
"Joe, do you think we could ever see a complete collapse of the derivative markets?"

The answer is most certainly yes! The world is awash with all sorts of derivatives. A futures contract is a derivative of the underlying cash market. An option on futures is a derivative of a derivative - the underlying futures contract. All stock warrants and options are derivatives. And think of all the SWAPS that exist out there.

At some unknown point, if a hedge fund, a bank, a government, or other entity were to fail to meet its obligations, it could bring down the whole house of cards. We are living in a gigantic global bubble. The stock market is a bubble within a bubble, as were the dot com bubble and the real estate bubble. There are few indeed who know the true worth of anything. All fiat currencies are nothing more than a bubble with nothing whatsoever to back them up other than the willingness of the populace to accept essentially worthless pieces of paper.

It seems to me that an awful lot of people assume that things will always go on as usual, and yet, everywhere I go I detect a certain uneasiness about the status of the world's economies. Certainly any worldwide stock market "correction" gives a lot of people pause for thought. Only a fool would think that a boom such as we have seen in recent years would never end. Yet that is exactly what I'm seeing in ever increasing numbers of people.

Do you realize that there was a huge crisis in equity markets a few years ago, precipitated by a devastating shock to the Asian currency markets? Beginning with the Thai Baht, the Philippine, Malaysian, Korean, and Indonesian (I've probably missed a few) currencies all plunged. The reaction to this was an immediate call by many Asian nations for a cessation of currency trading. If they couldn't get a complete halt to trading of their currencies, they wanted at the very least to stop all short selling.

This is the way governments react to crises. Do you think for one minute that the same thing would not happen in Europe, the U.S., or Canada?

In any crisis of that sort, the President of the U.S. has the power, without anyone's prior approval, to shut down all markets, banks, borders, etc. He can freeze all assets, both domestic and foreign. He can declare a state of emergency, call out the National Guard, and declare Martial Law. So I ask you, what is your plan "B?" You really need to have one!!
 
Request: Can T2W please add a new sub forum titled ''drivel'' so I can move certain threads into it....
 
Markets change and evolve.
Joe Ross is entitled to his opinion - however bizarre.
Then you get to the final paragraph.........and you know what all this is about.......substance abuse.
I do NOT want what he's on.
 
In any crisis of that sort, the President of the U.S. has the power, without anyone's prior approval, to shut down all markets, banks, borders, etc. He can freeze all assets, both domestic and foreign. He can declare a state of emergency, call out the National Guard, and declare Martial Law. So I ask you, what is your plan "B?" You really need to have one!!

All sounds a bit David Icke to me.
 
Request: Can T2W please add a new sub forum titled ''drivel'' so I can move certain threads into it....

That's a good idea.
Seriously, maybe there should be a forum specifically for "lulz" :LOL:
And arabian could be the Forum Guide :LOL:
 
And that last paragraph of Joe Ross's - Obama will be impeached before then for promising much and delivering zilch (apart from leaving things even worse than he found them).
Much more an impeachable offence than Clinton's semen stains ( I mean what's a President supposed to do between wars?).

I meant Bill, can't speak for Hillary...
 
i wondered where my eurusd chart went to;
this explains it, the interbank market disappeared
 
i wondered where my eurusd chart went to;
this explains it, the interbank market disappeared

Phew just checked and some markets remain intact. What a relief, would hate to spend yrs getting up to speed for all trading in stocks,bonds,commodities,currency et al to be suspended.

Erm plan B, I will set up a giant Internet site for everyone to barter once money has gone from the world
 
Wow, another gem!

My Plan B is to capture Joe Ross and hold him for ransom. His insights are so valuable that I should be able to get millions from traders that rely on him to tell it like it is. If sh1t properly hits the fan, Joe's carcass should also yield a few kilos of nutritious flesh that I will be able to subsist on for a while.
 
All fiat currencies are nothing more than a bubble with nothing whatsoever to back them up other than the willingness of the populace to accept essentially worthless pieces of paper.

This is just nonsensical and petty claptrap. People who know nothing about finance love making statements such as this, along with "it's a house of cards" or "it's a giant ponzi scheme".

"Fiat" money is not backed, BUT (and this is the kicker) your government and everyone else will accept this money as legitimate tender (it's the law). So for the system to fail, you need a complete collapse in the political, financial and legal system, and for there to be an almost total absence of law and order. Such an event is unlikely to come about unless there is some seismic upheavel, e.g. a war. Well, if there is a war, would being on the gold standard help? Hmm?

The gold standard is what caused the Depression, because credit could not be created. The country which emerged most quickly from the Depression was the UK, who were first to decouple from gold.

There is no doubt that excessive money printing is unhelpful (Weimar republic) but are we really seeing that yet?
 
It's OK, meanie... Ol' Joe doesn't really mean it. He's just messing with your head, man.
 
This is just nonsensical and petty claptrap. People who know nothing about finance love making statements such as this, along with "it's a house of cards" or "it's a giant ponzi scheme".

"Fiat" money is not backed, BUT (and this is the kicker) your government and everyone else will accept this money as legitimate tender (it's the law). So for the system to fail, you need a complete collapse in the political, financial and legal system, and for there to be an almost total absence of law and order. Such an event is unlikely to come about unless there is some seismic upheavel, e.g. a war. Well, if there is a war, would being on the gold standard help? Hmm?

The gold standard is what caused the Depression, because credit could not be created. The country which emerged most quickly from the Depression was the UK, who were first to decouple from gold.

There is no doubt that excessive money printing is unhelpful (Weimar republic) but are we really seeing that yet?

You're not trying to have a rational debate with him are you?
He's just trying to get you on a Ross Hook.......
 
You know that thing about a broken clock being right twice a day?
Well the FX market has just disappeared....time to stock up on barbed wire, booby traps, buckshot, baked beans and brain cells......oh, and fish fingers.
 
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Quite cheap though.
Maybe they will be the post -apocalypse currency.
 

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