Systemic Meltdown Risk Increases - - Protection and Profit Actions Advised: June 13, 2008 DEEPCASTER LLC www.deepcaster.com "Systemic Meltdown Risks & Devilish Derivatives.
The risk of Systemic Meltdown continues to increase.
The Total Value of all Derivatives Outstanding now exceeds One Quadrillion U.S. Dollars, nearly a doubling since the last BIS report.
The value of listed Derivatives is now about $548 Trillion and OTC (Dark Liquidity) Derivatives is $596 Trillion, as of December 2007, for a total Notional Value of over $1000 Trillion.
Remember that Derivatives Markdowns and Failures are at the core of several ongoing financial crises, including the Credit Market Freeze-Up and Mortgage Crises.
If any major counterparty/ies to these Derivatives contracts fails, that could bring the entire “Paper Domino” Derivatives Edifice (and thus the entire Financial System) crashing down as well."
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