Submitted by Tyler Durden: There was a time when the world had (somewhat)
free markets. Then Lehman failed as the inevitable culmination of a
credit bubble that was second in size and severity only to the one being
blown currently, and the central planners took over, converting equity,
bond and FX markets into nothing but monetary policy tools dominated by
central banks. Below is a great summary of how parallel to SkyNet's HFT
takeover of stock trading, the central planners conducted their own not
so stealthy take over of all capital markets. The
chart is open-ended. Expect much more intervention by the Big 4 in the
months and years ahead as the circular nature of increased central bank
intervention leading to less faith in financial markets leading to
increased private sector deleveraging leading to increased-er central
bank intervention and so on, accelerates.
Source: Goldman Sachs. Source
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