Bank Failures derived from Cheap Oil?


Plummeting Oil Prices Could Destroy The Banks That Are Holding Trillions In Commodity Derivatives

Michael Snyder, on December 3rd, 2014

… If the price of oil stays at this level or goes down even more, someone out there is going to have to absorb some absolutely massive losses.  In some cases, the losses will be absorbed by oil producers, but many of the big players in the industry have already locked in high prices for their oil next year through derivatives contracts. …

But who is on the other end of those contracts?  In many cases, it is the big Wall Street banks, and if the price of oil does not rebound substantially they could be facing absolutely colossal losses.

It has been estimated that the six largest “too big to fail” banks control$3.9 trillion in commodity derivatives contracts.  And a very large chunk of that amount is made up of oil derivatives. …

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(It’s Over! Get Ready!)

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About icliks

Biding my time in central ms ... yours too, if ur reading this.
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