Read Mike Morgan’s essay The World’s Grandest Ponzi Scheme Unravels.

He makes Nouriel Roubini, and for that matter me, look like Panglossian optimists, though he does appear to be a short seller, which means that pessimism is his job.

I’ve shown this scare chart, but it’s time to show it again:

Total Fed lending to financial institutions.

Pleasant Dreams.