Good Lord I think I’m in love with this woman. It’s like hearing a female version of me talk.
Worked at a small commodities firm in the mid-90’s in Chicago and got an offer of going to the big dog Lind-Waldock but ended up trading for myself. Rusty on the clearing stuff, but if she’s right this is black hole level kind of destruction.
If I recall the chain is the client, the broker, clearing house, clearing house’s clearing house (basically a bank-like entity), and the exchange. That relationship was always sacrosanct and the foundation of market liquidity and fiduciary trust.
If this has been broken then it all comes crashing down. I believe as she says - the only way this could be allowed to happen is if you wanted it to happen. It’s the financial version of negating the law of gravity. You basically have nothing to stand on after that.
Very interesting that this THE John Corzine of New Jersey governor fame. Lends credence to her theory that this is some kind of Blowhard-Pinhead overwhelm-the-system strategy, throwing some bleach into the fish tank.
Time will tell if Barnhardt right.
I see that comment more than any other regarding Miss Barnhardt...