ANALISTA Igor Pereira Posted December 2, 2025 ANALISTA Report Share Posted December 2, 2025 What we were afraid of is happening. Wall Street's short-term funding data just sent out a distress signal. Liquidity is evaporating, the cost of money is shooting above the Fed's targets, and the banks are rushing to the emergency lines. By Igor Pereira, Financial Market Analyst, Junior Member WallStreet NYSEThat's not a technical fluctuation. It is the beginning of a systemic liquidity event. 1. The Race to the SRF: $84 Billions in 7 DaysA Standing Repo Facility (SRF) It's the Fed's lifeline to primary banks that desperately need cash. Today's Data: The use of SRF has reached $9 billion in a single day. The Accumulated: In just 7 days, the total jumped to $84 billion. My Analysis (Igor Pereira): Healthy banks don't use SRF unless they can't get funding in the private market. A peak of this magnitude indicates that banks are hoarding cash and refusing to lend each other. Interbank trust is evaporating. 2. The SOFR Alarm Signal: Fed lost control?A Secured Overnight Finance Rate (SOFR), the rate that replaced LIBOR, is behaving alarmingly. The Shooting: SOFR is being negotiated above the Fed target range. Volume: The volume of transactions exploded to more than $3.4 trillion, indicating a frantic struggle for collateral and cashier. High percentiles: Transactions in the 75th and 99th percentiles (the most expensive ones) are rising, showing that some participants are paying huge prizes just to ensure liquidity. My Analysis: When the market rate (SOFR) breaks the Fed ceiling, it means that the central bank has momentarily lost control over the cost of short-term money. The plumbing of the financial system is clogged. Conclusion of Igor Pereira: The QE PrecursorThis liquidity squeeze is the historic trigger for the Fed's massive intervention. In 2019, a similar event forced the Fed to restart the QE (Quantitative Eating) overnight. What's Next: The Fed will be forced to inject permanent liquidity into the system to avoid a credit freeze. Gold/Silver Impact: This is the final validation for precious metals. Liquidity crises lead to the printing of money. Money printing leads to currency devaluation. Depreciation leads to Gold at $5,000. The system is crumbling under the weight of debt and the lack of quality collateral. Liquidity is decreasing for those who need it, but it will be infinite for those who have real assets. Want to take your analysis to the institutional level?This analysis is just the tip of the iceberg. ExpertFX School Premium Members Receive daily insights, premium analysis in-depth and Direct access to our closed group on Telegram, where we discuss the market in real time. Don't operate on noise. Operate based on intelligence. Access your dashboard and become Premium now: https://expertfxschool.com/dashboard Perfect! Thanks! Love it! Haha Confused :/ Oush! Wow! Liked! × 💬 Did you like this content? Your feedback is very important! Liked! Perfect! Thanks! Love it! Haha Confused :/ Oush! Wow! Quote Link to comment Share on other sites More sharing options...
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