Hello rebel capitalists hope you are well. I don't know where Josh is I think he's

maybe having some sort of pow wow with green screen Jeff Snyder but anyway waiting for him

taking too long let's get on with the video so

breaking news the Bank of England just came out and announced they have taken

massive losses on their bond portfolio and I'm guessing they could go not

that they go bus but they could have negative equity they could could be insolvent. If the Fed is insolvent,

which they technically are, why can't the Bank of England be insolvent? But there is a big difference here.

So if the Fed goes insolvent, but there is a big difference here.

So if the Fed goes insolvent, well, they just have this accounting gimmick

called a, what is it, a deferred asset, I believe, and that just reduces the liability side of their balance sheet,

so everything balances out. But it looks like the Bank of England does not have that. So they need to basically

pillage their Treasury and therefore their government

would have to sell more guilt which could impact that supply demand

imbalance and make the interest rates long into their curve continue to skyrocket. So this is a big deal. Let's get into this title. The Bank of England is facing major losses on its bond purchases and it's set to get much worse key talking points. Bank of England

loses on Bondbot to shore up the UK. So basically when they're doing QE as you

guys know from watching my videos what are they doing they're just creating bank

reserves and they're purchasing those gilts or in the United States it would be

treasuries and those goes down and that's I think what they're referring to here let's keep reading

so in late July the Bank of England estimated it would require the UK Treasury so this is

what's different the way I understand things I've done a lot of research on how the plumbing works in the United States.

The United States, although the Treasury would technically be on the hook, they wouldn't go into the TGA and take the funds out.

They would just do that accounting gimmick that we discussed earlier called a deferred asset,

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