Okay, everybody, here we go. It's me, Gregory Manorino, Thursday, October 5, 2023. And this is my pre market report. People, right off the bat, I'm gonna let you in on a little bit of a secret here. Maybe you know already, there is no doubt at all, and I mean whatsoever, zero, that the Federal Reserve has now intervened in the market. What am I talking about? Just two days ago, the MMRI Manorato Market Risk Indicator hit 324. 

Right now, as I am doing this lovely video blog, we are at 312. The ten year yield has come down significantly. The US. Dollar on a relative strength basis has also come down. And this buying here in the tech sector that we've seen especially yesterday, again, all the things you and I said would likely happen or was a possibility that it would occur, what did we talk about? I mean, repeatedly, the Fed could do three things. 

You remember what I told you, what those things were? Number one, intervene in the debt market, start buying more debt. Clearly, some entity out here with a lot of firepower is buying more debt. The dollar, on a relative strength basis, weakening that's. The fed as well. And yes, they buy the market. So in my this isn't even an opinion, it's a fact. The Fed has intervened. They're trying to stop the bleeding in the market. 

It's getting pretty extreme. Investors are getting rattled. Investors are dumping equities at a staggering pace right now. So I believe clearly it's in our face, as usual, that the Fed has in fact intervened. And we'll see where it goes. Is it enough? Is the fed done? What do we know? We know for a fact that this entire thing is being dismantled by design, but they don't want to cause a panic. 

As of yet again, this is a presidential selection cycle. And with that, they're going to prop up this market. I believe so. What did I say yesterday in my post market video? Even though I flashed you what the MMRI was doing at that point, I think it was 317. Anyway, I said, if the Fed can stabilize the market here, even though we are in an extreme risk situation, if the Fed could stop the debt market from selling off I mean, this is a global phenomenon. 

You and I have been talking about it since like, forever. Market would the greed would take over, and you would see probably market participants get back in here. And of course, with the promise that the Fed will support the market and the market knows that too, that the Fed is going to get in here, it's not going to stop the situation from unfolding in a worst case scenario, period. 

All this is doing is making the problem monumentally worse. I mean, don't take my word for it. A headline this morning, and you could check this out for yourself. Market watch talking about a bond crisis. A bond crisis. Yesterday, market watch was talking about how something is breaking in the financial system. How do we operate, how does this thing that they've thrust upon all of us operate, work from crisis to crisis to crisis and every crisis, debt crisis, bond crisis, everything other freaking crisis they want to throw at us. 

What does it require? More cash. More cash. More cash to be thrown at it. That's what they're going to try to do here. It can't be done. Our loving, caring politicians in collusion with central banks around the world are going to tell you that they need to throw more cash at the problem. And that is the issue. It's a debt crisis. You can't fix it by throwing more cash at it, period. 

It just exacerbates the underlying problem. You all know this, but that's not going to stop them from at least using this mechanism to prop it up. Should be pretty obvious. So let's see. Let's see what happens today. Again, consider what I'm saying. The MMRI went from a 324 to like wherever we are this morning. It's a significant drop, ten year yield coming down like ten basis points. I mean, this is pretty incredible stuff and it doesn't surprise me at all in the face of a crumbling world economy like we've never seen before. 

And the bad economic news doesn't stop this disconnection between the market and any kind of reality. And that's just the way it's going people. But look, we're in the right spots. We're bidding against the debt, becoming our own central banks, understanding where this is all going to go, moving forward. Now, let's talk about a couple of other things here. Crude oil has taken a pretty substantial hit yesterday. 

We dropped like 5% this morning. Pre market, it looks like we're falling here as well. It's not going to last. It's not going to last. There is no way this is going to last. So again, understanding how this works, I told you this a million freaking times. Nothing goes up or down in a straight line. But again, the real movement of cash from the debt market leaving the debt market. 

As debt sells off, yields rise, putting pressure on the stock market. Cash leaving the stock market, moving its way into commodities. This mechanism takes time to play out. And as you all know, I've told you this also a million times as markets, the initial stages of a stock market crash, and we may be here, is the market throws everything out, everything out. The baby gets thrown out with the bathwater. 

And that presents opportunity, at least in my view. But you got to understand these things. You got to be patient. You have to realize the game that is being played. And the Fed is not done. Central banks are not done. They are going to make this situation the debt crisis, the bond crisis, everything other crisis that they want to throw at us much worse. So the eventual outcome is magnified by massive orders of magnitude. 

Do you understand that? Massive outcry that they need from the public. They're going to make sure they get it as they institute their new system. Anyway, going back to the market this morning, you got stock futures slightly lower this morning. Nothing major going on here. You got cryptocurrencies flat slightly lower. Gold and silver catching a bid, tenure yield, as I said, a miracle is occurring. Tenure yield dropping, relative strength of the dollar dropping. 

Crude oil under pressure. That's the setup for the market. I was just writing down a couple of things here. So with regard to the consumer, here's the news as of late, and look, debt defaults are skyrocketing, skyrocketing at its fastest pace, more so than the last meltdown, more so than convid or anything else here. And again, the consumer is the backbone of this situation here and they're getting crushed by design. 

This two tier society, this neo feudal system is in full swing and we're watching it unfold right before our eyes. Small businesses being completely wiped out as credit is being cut off to them. This is deliberate as well. Everything you're seeing, everything is this is not by accident, by any means here, people. You know this and the fact that what the central banks, none more than the Federal Reserve has done use the same mechanisms, the same two mechanisms that is suppressed rates and easy money which inflated the last meltdown of the market, which preceded the last meltdown in the market is the same exact thing that's preceding this one. 

It works. Understand, the Federal Reserve is a serial bubble blower. They allow these bubbles to build and then they allow these bubbles to deflate. This is what they do. And of course, this enriches the mega banks on Wall Street. Speaking about the mega banks on Wall Street, people, look, you're not being told what's happening here and you know what I'm talking about. There are bank runs going on right now, people pulling their cash out of these institutions. 

The average person has zero savings. They've depleted it right now. This is also going to hurt the banks. No deals, no loans. The banking system is in an enormous amount of trouble. I outlined for all of you as of late why I believe bank of America is the poster child right now for the problems that are existing in the banking system. It's not done. They are consolidating the system. 

We are going to see more bank failures. We will see at least one major Wall Street bank fail, period. And that's going to be the scapegoat. Oh, look, look what we know. We let this bank fail and then of course, there's going to be bail, ins, bailouts and everything else you can possibly think about. It's an astonishing kind of a situation here. As we spoke about yesterday, bank of America, their derivative exposure along with every other major Wall Street bank is frankly so astronomical. 

Bank of America, over $50 trillion, $50 trillion in derivative exposure here. Their exposure to the debt market, along with every other see, what happened is investment banks started loading up on debt, and now their portfolios, their debt portfolios or their portfolios overall, are getting crushed as yields continue to rise. You understand? Do you see what's going on here? But they're blaming the bond vigilantes and everybody else. Oh, no, it's not the fact that these institutions here have loaded up on worthless assets here. 

Honestly, the yield on the debt that these banks is holding is way less than the actual rate of inflation. I mean, consider that it's a nightmare scenario unfolding here for the banks, and that's the truth. And that means that you and I are going to pay for it. And you can count on it, crisis to crisis to cris. And all this demands is our loving, caring representatives. They're going to throw more cash at it. 

They're going to find a way to do it. And you could count on that as well. All right, people, that's pretty much it. We covered a lot. Let me just make sure I got everything down here. Yeah, pretty much that's where we're at. And we will meet 400 and 05:00 p. m. . Eastern Daylight Time. Have some questions ready for me. We'll cover those at the end. Okay. 

Love all of you. Thank you, all of you, for everything, your support, your friendship, and well, that's it. All right, I'll see you later. Bye. .