GlobalData TS Lombard: Perkins Vs Beamish The Big Short 2.0
4 snips
Nov 14, 2025 In a lively discussion, the hosts tackle the risks posed by US money and equity markets, debating which is more concerning. They explore the potential inflationary effects of Trump's tariff rebates and discuss how central banks should respond to the AI boom. Insights include Michael Burry's stance on AI-related stocks and fears over funding shocks affecting the dollar. Additionally, they examine the fiscal impacts of proposed rebates and the UK's budget uncertainties, all while drawing intriguing parallels with past economic trends.
AI Snips
Chapters
Transcript
Episode notes
Fed Knows How To Manage Funding Shocks
- The Fed has learned from 2019 and now monitors money-market plumbing daily to avoid prolonged funding shocks.
- Short-lived funding squeezes are manageable because the Fed can and will supply dollars quickly.
Subprime Trading-Floor Memories Shape Risk Views
- Dario recalled living through the subprime crisis with nightly emergency trading-floor meetings and severe market drops.
- He uses that experience to argue small daily moves aren't necessarily the start of a systemic crisis.
Hedging Shocks Can Defy Fed Fixes
- Hedging shocks from insurers and pension funds can break the usual Fed response because dealers respond by selling dollars into spot markets.
- In that scenario, supplying reserves may not stop dollar pressure and the Fed lacks a simple fix.