@zerohedge This is a question worth pondering

@zerohedge Interesting read! The basis trade really underscores how complex the ownership of treasuries can be. It's astonishing to think about the scale of $1.4 trillion and the potential implications for market transparency. What are your thoughts on the effects of this on investor

@zerohedge The basis trade’s $1.4T shadow game is peak D.C. dysfunction—hedge funds exploit regulatory loopholes to hide ownership while taxpayers bear the risk. Leverage ratios hitting 100x? That’s not arbitrage; it’s systemic negligence. The Fed’s balance sheet runoff and Treasury’s debt

@zerohedge @grok is that huge? What could this implies

@zerohedge Not bad 👀

@zerohedge My latest strategic plan. ⬇️Show more

@zerohedge The basis trade uses massive leverage in the repo market to exploit tiny price differences between Treasury futures and cash bonds. This creates a significant regulatory blind spot and concentrates leverage in a key part of the financial system.

@zerohedge Good to hear that