LIBOR

According to the CIA’s World Factbook, the global economy - as measured by the world’s gross domestic product - is less than $80 trillion.

In contrast, over $800 trillion dollars worth of investments are pegged to the Libor rate. In other words, a market more than 10 times the size of the entire real world economy is effected by Libor.

As the Wall Street Journal reports today:

More than $800 trillion in securities and loans are linked to the Libor, including $350 trillion in swaps and $10 trillion in loans.

Remember, the derivatives market is approximately $1,200 trillion dollars. Interest rate derivatives comprise the lion’s share of all derivatives, and could blow up and take down the entire financial system.

The largest interest rate derivatives sellers include,
Barclays,Deutsche Bank,Goldman,Bank of America Corp., JPMorgan Chase & Co., UBS AG, Wells Fargo & Co. and GE’s former trading unit called GE Funding

wait what! GE- Peter Lanza: Tax Director and Vice President - Taxes at GE Energy Financial Services huh! interesting

but honestly! 2 minutes, 2 minutes to kill 20 kids and 6 adults at extremely close range for an autistic 20 year old kid. ?

[link to www.accountingdegree.net]

[link to opinion.financialpost.com]