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Australian National Review – Banks Are Over Leveraged 2 QUADRILLION Dollars In Derivatives. This Will Be The Worst Financial Collapse EVER

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Banks are Over Leveraged 2 QUADRILLION Dollars in Derivatives. This Will be the Worst Financial Collapse EVER

By VotingIsForLosers

A derivative is a contract that derives its value and risk from a particular security (like a stock or commodity)—hence the name derivative. Derivatives are sometimes called secondary securities because they only exist as a result of primary securities like stocks, bonds, and commodities.

The four major types of derivative contracts are options, forwards, futures and swaps.

Banks use derivatives to hedge, to reduce the risks involved in the bank’s operations. For example, a bank’s financial profile might make it vulnerable to losses from changes in interest rates. The bank could purchase interest rate futures to protect itself.

Derivatives are a high-risk instrument. The volatile nature of derivatives can lead to huge losses. Moreover, the contracts are designed in such a way that it becomes very complicated for the investors to valuate them.

Famed investor Michael Burry delivered arguably his most dire warning about the current US economy to date late Thursday – suggesting he is concerned the ongoing downturn could be worse than the Great Recession.

Burry, the boss of Scion Asset Management, noted that one of his market analysts said his comments were “spooky” because he voiced his concerns on Sept. 29 – the anniversary of a 777.68-point drop in the Dow Jones Industrial Average in 2008 that ranked at the time as the largest single-day plunge in history.

“Today I wondered aloud if this could be worse than 2008,” Burry said in a now-deleted tweet. “What interest rates are doing, exchange rates globally, central banks seem reactionary and in [cover your a–] mode.”

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Handwriting Proven to Boost Memory and Learning Efficiency, Recent Norwegian Research Finds

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A recent study conducted in Norway has revealed the neurological benefits of handwriting compared to typing. The researchers measured brainwave data as participants were prompted to write or type words displayed on a screen. Patterns in the brain were found to be significantly more elaborate when participants engaged in handwriting rather than typing.

They discovered neural networks in the brain showed more connectivity between different regions when individuals write by hand. This enhanced brain connectivity plays a vital role in memory building and information encoding. Writing by hand has also been associated with spelling accuracy and memory recall, particularly for dyslexic individuals. These researchers emphasize the importance of providing students with opportunities to write by hand to ensure better learning outcomes.

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Refugees from the Central African Republic Elect Voluntary Return Amidst Continuing Conflicts

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Hundreds of refugees from the Central African Republic have chosen to return home from a refugee camp in eastern Cameroon, despite ongoing conflict. The violence began in 2013, displacing more than a fifth of the Central African Republic’s population, with many seeking safety across borders. Now, some refugees are voluntarily choosing to go back, driven by desires to rebuild their lives and contribute to their country’s recovery.

Among them are students with aspirations of continuing their education and pursuing careers aimed at contributing to societal healing and justice. Others remain too fearful to return due to traumatic experiences, including systematic violence by armed groups. These survivors, in hopes of making a difference, envision futures where they can support those similarly affected by the conflict.

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Nepal Army Leads Massive Cleanup Campaign to Remove 110 Tons of Waste from Everest Base Camp

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Mount Everest, the world’s highest peak, faces an escalating environmental crisis due to climbers leaving behind vast amounts of waste. Reports show with the annual influx of climbers, approximately 70 tons of garbage including a substantial amount of human waste is left at Everest’s base camp each spring, creating a hazardous and unpleasant environment.

This accumulation not only detracts from the natural beauty of the region but also poses serious health risks as the waste becomes exposed to the melting snow. Despite regulations requiring mountaineering teams to manage their waste, enforcement has been lax, with government liaison officers often failing to monitor the situation effectively. Since 2019, the Nepal army, in collaboration with various organizations, has led cleanup campaigns, removing around 110 tons of waste, but the challenge persists.

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