- Fed will continue to intervene in repo market until Jan 2020
- Fed will buy $60 billion a month of short term bills
- Powell says, "This is not Q.E."
- Fed balance sheet starts rising and at a rapid pace



Links:
The Fed is extending its overnight funding operations through January 2020
Fed Unveils Plan to Expand Balance Sheet but Insists It’s Not Q.E.
Fed Brings a Bazooka to Its Fight With the Repo Market
Fed total balance sheet

- Short-term (overnight) borrowing through sale and repurchase of securities
- The sale of a security combined with an agreement to repurchase the same security at a higher price at a future date
- Securities are not considered a sale for tax purposes, but considered as collateral
- Money market funds significant player in repos
- Also used by broker-dealers, hedge funds and other institutional investors
- More than $1 trillion worth of overnight repo transactions collateralized with US government debt occurring every day

Links:
Wikipedia - Repurchase agreement
Why the Repo Market Is Such a Big Deal—and Why Its $400 Billion Bailout Is So Unnerving
Repo and Reverse Repo Agreements

- Money banks and credit unions borrow/lend to other banks/credit unions
- Overnight uncollateralized loans
- Federal funds target rate determined by FOMC
- Federal funds effective rate determined by market
- NY Fed operates on open market to make effective rate close to target rate
- Rate drops in recessions to stimulate economy
- Current volume around $50-80 billion daily

Links:
Wikipedia - Federal funds rate
Effective Federal Funds Rate
Federal Funds Data
Effective Federal Funds Volume

- Cash borrowed directly from the Fed
- Discount rate (currently at 2.50%) is set by the Fed
- Usually a percentage point above fed funds rate
- Collateralized overnight loan
- Generally little volume (less than $300 million each day)
- Considered the lending of last resort
- Since it's the loan of last resort, institutions are often stigmatized if they use this
- Influences the prime rate and Libor

Links:
Discount Window Borrowings of Depository Institutions from the Federal Reserve
Interest Rates, Discount Rate for United States
Federal discount rate
Federal Reserve Discount Rate

- Repo rates spiked to 8.5% last Monday
- The Fed injected $53 billion on Tuesday, $75 billion on Wednesday, $75 billion on Thursday, $75 billion on Friday.
- NY Fed will continue to intervene until Oct 10

Links:
Federal Reserve Cash Injections into Repo Market Continue Into Second Week
Here are 5 things to know about the recent repo market operations
Statement Regarding Repurchase Operations

The Greek word used for whale in Matt 12:40 is kētos.

[Mat 12:40 KJV] For as Jonas was three days and three nights in the kētos belly; so shall the Son of man be three days and three nights in the heart of the earth.

This is the same word used for the Cetus constellation. Although it's typically translated whale, the meaning is broader than that. It can mean a large fish, a whale, a shark, or a sea monster. The Greeks depicted Cetus as fish-like and serpentine with a long muzzle fighting Perseus.

"Cetus was commonly depicted by the Greeks as a hybrid creature. It had forefeet, huge jaws, and a scaly body like a giant sea serpent. Even though the constellation is also known as the Whale, the mythical creature in the depictions does not in fact look like a whale."

"To appease the sea god and the nymphs, Cassiopeia and her husband, King Cepheus, had to sacrifice their young daughter to Cetus, a sea monster sent by Poseidon to punish the king and queen, or watch the monster ravage their land. Andromeda was chained to a rock and left to the sea monster, but to her good fortune, the hero Perseus was passing by just as Cetus was about to devour her. Perseus rescued the princess and killed Cetus. He and Andromeda were later married."

An alternative theory to the traditional Jonah account is Jonah was lost at sea in the constellation Cetus for 3 days.

Links:
Cetus (mythology)
Jonah’s “Whale” Is a Constellation!
Cetus Constellation

- Negative interest rate debt hits $17 trillion
- Subzero interest rates in other countries causing inflow of purchases of US Treasuries
- Fed trying to catch up by lowering Fed funds rate and not have it too inverted

Links:
US 30Y Yield Tumbles Below 2.00% For The First Time Ever
Negative yields: Charting the surge in sliding rates
Three Ways to Profit From $17 Trillion of Negative-Yielding Debt

- Hack of Capital One was done by Paige Adele Thompson.
- 100 million accounts were affected.
- Paige worked at Amazon in S3 from 2015-2016.
- Capital One had misconfigured their S3 firewall and apparently it was easy to get access into.
- Paige is a transgender woman that went by handle "erratic"
- Paige put information from S3 onto her own GitHub account.
- Someone found the suspicious info on the GitHub account and tipped Capital One.
- Data was encrypted and Paige did not seem to be able to decrypt it.
- Thompson was charged with a single count of computer fraud Monday and faces a maximum penalty of five years in prison and a $250,000 fine.
- The company said it will offer free credit monitoring and identity protection to those affected and estimated the breach would cost as much as $150 million.
- Appears Paige was motivated more for personal fame than selling the data

Links:
The Capital One breach is more complicated than it looks
Who Is Paige Adele Thompson (Capital One Data Hacker) Bio, Wiki, Age, Arrest, Charges, Linkedin, Twitter
Trans woman identified as the Capital One hacker went by the name ‘Erratic’ on Twitter, other platforms

Paige Adele Thompson: 5 Fast Facts You Need to Know
Trans woman identified as the Capital One hacker went by the name ‘Erratic’ on Twitter, other platforms
Seattle Tech Worker Arrested for Data Theft Involving Large Financial Services Company
Suspect in Capital One breach threatened to 'shoot up' California social media company, feds say

[Mat 6:7 KJV] 7 But when ye pray, use not vain repetitions, as the heathen [do]: for they think that they shall be heard for their much speaking.

The Greek for "use vain repetitions" is battalogeō. It is found only once in Matthew 6:7.

Other translations, translate it "babble on", "heap up empty phrases", "meaningless repetition".

Outline of Biblical Usage defines it as:
1. to stammer
2. to repeat the same things over and over, to use many idle words, to babble, prate. Some suppose the word derived from Battus, a king of Cyrene, who is said to have stuttered; others from Battus, an author of tedious and wordy poems

Wiktionary defines it as:

1. stammer
2. speak idly

"Behind the word is the practice of the heathen who developed long lists of divine names, hoping that by endless repetition they would somehow invoke the name of the true god and receive what they wished. To know and pronounce correctly the name of a god was thought to provide the power to manipulate that god."
Mounce

When we think of homiletics or homily, we think of a pastor preaching to the congregation while the audience quietly sits there. It is only a one-way interaction between the preacher and the masses. But, is that what homiletics should be?

Homiletics is widely considered the art and practice of preaching.

“Homiletics means the art of preaching”
https://en.wikipedia.org/wiki/Homiletics

“The discussion of the art and theology of preaching.”
https://www.biblicaltraining.org/library/homiletics

“the art of preaching; the branch of practical theology that treats of homilies or sermons.”
https://www.dictionary.com/browse/homiletics

Preach in the Greek is kēryssō.

[Mat 4:17 KJV] 17 From that time Jesus began to preach (kēryssō), and to say, Repent: for the kingdom of heaven is at hand.

Homelitics is not derived from the Greek word for preach, but from the Greek word homileō.

Homileō means talk, commune with.

The word is used when the two men on the Emmaus road was talking and communing with Jesus.

[Luk 24:13-15 KJV] 13 And, behold, two of them went that same day to a village called Emmaus, which was from Jerusalem [about] threescore furlongs. 14 And they talked (homileō) together of all these things which had happened. 15 And it came to pass, that, while they communed [together] (homileō) and reasoned, Jesus himself drew near, and went with them.

It is used when Paul talked all through the night at Troas.

[Act 20:9-11 KJV] 9 And there sat in a window a certain young man named Eutychus, being fallen into a deep sleep: and as Paul was long preaching (dialegomai), he sunk down with sleep, and fell down from the third loft, and was taken up dead. 10 And Paul went down, and fell on him, and embracing [him] said, Trouble not yourselves; for his life is in him. 11 When he therefore was come up again, and had broken bread, and eaten, and talked (homileō) a long while, even till break of day, so he departed.

Earlier, Paul was preaching for such a long time that a listener fell asleep (and died!). So, Paul switched gears and instead of dialegomai, he homileō for the rest of the night until morning.

The other use of homileō was when Felix communed with Paul and discussed about the scriptures.

[Act 24:24-27 KJV] 24 And after certain days, when Felix came with his wife Drusilla, which was a Jewess, he sent for Paul, and heard him concerning the faith in Christ. 25 And as he reasoned of righteousness, temperance, and judgment to come, Felix trembled, and answered, Go thy way for this time; when I have a convenient season, I will call for thee. 26 He hoped also that money should have been given him of Paul, that he might loose him: wherefore he sent for him the oftener, and communed (homileō) with him. 27 But after two years Porcius Festus came into Felix' room: and Felix, willing to shew the Jews a pleasure, left Paul bound.

Homileō is a having a deep conversation between people that causes the participants to know more about God and the scriptures.

When the two men on the road to Emmaus reflected back on their homileō with Jesus, they said their hearts burned within them.

[Luk 24:32 KJV] 32 And they said one to another, Did not our heart burn within us, while he talked with us by the way, and while he opened to us the scriptures?

When we have a homily, our hearts will be warmed. As the scriptures are opened to us by Jesus, our hearts will burn within us.

We would mysteriously commune with Jesus. Just as we don’t know how Jesus would commune with us, the two men did not know Jesus was the one actually talking with them.

We would be lost in time when we engage in homileō. Paul had homileō from midnight til sunrise. The two men walked with Jesus and had gone through all the scriptures about the fulfillment of prophecy and then also had him over for dinner.

In preaching, only the speaker is the authority and everyone else listens.
In homiletics, everyone is equal and can contribute and there is a discussion.

In preaching, the main goal is imparting knowledge.
In homiletics, the goals are knowledge and a communion of the participants.

Have you ever had a time when you were discussing about God with another person and both of you gained new insights and also your hearts were warmed? It was then you had experienced true homiletics.