1) I was reading the market ticker entry today — What exactly is deleveraging by a hedge fund. I ve heard that there is worldwide deleraging going on. What eactley does this mean. Is it that they have to sell the assets they bought with borrowed money to give it back to the big banks because the investments are losing and dont want to be debtors to the bank. Im guessing this is a margin call. And beyond this, cant that money being paid back to the banks be used again to prop up eqwuities. So isnt it the same money only by a different investor? BUt i read in another article that this moeny used for or from house mortgages, will just implode into nothing, becuase it was money that was magically made up by wall street. That is there is no money on the sideline, when the deleveraging is over, the money that was created by house appreciation will be destroye?

2) I also read that if there is an explosion at one of the bond insurers it will create a cascade effect of exposing the "wrapped investments" at the investment banks. This will cause cascading cross defaults in other places. What does this mean and How exactley does this work? ANd what is a capital ratio violation?

3) How did the fed screw BSC. I kind of get how it helped jpm, but what if anything did the fed do to hurt bsc. And if the did why would they do it? Plus how and who decided bsc was only worth $2. Jim cramer makes it sould like JPM is just that astute. Others make it sound like the fed and JPM are crooked. I know it a lot but im on a mission to learn. My trading hs been profitable but I want to learn the overall picture better. Thanks. Eddie B.