Is the stock market going to tank?

[LeeLau]

Sold the high beta TSLA 300 puts. Bought more 200s and added 150s. All the June monthlies.

Too bad I missed VIX buys. It's getting hot out there

[4matic]

Duplicate delete I think..

[The SnowShow]

The answer to the thread’s title…yes. Currently tanking. Thanks MAGAts.

[4matic]

SPY not even down ten percent

[LeeLau]

I don't smell 2008 type desperation yet. My calculations are Musk margin call at a range of 90-100 depending on what collateral was posted for the loan he took out to buy Twtr

[skaredshtles]

Perhaps NakedShorts will FINALLY be vindicated.

[4matic]

I don't smell 2008 type desperation yet. My calculations are Musk margin call at a range of 160- 180 depending on what collateral was posted for the loan he took out to buy Twtr

Banks would just refi or extend rather than blow up? I doubt they want X.

[The SnowShow]

DOW down one thousand

[dan_pdx]

I don't smell 2008 type desperation yet. My calculations are Musk margin call at a range of 160- 180 depending on what collateral was posted for the loan he took out to buy Twtr

Wouldn't the collateral always be Tesla stock? It's not like anyone's going to give him a loan secured by his interest in the boring company.

[tang]

Looks like I picked the wrong week to quit sniffing glue

[LeeLau]

Banks would just refi or extend rather than blow up? I doubt they want X.

Edit 90- 100. Found updated MS filing

[4matic]

Five thousand only ten percent lower.

[Cono Este]

I was a month late in my vix call, no body ban me.

We need to take off another 10% of mkt.

[LeeLau]

According to Tesla's proxy statement, Musk is limited to borrowing $3.5 bn against his pledged Tesla shares. If the margin call happens at a 25% ratio, his pledged shares would have to fall to $14 billion to trigger a margin call. 283 mn pledged shares, puts the margin call at a max. of $50/share.

That's an internal Tsla guideline though. Not securities law

And there's a proxy statement showing he owns 411mn of which substantial portion is pledged.

So my numbers a broad guesstimate

[4matic]

Did the underwriters start selling X debt instead of holding it in house?

[LeeLau]

Did the underwriters start selling X debt instead of holding it in house?

I don't have loan desk contacts to sniff that out. I can't imagine any IB or lender wouldn't offload some risk.

Iirc Elon took an equity loan for the Twtr debt.

Found it. This confirms memory

https://www.reuters.com/business/fin...%20deal%20said.

"The X acquisition was funded by a $6.5 billion secured term loan, a $500 million revolving credit facility, $3 billion unsecured loan and $3 billion of secured loans"

[shroom]

my dick wouldn’t work either

[Cono Este]

He seemed pretty chill when Tesla,was at 110 2 yrs ago. He’s not a big fan of,leverage.

[4matic]

Feb

Banks Sell Billion of X’s Debt, in a Sign of Investor Demand
The social media company is attracting investor interest because of Elon Musk’s close ties to President Trump and a recent jump in revenue.

[Cono Este]

I put in some gtc’s, before the systems crash, kinda far away.

[4matic]

Classic bear bounce for an ounce of hope. Weak close puts another ten percent down on the table

[californiagrown]

This market does not please me. I thought it was gonna be all good times and gains? All im getting are 10% drops and $10 eggs. Fuck.

[LeeLau]

Classic bear bounce for an ounce of hope. Weak close puts another ten percent down on the table

Yes.. no volume. No conviction. Lots more wealth destruction

[yeahman]

Everybody buying the dip?

[liv2ski]

That is a negative Ghost Rider...