Germany’s $2 Trillion Economic Miracle at Risk

Back in August 2022, repo plumbing guru Zoltan Pozsar published a fascinating chart showing how "$2 Trillion Of German Value Depends On $20 Billion Of Russian Gas" or, specifically, how Germany had applied some 100x leverage - much more than Lehman - on cheap commodities, and mostly Russian gas, to cheaply run its export-driven economic miracle for decades.

And with Russia's cheap gas now gone for the foreseeable future, so is Germany's tremendous operating leverage.  Which means profit margins will be hammered for years to come. As proof,…