A distressed bank, or one of their proxies, approaches Congress and explains that without assistance from the federal government, it's going to mean hardship, unemployment and a disruption of world markets.
A small fraction of that money comes from our taxes. The rest of it is created by the Federal Reserve, out of thin air, and given to the bank. From there it goes out into the world to further dilute and devalue the dollar in an already inflationary economy.
The Power of One. When all the governments come together as one they are nearly unstoppable to usher in the One World Government. They have been planning it for years and Trump sidetracked it and now they fastracked the plan because of the scare Trump gave them. The release of bioweapons, proxy wars, stolen elections, January 6th Fedsurrection, FTX and Banking collapse, etc -- all by design and on schedule by the UniParty and the WEF.
2023 is going to be a major shit show and whoever they install as the next President won't matter much because the economy will be beyond repair and it will be an arbitrary body like the WEF calling the shots.
Something big is coming soon and it is leading to another 2008 type financial crisis where they can write new laws and bills to seize more power. Create the crisis....
That's because the shell-game is over. SVB wasn't invested in sub-prime mortgages or anything like that...they literally had their money in US TREASURY BONDS that were losing value because of inflation. They kept buying them because they were stupid enough to believe the Biden administration about inflation rates being topped-out. Anyone who is downplaying how bad this is, isn't paying attention. Treasury Bonds are supposed to be THE safest place to invest for an albeit small and slow, but almost-guaranteed return. The fed govt is printing 4 trillion a year to cover the budget...with no end in sight. Every time they go to the printing press, those bonds lose value from the inflation. Governments around the world, including China, hold massive amounts of US Treasury Bonds. Now, the jig is up. The ball is rolling and if the full weight of this sets in on a global scale and everyone tries to cash in their bonds before they're worthless...the entire US monetary system will collapse, just like these banks. We don't hold the cash, and we don't have the revenue. We will have to print trillions that will cause inflation and drive the value down, causing even more holders of bonds to want out...and the cycle goes on. We are on the precipice of a default. The only thing they CAN do...is try to limit damage, and print as much as they can, to try and stave-off a run on Bonds. OR, they can start WW3...that's also in the cards.
The reason treasury bonds are down in value is related to inflation.
Inflation caused the Fed to raise interest rates.
The market value of the bond then has to decrease for the yield of the bond to be the same as the yield of a current bond issued at a higher coupon rate.
Say the bank holds a 30 yr $1000 bond issued in 2020 that has a 2% annual coupon rate. The Fed tightens the money supply and coupon rates increase to 4% on 2023 30 yr bonds.
The bond price of the 30yr bond issued in 2020 that has 27 years to maturity and pays 2% annual coupon rate then goes from $1000 to $673.41 for its yield to maturity to go to 4%.
I mean, when you've already robbed the train and taken 3/4 of the gold it carried, is it really going to change things one way or the other if you turn back around and also take that last 25% too?..........
They'll try their hardest but this might be completely out of their control. They've kicked the can down the road so many times already. We might be in for the reconning.
They went on a feeding frenzy last night to steal as much as possible at the last minute and will get caught but they will get to siphon off a few billion that the UniParty will turn a blind eye too. The criminals will protect their own and nothing will happen as usual as long as the UniParty get a cut of the action.
FTX was a big hit for the Democrats but Gates, Zuckerberg, Bloomberg, Pritizker, Jobs will pick up the slack. The money just flows from one pocket to the next and the UniParty are okay with it. They hate this country and they want to see it fail.
Here it comes, crushing crypto and a whole bunch of new banking laws and the elimination of paper money. They made the crisis and now they are going to take advantage of it.
I was mining for the past two years and just recently, a little before the whole FTX fiasco sell off my hardware as the margin got so fucking thin it was becoming not worth the hasstle.
It's contributing to the issue. You should already have your own cash and asset reserves. IE a liquid asset like silver/gold. If you bank with a local bank and it fails, prepare for a majority of your community businesses to close up.
Edit: also if you bank local chances are they aren't buying large Treasury bonds, like SVB, and have cash reserves, but most is wrapped up in local business and personal loans.
Expect all banks' Corporate Communications departments to release statements today. They'll probably give details on some assets and why they are not at the same risk level. However, none can sustain a full bank run. So it's up to consumers not to panic.
I'm just stating what I know. You do you. Local banks"should" be ok if people don't pull everything. Business and Commercial accounts would be the worst.
Most people don't even go to the bank any more. Hell, I'm old school, and if I need cash, I go to the ATM. I deposit checks with my phone.
So, I'm to believe that most have no significant funds in their accounts, but everyone's standing in line to go inside and withdraw what little they have, instead of going to the ATM?
It's not localized though. The risk is systemic. This is what happens when you give away free money for decades, then suddenly pull the plug and jack up interest rates after the inevitable inflationary spiral. Modern monetary theory is imploding.
Remember when we used to make stuff? Remember when we ruthlessly went after other countries to increase our own profits? Remember when America was a global powerhouse? Remember when we did whatever it took to be a global leader? Then we decided to ass fuxk each other and cut our dicks and tits off and let everyone else become stronger than us... We let (zero testosterone) women take charge, and run things based on feelings instead of on doing what's right for the benefit of the country. We let our government regulate our manufacturing out of existence. We let our government make it damn near impossible to run a business. We let our governmet take 50+% of all our money to spend however the hell they please. We let government take our kids away and warp their brains into being complacent non-thinking non-driven little gender queer fruitfucks... We quite literally shot ourselves in the foot and asked "why does my foot hurt?". FFS! This has been a looooooong time coming. All those little stickers "made In China" started popping up... Half a century ago... should have been a wake up call but everyone is so obsessed with throw away cheap crap from oversees.. nobody builds shit for themselves anymore. Nobody problem solves for themselves anymore. People have become so incredibly weak and pathetic in this country it's absolutely no wonder everything is falling apart. Why fix something that's broke when you can just buy a cheap new one from China? Again.. and again... And again... Until suddenly... Oh shit where did all our money go and how did china's military get so big? God I fucking wonder what happened holy shit you people. For the love of God when I go buy an American flag it shouldn't say made in China on it!! IT SHOULD SAY MADE IN AMERICA!!! You shouldn't be asking what happened. You should already know what happened!! You SHOULD be asking "wtf do we do to turn this ship around, NOW!". Before the United States of America becomes the United States of Was.
Coordinated destruction of America implemented by the illegitimate China-installed puppet regime occupying the White House (who concocted the virus and an illegal war in Ukriane) that is bent on trampling and destroying every constitutional right you have and are compromised and in thrall utterly to Beijing. OVERTHROW THIS ILLEGITIMATE REGIME BY ANY MEANS NECESSARY, INCLUDING INVITING RUSSIAN NUCLEAR INTERVENTION
Agree with this because the good local and regional banks will be at higher risk if there is a national bank run. I work for a regional bank and while we are heavy on cash reserves no bank could sustain a bulk of customers withdrawing. It will impact everyone in a terrible way. SVB horribly managed their risk and sorta oh well, but better be a wake for other banks doing the same.
The fed said they were going to eliminate the cap on FDIC deposits… they essentially just signed on to print up to $17 trillion.
Banks failing at 4.6% means we’re a go for hyperinflation.
THIS.
A distressed bank, or one of their proxies, approaches Congress and explains that without assistance from the federal government, it's going to mean hardship, unemployment and a disruption of world markets.
A small fraction of that money comes from our taxes. The rest of it is created by the Federal Reserve, out of thin air, and given to the bank. From there it goes out into the world to further dilute and devalue the dollar in an already inflationary economy.
Don't let the nomenclature fool you. Direct taxes may be a small portion of the bailout, but indirect taxes (via inflation) are a huge chunk of it.
Depression coming, the UniParty want a total collapse so they can usher in massive changes to the system and get more power.
Never let a crisis go to waste
GOALS of Luciferions under many umbrellas, but implemented in stages.
leading to the Abomination that causes Desolation. Lucifer declares himself to be GOD from the restored Temple in Jerusalem.
The Power of One. When all the governments come together as one they are nearly unstoppable to usher in the One World Government. They have been planning it for years and Trump sidetracked it and now they fastracked the plan because of the scare Trump gave them. The release of bioweapons, proxy wars, stolen elections, January 6th Fedsurrection, FTX and Banking collapse, etc -- all by design and on schedule by the UniParty and the WEF.
2023 is going to be a major shit show and whoever they install as the next President won't matter much because the economy will be beyond repair and it will be an arbitrary body like the WEF calling the shots.
Stolen elections have dire consequences.
They are only concerned about timing. They WANT a depression. Just not credit for it.
Something big is coming soon and it is leading to another 2008 type financial crisis where they can write new laws and bills to seize more power. Create the crisis....
Yep.
That's because the shell-game is over. SVB wasn't invested in sub-prime mortgages or anything like that...they literally had their money in US TREASURY BONDS that were losing value because of inflation. They kept buying them because they were stupid enough to believe the Biden administration about inflation rates being topped-out. Anyone who is downplaying how bad this is, isn't paying attention. Treasury Bonds are supposed to be THE safest place to invest for an albeit small and slow, but almost-guaranteed return. The fed govt is printing 4 trillion a year to cover the budget...with no end in sight. Every time they go to the printing press, those bonds lose value from the inflation. Governments around the world, including China, hold massive amounts of US Treasury Bonds. Now, the jig is up. The ball is rolling and if the full weight of this sets in on a global scale and everyone tries to cash in their bonds before they're worthless...the entire US monetary system will collapse, just like these banks. We don't hold the cash, and we don't have the revenue. We will have to print trillions that will cause inflation and drive the value down, causing even more holders of bonds to want out...and the cycle goes on. We are on the precipice of a default. The only thing they CAN do...is try to limit damage, and print as much as they can, to try and stave-off a run on Bonds. OR, they can start WW3...that's also in the cards.
The reason treasury bonds are down in value is related to inflation.
Inflation caused the Fed to raise interest rates.
The market value of the bond then has to decrease for the yield of the bond to be the same as the yield of a current bond issued at a higher coupon rate.
Say the bank holds a 30 yr $1000 bond issued in 2020 that has a 2% annual coupon rate. The Fed tightens the money supply and coupon rates increase to 4% on 2023 30 yr bonds.
The bond price of the 30yr bond issued in 2020 that has 27 years to maturity and pays 2% annual coupon rate then goes from $1000 to $673.41 for its yield to maturity to go to 4%.
Can calculate bond price here...
https://www.omnicalculator.com/finance/bond-price
Helpful!
Old School Financial astuteness. You must be an old fart like me.
I mean, when you've already robbed the train and taken 3/4 of the gold it carried, is it really going to change things one way or the other if you turn back around and also take that last 25% too?..........
The fed are scared of the mob if their response is too weak. The mob may tolerate bailouts like in 2008 more than losing their money in a bank run.
Economy won't collapse on Biden's 1st term
Cant risk Trump in office
They'll kick the can to 2025, as is tradition
They'll try their hardest but this might be completely out of their control. They've kicked the can down the road so many times already. We might be in for the reconning.
Reckoning I think is what you were looking for, but re-conning also works...
Lol you are correct.
Counterpoint:
Market forces are really powerful. If The Fed was really in control of all moving pieces, these issues wouldn’t exist.
This could get out of hand really quickly. Unfortunately for us, The Fed/government will attempt another massive power grab.
No, they will blame Biden and then use that as fuel to kick him down the stairs and usher in CumHolla
They have not yet designated the next savior who will actually be charismatic and deceptive.
Correct
We going hyper yet?
Like a Missile!
60% down in pre-market, but if it survives the day without the Fed taking over, it'll slowly return.
How loyal are FRC's customers? Will they trust the management?
I guess we'll find out just how much regular democrat folks really do trust the commie democrats in power.......
They went on a feeding frenzy last night to steal as much as possible at the last minute and will get caught but they will get to siphon off a few billion that the UniParty will turn a blind eye too. The criminals will protect their own and nothing will happen as usual as long as the UniParty get a cut of the action.
Yep just watch major donations to Democrats for the next 12 months or so......
FTX was a big hit for the Democrats but Gates, Zuckerberg, Bloomberg, Pritizker, Jobs will pick up the slack. The money just flows from one pocket to the next and the UniParty are okay with it. They hate this country and they want to see it fail.
Get your popcorn fellas it's gonna be a fun.
It's happenun
🍿
I feel like we are at the one part of the Fight Club movie when all the towers come crumbling down while we watch from another building.
🍿
Dude… you’re still on episode one?
The is the preemptive strike against private banking and the trigger to a centralized banking system.
Stay frosty, pedes. The ride’s about to get really bumpy.
Here it comes, crushing crypto and a whole bunch of new banking laws and the elimination of paper money. They made the crisis and now they are going to take advantage of it.
I was mining for the past two years and just recently, a little before the whole FTX fiasco sell off my hardware as the margin got so fucking thin it was becoming not worth the hasstle.
This is about to blow up in everyone’s face.
So.... is pulling your money oit considered smart now or is it contributing to the issue.
Yes
🤯
It's contributing to the issue. You should already have your own cash and asset reserves. IE a liquid asset like silver/gold. If you bank with a local bank and it fails, prepare for a majority of your community businesses to close up.
Edit: also if you bank local chances are they aren't buying large Treasury bonds, like SVB, and have cash reserves, but most is wrapped up in local business and personal loans.
My small bank has 15% reserves on hand at minimum.
Expect all banks' Corporate Communications departments to release statements today. They'll probably give details on some assets and why they are not at the same risk level. However, none can sustain a full bank run. So it's up to consumers not to panic.
I've already withdrew a bunch 🤣
I'm just stating what I know. You do you. Local banks"should" be ok if people don't pull everything. Business and Commercial accounts would be the worst.
This is months ago so no major change for me.
Ahh, you shall pass sir.
My brain's smooth like a bowling ball, so take this for what you will:
Call me Alex Jones, but this almost feels like "crisis" actors standing out at these banks. According to a recent survey, 68% of Americans can't cover their expenses for one month if they lost their current job.
Most people don't even go to the bank any more. Hell, I'm old school, and if I need cash, I go to the ATM. I deposit checks with my phone.
So, I'm to believe that most have no significant funds in their accounts, but everyone's standing in line to go inside and withdraw what little they have, instead of going to the ATM?
Both
If you wanted to crush the west now is the time to cause a panic and have everyone pull money out.
I guess when things are actually happening there's no need to write "two more weeks"
The UniParty are getting ready to put the nail in the coffin with a bank run.
Crazy to think Peter Theil help set it off.
Billionaires are all the same when it comes down to it and this is the main reason why they hated Trump so much, he wasn't part of the club.
Not really. Current DNI Avril Haines was a Palantir Technologies consultant.
Guess we'll know soon enough if "It's happening!" for real.
PacWest Bancorp's stock tumbled 27% Western Alliance Bancorp's shares slid 17% Charles Schwab's shares lost 6.7% Bank of America's stock fell 4.4% Citizens Financial Group's stock declined 2.7% Wells Fargo's stock slid 2.3%
It could be an interesting week!
2023 is going to be a shit show.
The leftoids are all pulling their money lmao
Imagine, if you will, a banking system you could collapse by simply pulling your money out. Next time in the twilight zone.
That's how banks work. Stupid comment.
But they shouldn't.
Some people dont know its clownworld.
How the fuck else can they work?
Maybe don't base the entire economy on compound interest and leveraging everything 100x out of their asses maybe
Fraction reserve banking is a sin.
https://www.youtube.com/watch?v=T2TXY6SNuD4
They’ll get bailed out too
I'm hoping the markets understand this to be a localized problem with a small handful or mismanaged banks, and not a widespread problem like in 2008.
It's not localized though. The risk is systemic. This is what happens when you give away free money for decades, then suddenly pull the plug and jack up interest rates after the inevitable inflationary spiral. Modern monetary theory is imploding.
TANSTAAFL
Ha. Ha. Ha.
Banks arent open on the west coast for another 2 and a half hours at least.
If you keep your savings in bitcoin, there is zero counterparty risk. Zero.
As long as you keep it in your own custody.
Remember when we used to make stuff? Remember when we ruthlessly went after other countries to increase our own profits? Remember when America was a global powerhouse? Remember when we did whatever it took to be a global leader? Then we decided to ass fuxk each other and cut our dicks and tits off and let everyone else become stronger than us... We let (zero testosterone) women take charge, and run things based on feelings instead of on doing what's right for the benefit of the country. We let our government regulate our manufacturing out of existence. We let our government make it damn near impossible to run a business. We let our governmet take 50+% of all our money to spend however the hell they please. We let government take our kids away and warp their brains into being complacent non-thinking non-driven little gender queer fruitfucks... We quite literally shot ourselves in the foot and asked "why does my foot hurt?". FFS! This has been a looooooong time coming. All those little stickers "made In China" started popping up... Half a century ago... should have been a wake up call but everyone is so obsessed with throw away cheap crap from oversees.. nobody builds shit for themselves anymore. Nobody problem solves for themselves anymore. People have become so incredibly weak and pathetic in this country it's absolutely no wonder everything is falling apart. Why fix something that's broke when you can just buy a cheap new one from China? Again.. and again... And again... Until suddenly... Oh shit where did all our money go and how did china's military get so big? God I fucking wonder what happened holy shit you people. For the love of God when I go buy an American flag it shouldn't say made in China on it!! IT SHOULD SAY MADE IN AMERICA!!! You shouldn't be asking what happened. You should already know what happened!! You SHOULD be asking "wtf do we do to turn this ship around, NOW!". Before the United States of America becomes the United States of Was.
Why still go down? It looks like government will lend them unlimited amount of money through a new program.
Is Yellen on the phone with Z boy asking him to hold off cashing that check?
Awwww... that sucks....
So anyway...
Coordinated destruction of America implemented by the illegitimate China-installed puppet regime occupying the White House (who concocted the virus and an illegal war in Ukriane) that is bent on trampling and destroying every constitutional right you have and are compromised and in thrall utterly to Beijing. OVERTHROW THIS ILLEGITIMATE REGIME BY ANY MEANS NECESSARY, INCLUDING INVITING RUSSIAN NUCLEAR INTERVENTION
Is this guy fucking crazy?
You might have to get crazy, too
Not so crazy I'm asking to get nuked.
I laughed way too hard at this. Thank you Fren.
Spez: totally forgot to answer your question! YES- dude is bat-shit crazy on the nuke part. The other stuff is true unfortunately.
This has been his Shtick. My hope is he finds his meds soon.
He missed the part about china being puppet of the globalists. So its puppets, controlling puppets, controlling the whitehouse, controlling you.
But no, he is not crazy. Probably just been paying attention for longer.
First Republic's Press Release
Rumored First Republic e-mail to customers
If it dies after getting bailed out by JPM, the whole sector is at risk, maybe even the whole economy.
First Republic must not fall, as funny as it would be to see California's banks go bust.
Agree with this because the good local and regional banks will be at higher risk if there is a national bank run. I work for a regional bank and while we are heavy on cash reserves no bank could sustain a bulk of customers withdrawing. It will impact everyone in a terrible way. SVB horribly managed their risk and sorta oh well, but better be a wake for other banks doing the same.