They won't listen to your advice. This was planned and set in motion long ago. The New World Order cant come to fruition without the bank and economic collapses!
Every one of the major economic downturns could have been avoided. The depressions and the great recession in particular, but thing is, these banks and others that have a lot of wealth make MORE money with each downturn, so there is no incentive to manage the money supply to benefit anyone BUT those at the top. I personally believe they do this on purpose....they win either way and especially so with the Keynesian approach of 'too big to fail' which I think needs some tweaking to say the least. They are predators that work outside the law and know in advance (way in advance in the case of COVID and the HUGE reserves accumulated since 2008), if the economy will tank. there are some bad actors that control the money supply and as a result, PEOPLE. With Biden continuing to pilfer our tax dollars for their money laundering scheme in Ukraine (as all wars do) and redistribute to the wealthy, reducing the dollar to nearly worthless, ushering in CBDC is the end game. Small banks are in the way of this plan IMO.
I have extensive experience in this issue. The base reason is interest rates were kept artificially low for far too long. I and others, a minority, kept preaching to stay out of long-termed interest securities for exactly what has been happening the last couple of weeks. Stick with the shorter term only, even in government debt.
This all started in 2008. You see, fixes politicians make are future issues being created. The European Federal reserve is the major idiot for this current cluster-fuck. They reduced rates to zero and even below zero in a doltish move. The excuse was to spur spending and move inflation up to 2 percent, their magic number pulled out of their backside. The US Federal Reserve came in second in the inane department for not moving rates up sooner and became the reserve bank of the world; The EU was trapped in the long term and could not afford higher rates, so the US Fed accommodated them and gave them time to adjust, which I believe they squandered.
Plenty of intelligent people have been telling the world to stay away from long-term, especially banks, which are sensitive to any rate rises. The irony here is banks historically do well in rising interest rate environments unless the bank is inexperienced, woke, or total fools.
The delays in raising rates have created a need to raise them fast, which kills those trapped in long term instruments. And starts what we have today. It also exposes the fact all the reforms made in the last 15 years are worthless.
Now for the ultimate in disastrous decisions and the foundation of most financial disasters: Politicians, particularly in The House of Representatives, but also in the Senate. They continue to borrow with no intention of paying anything back; they just kick the financial disasters down the road for the next Congress to deal with. And like the kid's game, musical chairs, the congress left standing when the meltdown happens are the ones with no chair.
James, I enjoy your column, but I have to respectfully disagree that we need more rescue financing from the Fed. The Midas touch of government turns everything to shit. For example, the financial crisis of 2008 was fueled by government intervention into the housing market forcing banks to loosen and finally eliminate mortgage underwriting standards (remember liar loans?) and then set on fire by loose Fed monetary policy attempting to bail out the tech wreck of 2000. The latest round of inflation is again caused by government coercion to unnecessarily lock-down the economy, followed by profligate fiscal policy to finance the resulting mass unemployment benefits. So the Fed is forced to react our self-inflicted inflation by raising rates, exposing the greedy idiots at SVB who took unnecessary and unhedged interest rate risk to increase their carry (picking up pennies in front of the steam roller). SVB does not need or deserve a public bailout. Existing bankruptcy laws provide a path for an orderly reorganization to deservedly zero out the current equity holders and replaced by the unsecured creditors.
If they would want to save USA from a financial crisis they would. They wanted to destroy America and they quite succeeded. They are not stupid they are evil.
They won't listen to your advice. This was planned and set in motion long ago. The New World Order cant come to fruition without the bank and economic collapses!
Ancient and DEMONIC...👍👊👺
Every one of the major economic downturns could have been avoided. The depressions and the great recession in particular, but thing is, these banks and others that have a lot of wealth make MORE money with each downturn, so there is no incentive to manage the money supply to benefit anyone BUT those at the top. I personally believe they do this on purpose....they win either way and especially so with the Keynesian approach of 'too big to fail' which I think needs some tweaking to say the least. They are predators that work outside the law and know in advance (way in advance in the case of COVID and the HUGE reserves accumulated since 2008), if the economy will tank. there are some bad actors that control the money supply and as a result, PEOPLE. With Biden continuing to pilfer our tax dollars for their money laundering scheme in Ukraine (as all wars do) and redistribute to the wealthy, reducing the dollar to nearly worthless, ushering in CBDC is the end game. Small banks are in the way of this plan IMO.
That is a very good and sensible idea.
I have extensive experience in this issue. The base reason is interest rates were kept artificially low for far too long. I and others, a minority, kept preaching to stay out of long-termed interest securities for exactly what has been happening the last couple of weeks. Stick with the shorter term only, even in government debt.
This all started in 2008. You see, fixes politicians make are future issues being created. The European Federal reserve is the major idiot for this current cluster-fuck. They reduced rates to zero and even below zero in a doltish move. The excuse was to spur spending and move inflation up to 2 percent, their magic number pulled out of their backside. The US Federal Reserve came in second in the inane department for not moving rates up sooner and became the reserve bank of the world; The EU was trapped in the long term and could not afford higher rates, so the US Fed accommodated them and gave them time to adjust, which I believe they squandered.
Plenty of intelligent people have been telling the world to stay away from long-term, especially banks, which are sensitive to any rate rises. The irony here is banks historically do well in rising interest rate environments unless the bank is inexperienced, woke, or total fools.
The delays in raising rates have created a need to raise them fast, which kills those trapped in long term instruments. And starts what we have today. It also exposes the fact all the reforms made in the last 15 years are worthless.
Now for the ultimate in disastrous decisions and the foundation of most financial disasters: Politicians, particularly in The House of Representatives, but also in the Senate. They continue to borrow with no intention of paying anything back; they just kick the financial disasters down the road for the next Congress to deal with. And like the kid's game, musical chairs, the congress left standing when the meltdown happens are the ones with no chair.
The Fed is more than inept or myopic. It’s a criminal cabal.
Let’s be honest. It cannot be fixed.
James, I enjoy your column, but I have to respectfully disagree that we need more rescue financing from the Fed. The Midas touch of government turns everything to shit. For example, the financial crisis of 2008 was fueled by government intervention into the housing market forcing banks to loosen and finally eliminate mortgage underwriting standards (remember liar loans?) and then set on fire by loose Fed monetary policy attempting to bail out the tech wreck of 2000. The latest round of inflation is again caused by government coercion to unnecessarily lock-down the economy, followed by profligate fiscal policy to finance the resulting mass unemployment benefits. So the Fed is forced to react our self-inflicted inflation by raising rates, exposing the greedy idiots at SVB who took unnecessary and unhedged interest rate risk to increase their carry (picking up pennies in front of the steam roller). SVB does not need or deserve a public bailout. Existing bankruptcy laws provide a path for an orderly reorganization to deservedly zero out the current equity holders and replaced by the unsecured creditors.
If they would want to save USA from a financial crisis they would. They wanted to destroy America and they quite succeeded. They are not stupid they are evil.
All by design. Nice concept though
Rearranging the costume on a corpse provides but some prettification.
I'm listening. I wish I knew as much about economics as I do about unsafe and ineffective vaccines.
what to do? What to do if you are in the stock market? U.S Treasury note with almost zero interest? Buy silver? gold? Anyone listening?
The problem is that there is too much debt. One way or the other, the market will eventually find a way to reduce the size of this debt.