Silicon Valley Bank is largest failure since 2008 crisis, billions stranded

[Pak Fa Fui]

Both US and UK politicians are using the exact same narrative when addressing this issue and bailout, Biden and Hunt constantly reaffirmed that tax payers money was not used in the bailout

 

[rietrot]

Both US and UK politicians are using the exact same narrative when addressing this issue and bailout, Biden and Hunt constantly reaffirmed that tax payers money was not used in the bailout

That is technically correct. QE extra lite is the FED buying taking government debt as collateral against a loan(and so guarantee it value). Which the bank will have to repay.

I don't see how after the bank lost most of their depositors?

It is only the next bailout that taxpayers will have to repay again after this failed.

Inflation wise it is probably a drop in the bucket compared to COVID and Ukraine.

 

[The_Librarian]

Both US and UK politicians are using the exact same narrative when addressing this issue and bailout, Biden and Hunt constantly reaffirmed that tax payers money was not used in the bailout

Where there's a smoke, there's usually a fire...

 

[NarrowBandFtw]

Yes. But if I give you free money and you spend it on hookers and blow are you then going to blame me for your STDs and drug addiction?

I mean ... are you offering? let's see how it goes first

in reality it depends:

- if you give me money with good intentions and I have no history of wasting it on hookers and blow ... that's on me

- if you give me money, but you know there's at least a chance that it'll end in hookers and blow ... now we share the blame to an extent

- if you give money to a hopeless cocaine addict nympho and you're certain it will end in hookers and blow ... you take on a larger share of the blame

after 2008 all easy credit falls into that last category, banksters have proven beyond doubt they should never have easy access to credit, so giving it to them despite knowing this makes the government guilty

 

[konfab]

Yeah, funny how no other big bank failed due to 'Trump's roll-back'. Not even under covid or Biden's first 2 years. Funny how Biden did nothing to return those protections. Anyone blaming Trump is an idiot. The collapse of the financial system, the bank, the economy and America is all on Biden alone. No one else.

Cause of the problem is the low interest rates.



https://fred.stlouisfed.org/series/FEDFUNDS#

US president is in charge of appointing federal reserve governer and effectively sets monetary policy.

Obama, the messiah of all things perfect and just in the world, printed off billions with their almost zero interest rates.
Trump, the antichrist, started raising interest rates until the unspecified virus of unknown origin.
Biden, everyone's favourite economic messiah continued with the low rates up until now when inflation is finally caught up.

 

[konfab]

Both US and UK politicians are using the exact same narrative when addressing this issue and bailout, Biden and Hunt constantly reaffirmed that tax payers money was not used in the bailout

Sure taxpayer money isn't being used. Just the money paid by every single person or entity with a bank account is paying for it instead.

 

[rvZA]

Cause of the problem is the low interest rates.

View attachment 1491919

https://fred.stlouisfed.org/series/FEDFUNDS#

US president is in charge of appointing federal reserve governer and effectively sets monetary policy.

Obama, the messiah of all things perfect and just in the world, printed off billions with their almost zero interest rates.
Trump, the antichrist, started raising interest rates until the unspecified virus of unknown origin.
Biden, everyone's favourite economic messiah continued with the low rates up until now when inflation is finally caught up.

Trillions and trillions and trillions of spending packages, after Trump lead to the increased inflation. This despite the warnings. It was simply ignored and problems were self-made. A purposefully collapse of the economy by Biden.

 

[konfab]

Trillions and trillions and trillions of spending packages, after Trump lead to the increased inflation. This despite the warnings. It was simply ignored and problems were self-made. A purposefully collapse of the economy by Biden.

Inflation would have been kept in check if they raised rates the moment they noticed it.

Instead you had them saying it was "transitory".

 

[rvZA]

Inflation would have been kept in check if they raised rates the moment they noticed it.

Instead you had them saying it was "transitory".

The "transitory" announcement by Biden's regime bought them time to keep spending and stealing trillions and trillions more. Biden should have stopped the spending, which he did not. Self made problems. Collapsed the economy on purpose.

 

[AlmightyBender]

A historical timeline of things (found on another forum) :

This could be the first and last post of this thread. Plain simple facts in order of occurrence.

Culture wars are so tiresome.

 

[quovadis]

There are literally services that do this:
https://www.forbes.com/advisor/banking/ways-to-insure-excess-deposits/
And then they could move some of the money offshore. And they could also do the whole bond thing.

If you have half a billion dollars to look after its not as if you don't have money to spend to make sure it is looked after correctly. This is why there is insurance limits. It is to protect ordinary people. The super rich can sort it out themselves.

Same challenges regardless of onshore or offshore and the cost of insurance would be prohibitive. Still boils down to trusting the institutions.

 

[Temujin]

The "transitory" announcement by Biden's regime bought them time to keep spending and stealing trillions and trillions more. Biden should have stopped the spending, which he did not. Self made problems. Collapsed the economy on purpose.

The mmt cult(unsurprisingly the same cult as the progressives, wokes, and all the other far left types) believe they can print and spent as much money as they want and it never affects anything. The link between inflation and printing/spending is just a coincidence and has never been proven, and, like real socialism etc, it only fails cos its always been done wrong in the past.

 

[Unhappy1]

Cause of the problem is the low interest rates.

View attachment 1491919

https://fred.stlouisfed.org/series/FEDFUNDS#

US president is in charge of appointing federal reserve governer and effectively sets monetary policy.

Obama, the messiah of all things perfect and just in the world, printed off billions with their almost zero interest rates.
Trump, the antichrist, started raising interest rates until the unspecified virus of unknown origin.
Biden, everyone's favourite economic messiah continued with the low rates up until now when inflation is finally caught up.

Jay Powell is a republican appointed in 2014 and his term is 14 years.

 

[Pitbull]

They are already fighting Russia in Ukraine.

Not officially, but I'm sure financial pressure will force them to join officially pretty shortly...

 

[Sideshow Bob]

It seems Biden collapsed US economy and due to this, Russia is winning war against Europe. Can US be called Zim 2.0 ?

 

[R13...]

Cause of the problem is the low interest rates.

View attachment 1491919

https://fred.stlouisfed.org/series/FEDFUNDS#

US president is in charge of appointing federal reserve governer and effectively sets monetary policy.

Obama, the messiah of all things perfect and just in the world, printed off billions with their almost zero interest rates.
Trump, the antichrist, started raising interest rates until the unspecified virus of unknown origin.
Biden, everyone's favourite economic messiah continued with the low rates up until now when inflation is finally caught up.

You are confused about the Trump,

Trump wants the Fed to push interest rates down to zero or even into negative territory. Trump argues that the current rates put the U.S. at a competitive disadvantage to other countries, and touts the historically low levels of inflation as evidence that the economy is well-positioned to handle such low borrowing rates.

 

[rvZA]

It seems Biden collapsed US economy and due to this, Russia is winning war against Europe. Can US be called Zim 2.0 ?

US is already Zim 2.0. It is a third-world nest. You should see cities like New York, California, Chicago, San Francisco and more these days....

 

[Sideshow Bob]

You are confused about the Trump,

No, he is not confused. Standard MO.

 

[konfab]

You are confused about the Trump,

It appears so. Correlation is highly suspicious though. I wonder how much it is due to political pressure.

Nevertheless, if you want the period of blame, it is the low interest rates between 2009 and 2016.

 

[Tim_vb]

funny how at the first sign of risk in capitalism everyone runs off to jump ship into the socialist ocean . This happens, it’s part of the system. It sucks. It doesn’t mean everyone must run. Capitalism works, but it is not without it risks. Nothing is.

its also fun to see all the libertarians running after the fed demanding to be made whole above the $250 limit when they took risky bets that blew up in their faces