Another bank bites the dust: First Republic
The call is for stricter regulations on banks. First Republic appears to have run into trouble because of the huge percentage of uninsured deposits it held, coupled with a run on the bank:
First Republic had been hit by a massive wave of withdrawals following the twin collapses of New York City’s Signature Bank and the Bay Area’s Silicon Valley Bank in March.
JPMorgan Chase has now gobbled up First Republic.
I’m sure Warren and Charlie will have something to about this Saturday in Omaha. Big weekend at Omaha restaurants!
Who are the people who go into banking and don’t understand how interest rates work on the value of bonds? Who buys long term bonds when interest rates are at historical lows? Especially if they might
have to sell the bonds before maturity. Surely, they understand that there might be a reason for FED to increase interest rates. Is it DEI that’s infected the banks and led to incompetence? Something has gone badly wrong.
Charlie Gasparino, a Fox Business reporter, said that there are at least fifteen more banks that are in bad shape. Unfortunately, with the internet and social media, those banks will be known, and their depositors will undoubtedly try to get their money out. That ensures their failure.
The short sellers are having a ball selling the regional banks short. It’s been a bloodbath.
The FED and Janet Yellen need to beg Biden and the Congress to reduce spending and unleash the oil/gas industry. It’s the only way to stop the coming recession from becoming a crash.
blackrock and apollo wanted to buy, but morgan said, let the government spend the money,
We don’t need more regulation. The agencies didn’t do a hot job on the banks in this round. We do need more intelligent and careful bankers. And we need to let the reckless fail.
And yes, JJ is right. We need reduced government spending and a healthy oil and gas industry freed from the “green” restrictions of the Biden regime.
and lois frankel among others was not listening to cramer (no one should) and was buying jp morgan stock,
powell kept rates low, for too long, then made up supercharging the rates,
The elephant in the room is all those high-worth deposits that far exceed the amounts covered by the FDIC. And yet, declaring an ’emergency’ because banks can’t fail, the Biden administration is stepping up to cover all those fat cats with billions on deposit – with your money, chump.
Nice to know that the risk of losing everything gets smaller as your wad gets fatter. Every economic downturn has its own protected class, but don’t worry – you won’t get the call – just the bill.
https://www.youtube.com/watch?v=65MEU-2Afv8
Ok ,,of topic ,,,,deal with it
But Trump asked Ukraine to investigate Biden!
Oh, the humanity!!
“The FED and Janet Yellen need to beg Biden and the Congress to reduce spending and unleash the oil/gas industry. It’s the only way to stop the coming recession from becoming a crash.”
OK, but what are the odds that “Biden” WANTS maximum mayhem (AKA DEFAULT?)?
(I.e., if you’re asking me—not that you really should—they’re very high…ESPECIALLY when you CAN THEN BLAME the Republicans for totally trashing the country, which the Democrats and their media thugs WILL MOST DEFINITELY do—they’re already doing it—and which the usual suspects will fully believe to be the terrible TRUTH.)
E.g., here’s an OH-SO-DIRE warning from the Wise Owlita (though maybe she’s just on one of her “transitory” jags):
“Yellen Warns Treasury To Run Out Of Cash As Soon As June 1 Absent Debt Ceiling Deal”—
https://www.zerohedge.com/markets/yellen-warns-treasury-run-out-cash-soon-june-1-absent-debt-ceiling-deal
File under: We’re warning ye’: IF you don’t let us TRASH the country, then we’ll just have to trash the country—and YOU WILL BE RESPONSIBLE!!!
(Kinda’ like why the southern border is really secure—just ask Mayorkas, and if you have doubts about him, then ask Kamala—BUT, if it’s NOT secure, then it’s the Republicans’ fault…for not agreeing with “Biden” policies to ERASE the border! Hey, now that we mention it, it’s kinda like Afghanistan, too! Trump’s fault for, oh whatever….)
You KNEW this was going to happen….
(Or maybe not.)
Here we go:
Honest A. Blinken—in a most original attempt at self-exculpation with regard to his CENTRAL role in HunterBiden’sLaptopGate—says he was basically………just following orders.
Sure!
“Secretary of State Blinken denies role in Hunter Biden Russian disinfo letter: ‘Wasn’t my idea’ “—
https://www.foxnews.com/media/secretary-state-blinken-denies-role-hunter-biden-russian-disinfo-letter-wasnt-my-idea
(Though it pretty much explains why the country’s foreign affairs—as well as domestic, for that matter—are in such great shape…)
File under: “MOI?” (though Miss Piggy was far more convincing…)
well one story is miss blinken (a former clinton press flack) and hunter were very familiar (nudge nudge say no more)
first republic swallowed up svb, which cramer assured us was doing fine, so morgan swallows up first republic, like the stromberg supertanker,
https://www.youtube.com/watch?v=rY0WxgSXdEE
“…maximum mayhem…” (continued).
The following, I hope, is not mere wishful thinking.
It is after all the remarkable Margot Cleveland.
(Still, maybe “Biden” can figure out a way to crash the country—which would present a pretty impressive distraction, even for “Biden”—before this whole “smartest-guy-I-know” thing “explodes”. If it explodes.)
“Huge Development Means IRS Whistleblower Can Soon Explode Biden Family Scandals”—
https://thefederalist.com/2023/05/01/huge-development-means-irs-whistleblower-can-soon-explode-biden-family-scandals/
And so, a race against time?
Maybe. OTOH, “he” won’t have to worry about the media bothering to report it.
(And even if some of the media outlets do bother, “he” won’t have to worry about at least half the country actually believing it…)
It’s feeling like 2008 again.
I was visiting accounts in the low desert area of southern California sometime around 2009-2010. I stopped in at an equipment rental yard, and got to chatting with the store manager. He told me “I saw this (the Great Recession) coming back in 2006.” I said, “don’t you mean 2007?” He replied “nope, 2006.” I asked how he could tell and he said “backhoe rentals dried up.”
I realized then what he was saying. If no one is building anything, then there’s no need for equipment to dig holes in the ground. And no need for building materials, subcontractors, or anything else. Construction activity is a good barometer of the health of an economy.