Regulators are working on new insurance schemes but I really don’t think it matters. The reputation of the small banks are forever lost and people don’t really care about them and prefer to have their money at JP Morgan. That’s just the way it is.
So what’s going to end up happening is widespread collapse of the regional banking space and the FDIC can’t cover it all and Chase can’t buy them all. These bank runs could spell an extreme version of doom, never seen before.
Today TD Bank told FHN to fuck themselves and canceled their proposed merger. I’m pretty sure the only way they could do this is due to a material change in FHNs business. The stock is down 45%. Based on all this you see, how can the FOMC with a straight face say hiking rates was a good decision? The reason why this is happening is because of the Fed, period end of story.
Today we are also seeing the contagion spread to insurance firms. Look at MET and PRU getting knifed in the fucking face. How do you paper over this?
You can’t. Banks are losing deposits because people don’t see why they should keep money at PACW over JPM.
I started the day down 1.2% thanks in part to CARL FUCKING ICAHN collapsing again, due to some internet short seller. What in the fuck Carl? I sold it out for a nice loss and now heavily hedged my longs eagerly awaiting a crash event.
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Gold dude
Time to cue up the mean faced, short clipped haired Senator while she overcharges her students at the elite private University for her self written textbooks, yet simultaneously demands the banks & investors “pay their fare share”. Should the FED have hiked? Maybe not, but how did we get here? By SPENDING more than we could as a nation and forcing the FED to scramble and try to hold down inflation – which IS their mandate.
What Powell doesn’t have the balls to say (but we all know is true) is that overspending on nonsensical, bloated expenses (from Ukraine to phones, food and housing for those who illegally infiltrate our nation) has created a situation where they needed to control inflation or see the economy destroyed – but then people like the ‘clipped hair lady’ would be angry, no?