The legacy corporate news media remains disturbingly silent as the United States hurtles toward a financial abyss, ignoring the glaring signs of an impending debt crisis, potential banking collapse, and an economic downturn that threatens the nation’s stability.
Recent data exposes the grim reality: US banks are grappling with an alarming 22% surge in unrealized losses, skyrocketing to an eye-watering USD 683.9 billion in Q3. Shockingly, the national debt has ballooned from $31.4 trillion to a staggering $33.9 trillion in less than six months, amassing an additional $2.5 trillion. The interest on this mounting debt is spiraling out of control, resembling a hockey stick graph. Yet, Washington D.C. seems impervious, with plans for an additional $100 billion in spending for Ukraine and Israel.
As Americans face the economic fallout, recent analysis of government data reveals an urgent truth: citizens now need an extra $11,400 just to cover the basics. A staggering 67% report that their income isn’t keeping pace with inflation, and a troubling 42% admit to a decline in their standard of living, painting an ominous picture of the economic landscape.
Even more alarming is the revelation that Gross Domestic Income (GDI) has plunged into negative territory year-over-year, while Gross Domestic Product (GDP) remains positive. This dangerous pattern, observed only in 2001 and 2007, raises urgent red flags, signaling a potential hard landing on the near horizon.
The FDIC’s report on overdue office loans adds another layer to the growing crisis, exposing a new vulnerability for banks. The Federal Reserve’s Beige Book mirrors these anxieties, noting an unsettling rise in consumer delinquencies and a bleak economic outlook for the next six to twelve months, with expectations of continued price increases.
In the face of these dire indicators, the CEO of the largest US bank starkly characterizes the nation’s economy as being in a “sugar high,” underscoring America’s perilous addiction to debt. As the financial storm gathers momentum, the urgent need to address these challenges becomes undeniable, with the nation standing at the precipice of an economic disaster that demands immediate attention.
Sources:
UNREALIZED losses US Banks
Up 22% to USD 683.9 billion in Q3! pic.twitter.com/71tu5KiA5Q— jeroen blokland (@jsblokland) November 29, 2023
👀 … the legacy corporate news media is so clueless. t.co/xyN85clcTJ
— Wall Street Silver (@WallStreetSilv) November 29, 2023
JUST IN – Americans need an extra $11,400 today just to afford the basics, according to analysis of govt data
— Insider Paper (@TheInsiderPaper) November 29, 2023
As recently as June we were at $31.4 trillion in national debt.
Now at $33.9 trillion less than 6 months later. +$2.5 trillion in 6 months.
Interest on the debt is starting to look like a hockey stick. And nobody in Washington DC is even hesitating. $100 billion for Ukraine and… t.co/17TDjCp8mX
— Wall Street Silver (@WallStreetSilv) November 29, 2023
Just got off a call with a prominent subprime dealer:
— $1,200/mth for car and insurance has become standard (3 years ago was $700/mth)
— Lead-to-sale conversion down by ~50%, from 5% to 2.5% year-over-year (remember, he's subprime).
— Vehicle financing is his top issue. He…
— CarDealershipGuy (@GuyDealership) November 29, 2023
This is probably a better look…and more ominous. It appears that GDI has only been negative y/y while GDP was positive twice before– 2001 and 2007. Buckle up for the hard landing. pic.twitter.com/0LHY373uEt
— steph pomboy (@spomboy) November 29, 2023
67% of Americans say their income isn’t keeping up with inflation, and 42% say their standard of living is declining, per Empower.
— unusual_whales (@unusual_whales) November 29, 2023
Overdue Office Loans Are New Pain Point for Banks in FDIC Report
The CEO of the largest bank in America says the United States economy is in a sugar high.
That is putting it mildly.
It’s a full-blown addiction to debt, and the cure is not rehab…
It is a reset.
— Gold Telegraph ⚡ (@GoldTelegraph_) November 30, 2023