Independent thinking for complex markets and current events
via Douglas French The wordsmiths at the Federal Reserve wisely omitted the line about a “sound and resilient” banking system in its statement on January 31. That same day shares of New York Community Bank plunged when the bank announced a loss of thirty-six cents per share when analysts expected earnings of twenty-seven cents a share for …
Banking rollercoaster: From denial to acknowledgment, uncertainty surrounds likelihood of commercial bank failures. Real estate magnate Barry Sternlicht has sounded the alarm on the challenges facing the commercial real estate (CRE) sector, particularly the office market, labeling it an “existential crisis.” Sternlicht estimates that the $3 trillion asset class is now likely worth around $1.8 …
As inflation and steep interest rates persist, Americans are accumulating more credit card debt, with the New York Federal Reserve Bank’s Quarterly Report on Household Debt and Credit expected to reveal a new record exceeding $1.08 trillion. Despite Fed Chair Powell’s assurance that another real estate-led banking crisis akin to 2008 is unlikely, he anticipates …
Remember the Banking Crisis of 2023? Back in March/April of last year, when 4 banks failed all within a few weeks of each other? Well, it turns out what helped stop that contagion from spreading was something known as the Bank Term Funding Program. This program, the Banks’ safety net is scheduled to end March …
Mr. Casey serves as a trusted advisor to a diverse range of business owners and professionals, advising them on financial issues impacting their companies and their personal wealth. He has served as a trusted advisor to a diverse range of business owners, advising them on financial issues impacting their companies and their personal wealth. He …
Optimism in the US banking industry is being threatened by a growing pile of bad loans, putting pressure on the sector’s biggest players. Bloomberg analysts say non-performing loans, or loans to debtors that haven’t made a payment in over 90 days, rose to a combined $24.4 billion in the last quarter of 2023 for JPMorgan …
As we enter 2024, once thriving US high streets are starting to resemble desolate ghost towns as America is taunted by the ever-looming threat of yet another financial crash. If the economy is thriving then why are we seeing more bank closures than ever before and why are retailers being forced to shutter many of …
pic.twitter.com/QkzeOvXoer — redpillbot (@redpillb0t) January 13, 2024
via naturalnews: Ongoing efforts by the powers that be to stop the current financial Titanic from sinking are failing as banks in the totality of 2023 cut more than 60,000 jobs. The collapse earlier this year of First Republic Bank, Silicon Valley Bank and Signature Bank prompted the private Federal Reserve and other central banks to facilitate the mega-merger of Credit …
Written by Walter Block on his substack blog: How does one describe our present banking system? It is like an upside-down pyramid, with the tippy top of it located at the bottom and the widespread base of it placed at the top. If even a slight wind comes along, it will knock down the entire …
by Chris Black Last summer, I wrote a brief article about how China’s property sector is, structurally, a bubble. And as with all bubbles, policymakers are equipped with a toolkit limited to delaying, mitigating, or perhaps even changing (https://genco.substack.com/p/the-great-financial-reset-of-2009) the inevitable “burst”. And while Beijing has done a mostly admirable job over the past decade …
Jim Willie is a statistical analyst in marketing research and retail forecasting. He holds a PhD in Statistics, and his career has stretched over 25 years. He aspires to thrive in the financial editor world, unencumbered by the limitations of economic credentials. Jim operates a free website called Golden Jackass.
🇺🇸 Small banks cash assets to total assets shrinks. The Fed’s BTFP comes due in March. It’ll be extended. The Fed postpones at the expense of making worse, the consequences of liquidating underwater securities to meet depositor’s demand for their money. Chart: @RealEJAntoni pic.twitter.com/vGFwfMATXd — Alex Joosten (@joosteninvestor) December 24, 2023 the REAL Truth …
They keep kicking the can in that lawsuit – and they have been for 2 years. Each time that they kick the can, the costs goes up. Just like the US…banks are stuffed with these loans. The crap has hit the fan in China.When rates start going up again in the US…don't be shocked with …
by mark000 Start of June 1929 DJIA was 300. Start of September 380. That’s a 25% gain in 3 months. A full blown delusional manic meltup. Then the worst crash ever in October and by mid November the DJIA was 50% below the September all time high. Outlook is as doomish today. Europe and China …
Kyle Bass, Hayman Capital Management founder and CIO, joins ‘Squawk Box’ to discuss China’s real estate crisis, why he believes China is currently experiencing a banking system collapse, what it means politically for Chinese President Xi, potential impact on U.S. companies, and more.
via bettermarkets: Dennis M. Kelleher, Co-founder, President, and CEO of Better Markets issued the following statement in response to the testimony of Wall Street’s CEOs today before the Senate Banking Committee. “Wall Street’s CEOs testified before the Senate Banking Committee today as if they were the chief employment and economic growth officers for the United States …
Mutual transactions in national currencies have quadrupled in 2023, VTB bank executive says Trade settlements in national currencies between Russia and Vietnam have skyrocketed this year, Olga Basha, VTB’s head of international settlements, told RIA Novosti ahead of the investment forum Russia Calling 2023. Basha noted that settlements conducted in ruble and dong between the …
China’s Colossal Hidden-Debt Problem Is Coming to a Head [WSJ] China is trying to defuse a financial time bomb that could severely damage its banking system. Cities and provinces across the country have accumulated a massive amount of hidden debt following years of unchecked borrowing and spending. The International Monetary Fund and Wall Street banks …
by HighYieldLarry In America, the crisis is never over because it’s never solved. It is just patched and kicked down the road.
https://twitter.com/HSBC_UK/status/1727971038628020557 Thousands of HSBC customers in the UK have reported that they are unable to access mobile banking. Downdetector, which tracks websites, showed more than 3,900 people had reported the banking app on their device was not functioning. https://www.msn.com/en-xl/news/other/hsbc-mobile-banking-down-for-thousands-across-uk/ar-AA1ksiM7
In 2023, major financial institutions such as Citigroup, Goldman Sachs, Farmers Insurance, Robinhood, Charles Schwab, Wells Fargo, Ally Financial, Morgan Stanley, Bank of Nova Scotia, and RBC have collectively announced layoffs, totaling more than 20,000 employees according to Forbes. These layoff announcements contribute to the ongoing struggles in the US banking sector, with bank stocks …
SENATE BANKING DEMOCRATS CALL FOR INDEPENDENT PROBE OF FDIC — Win Smart, CFA (@WinfieldSmart) November 17, 2023 Brown Leads Committee Democrats in Calling for An Independent Investigation of FDIC Culture WASHINGTON, D.C. – Today, U.S. Senator Sherrod Brown (D-OH), Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, led 11 members of the …
@KeithMcCullough warns that the recent surge in Regional Banking ($KRE) and Real Estate ($XLRE), often seen as positive, could be a bear market bounce, potentially misleading investors before a recession. Drawing parallels to the Great Financial Crisis, McCullough highlights this as outright panic buying and suggests the current crisis might surpass the GFC, impacting Main …
by demonbeanie The banking system is facilitated by uncollateralized debt; fractional reserve banking, which had seen the reduction of the reserve requirements to 0% in 2020. https://www.federalreserve.gov/monetarypolicy/reservereq.htm On your bank’s balance sheet, there are assets labeled “cash on hand,” which includes cash and cash equivalents which is physical dollars, MM accounts, CDs, Short-term gov bonds, and …
Warning signs of the instability of the global financial system abounded in the months leading up to the 2008 Lehman Brothers crash. Among these early signs were the astounding revelations about UBS, the world’s largest private bank, by Stephanie Gibaud, who was employee at the bank’s French division. Gibaud refused instructions given to her and …
China is trying to keep kicking the can down the road, but their collapsing property market, and their dropping exports due to recession, is going to put their economy in a pullback that will take years to recover from. Corporations are also pulling out of China which is reducing foreign investment, income and jobs. CCP …
Fun fact: bank credit is now contracting! Since dollar standard (‘71), that’s only happened once before: 2008. Losses in T bonds will far worse than mortgage losses. Stocks are on the verge of a massive collapse. Fractional banking does’t work in reverse. Few. pic.twitter.com/0fzX16lYGn — Porter Stansberry (@porterstansb) October 15, 2023 Banks losses on held …
