Up In Smoke
Well-Known Member
Sure, but banks of different sizes operate differently.
Silicon Valley Bank
- Thread starter Babagounj
- Start date
2008 said differently. Once banks start investing and “spreading the risk”…well they all kinda work the same and are linked.
A lot of it was extremely low interest rates for over a decade. To get a return banks were investing in government bonds. But the bonds value dropped as interest rates rose recently. So the banks are losing money on the bonds they already hold.
UnionStrong
Sorry, but I don’t care anymore.
Plus the fed raised the interest rate which strangled the housing market. They may not raise it this time.
Up In Smoke
Well-Known Member
The investment banks were buying the notes from the retail and commercial banks. Then sold them to insurance companies, pension funds, endowments and 401ks.
Brownslave688
You want a toe? I can get you a toe.
To a degree but they all have to loan out the money you deposit so that they can cover costs. They’re allowed to do that at a 10 to ratio.
Up In Smoke
Well-Known Member
I guess my point was, after the sub prime fiasco, how aren't internal, state or federal regulators protecting the interests of both borrowers and financiers.
Investor who called Lehman collapse predicts the next big bank failure
Robert Kiyosaki, who originally forecasted the Lehman 2008 crisis, predicts the next bank to collapse in the Silicon Valley Bank contagion will be Credit Suisse.
Brownslave688
You want a toe? I can get you a toe.
They are. Lending got much much tighter. SVB took in way too much money way too fast. They couldn’t loan it fast enough and be responsible. So they put it all in 10 year treasuries. That was all fine until fed started raising rates.
Brownslave688
You want a toe? I can get you a toe.
Yeah I’ve been hearing credit sussie toast for weeks now.Investor who called Lehman collapse predicts the next big bank failure
Robert Kiyosaki, who originally forecasted the Lehman 2008 crisis, predicts the next bank to collapse in the Silicon Valley Bank contagion will be Credit Suisse.www.foxbusiness.com
Hold on
Right. But that kind of invesing wasn’t only going on by SVB. So which other banks will be in turmoil soon?
That's the million(trillion?) dollar question.
Over70irregs
Well-Known Member
Trump returns to Iowa, with a plan to avoid the missteps he made in 2016
The former president believes he was out-organized the first time he ran in the state. He’s eyeing a better caucus showing this time.
www.politico.com
oldngray
nowhere special
As losses mounted, Silicon Valley Bank doubled down on woke investments and left-wing rhetoric
Following the collapse of two major banks that were focused on social justice investments, American taxpayers may now foot the bill for bad financial decisions that could have been avoided.
justthenews.com
Except they did bailout SVB.
Treasury Secretary Janet Yellen says U.S. government won't bail out Silicon Valley Bank
Treasury Secretary Janet Yellen says U.S. government will not bail out Silicon Valley Bankwww.cnbc.com
How many normal Americans get a bailout or bailin? NoneShe is correct in 2008 title 2 Frank / Dodd legislation, says no more bailouts only bailins all the depositors are going to receive vouchers, and it will be put into receivership. Everyone’s money will become one giant pool to pay back secured creditor’s. That was the. “Reform”
Dodd-Frank: Title II - Orderly Liquidation Authority
www.law.cornell.edu
Yes and where are the regulators? Doesn’t matter what laws are on the books if no one enforces them…..so where are the regulators? Crime was committed and laws were broken. Why won’t they be arrested like us? You see the problem? Poor people allow rich people to do whatever they want. Fascinating to watch.
